AHC dominated by bulls lifting the market higher throughout the day
A.H. Belo Corporation (AHC) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
AHC ended the month 11.61% higher at 1.73 after gaining $0.08 (4.85%) today, notably outperforming the S&P 500 (1.54%). The bulls were in full control today, moving the market higher throughout the whole session. Closing above Monday's high at 1.71, A. H. Belo confirmed its breakout through the previous session high after trading up to $0.03 above it intraday.
Daily Candlestick Chart (AHC as at Jun 30, 2020):
Tuesday's trading range has been $0.12 (7.41%), that's slightly above the last trading month's daily average range of $0.11. Things look different on the weekly timeframe, where the market's trading range of the last week has been below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for AHC.
In a volatile session, prices traded above the prior day's high as well as below the previous day's low, forming a bullish Outside Bar. Even with a weak opening the market managed to close above the prior day's open and close, forming a bullish Engulfing Candle. Additionally, two candlestick patterns are matching today's price action, the Bullish Belt-hold and the White Candle which are both known as bullish patterns.
After spiking up to 1.74 during the day, the share found resistance at the 20-day moving average at 1.74. After having been unable to move lower than 1.63 in the previous session, the stock found buyers again around the same price level today at 1.62. The last time this happened on June 23rd, AHC actually lost -5.26% on the following trading day.
AHC shows weakness in the short-term (in accordance with its long-term downtrend) with only the medium-term trend still being bullish.
Buying might speed up should prices move above the close-by swing high at 1.80 where further buy stops could get triggered.
Among the 13 market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bullish Engulfing Candle" stand out. Although it is usually interpreted as bullish, it has actually shown to be bearish for A. H. Belo. Out of 123 times, AHC closed lower 58.54% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the short side has been after 10 trading days, showing a win rate of 56.10% with an average market move of -0.39%.