AIG closes within previous day's range after lackluster session
American International Group Inc. (AIG) Technical Analysis Report for Feb 13, 2019 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, AIG ended Wednesday at 44.18 gaining $0.35 (0.8%), slightly outperforming the S&P 500 (0.3%). Today's close at 44.18 marks the highest recorded closing price since November 28, 2018. Closing within the prior day's range, prices failed to decisively move beyond the previous day's trading range in a lackluster session.
Daily Candlestick Chart (AIG as at Feb 13, 2019):
Wednesday's trading range has been $0.63 (1.43%), that's below the last trading month's daily average range of $0.84. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently notably lower than usual for AIG.
American International managed to close above the 100-day moving average at 44.03 for the first time since October 9, 2018. When this moving average was crossed above the last time on October 8, 2018, AIG actually lost -0.43% on the following trading day.
Although still in a long-term downtrend, the short and medium-term trends both turned bullish already.
Among the two market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Bullish Break through SMA 100" stand out. Its common bullish interpretation has been confirmed for American International. Out of 69 times, AIG closed higher 52.17% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the long side has been after 10 trading days, showing a win rate of 65.22% with an average market move of 1.72%.