AIR.PA surges, gaining €2.93 (3.01%) within a single day on high volume
Airbus SE (AIR.PA) Technical Analysis Report for Oct 12, 2018 | by Techniquant Editorial Team
AIR.PA finished the week -3.6% lower at 100.26 after surging €2.93 (3.01%) today on high volume. This is the biggest single-day gain in over two weeks. Closing above Thursday's high at 99.51, the share confirmed its breakout through the prior session high after trading up to €1.93 above it intraday.
Daily Candlestick Chart (AIR.PA as at Oct 12, 2018):
Friday's trading range has been €3.43 (3.46%), that's above the last trading month's daily average range of €2.51. Weekly volatility is also higher, being way above the market's average weekly trading range. The longer-term, monthly volatility is currently significantly higher than usual for AIR.PA.
The market managed to break above the 200-day moving average at 98.93 today for the first time since August 30, 2017. When this moving average was taken out the last time on August 30, 2017, AIR.PA gained 1.15% on the following trading day. Unable to break through the key technical resistance level at 100.78 (R1), Airbus closed below it after spiking up to 101.44 earlier during the day. The failure to close above the resistance might increase that levels importance going forward.
Crossing above the lower Bollinger Band, prices have lost at least some of their downward momentum in the short-term and could now be heading back up towards the mean of the Bollinger Bands at 104.98.
While still in a long-term uptrend, the short and medium-term trends both turned bearish already.
Among the seven market conditions that our pattern recognition engine identified today, the statistics for the Technical Indicators based market condition "Close crossed above the lower Bollinger Band" stand out. Its common bullish interpretation has been confirmed for Airbus. Out of 57 times, AIR.PA closed higher 56.14% 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 68.42% with an average market move of 2.49%.