ALL closes higher for the 3rd day in a row
Allstate Corporation (ALL) Technical Analysis Report for Mar 26, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, ALL finished Thursday at 89.50 gaining $6.50 (7.83%), strongly outperforming the S&P 500 (6.24%). The bulls were in full control today, moving the market higher throughout the whole session. Closing above Wednesday's high at 86.71, the share confirmed its breakout through the prior session high after trading up to $3.80 above it intraday.
Daily Candlestick Chart (ALL as at Mar 26, 2020):
Thursday's trading range has been $7.50 (9.02%), that's slightly above the last trading month's daily average range of $7.49. Weekly volatility is also higher, being slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently notably higher than usual for ALL.
One bullish candlestick pattern matches today's price action, the White Candle. The last time a White Candle showed up on March 16th, ALL gained 3.48% on the following trading day.
Prices are trading close to the key technical resistance level at 94.02 (R1).
Though the stock is experiencing a short-term uptrend, this could just be a correction, as both the medium and long-term trends are still bearish.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "3 Consecutive Higher Closes" stand out. Its common bullish interpretation has been confirmed for Allstate. Out of 174 times, ALL closed higher 54.02% 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 58.62% with an average market move of 0.53%.