ALQ.AX closes within prior day's range
Als Limited (ALQ.AX) Technical Analysis Report for Nov 09, 2018 | by Techniquant Editorial Team
ALQ.AX finished the week 0.74% higher at 8.12 after losing $0.05 (-0.61%) today on low volume. Trading $0.07 higher after the open, the stock was unable to hold its gains as the bears took control ending the day below its opening price. Closing within the prior day's range, prices failed to decisively move beyond the previous day's trading range.
Daily Candlestick Chart (ALQ.AX as at Nov 09, 2018):
Friday's trading range has been $0.18 (2.2%), that's slightly below the last trading month's daily average range of $0.18. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently strongly lower than usual for ALQ.AX.
One bearish candlestick pattern matches today's price action, the Bearish Spinning Top.
After trading down to 8.06 earlier during the day, Als Limited bounced off the key technical support level at 8.08 (S1). The failure to close below the support might increase that levels significance as support going forward. When prices bounced off a significant support level the last time on Wednesday, ALQ.AX gained 2.51% on the following trading day. The market closed back below the 20-day moving average at 8.13. After having been unable to move above 8.22 in the prior session, the share ran into sellers again around the same price level today, failing to move higher than 8.24.
ALQ.AX shows strength in the short-term supported by its long-term uptrend with only the medium-term trend being bearish.
Buying could accelerate should prices move above the close-by swing high at 8.28 where further buy stops might get triggered.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Bounced off Technical Support S1" stand out. Its common bullish interpretation has been confirmed for Als Limited. Out of 443 times, ALQ.AX closed higher 54.18% 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 54.40% with an average market move of 0.84%.