ALTR finds buyers around 24.31 for the third day in a row
Altair Engineering Inc. (ALTR) Technical Analysis Report for Mar 26, 2020 | by Techniquant Editorial Team
ALTR finished Thursday at 25.63 gaining $1.14 (4.65%), significantly underperforming the S&P 500 (6.24%). Closing within the previous day's range, prices failed to decisively move beyond the prior day's trading range in a lackluster session.
Daily Candlestick Chart (ALTR as at Mar 26, 2020):
Thursday's trading range has been $2.10 (8.46%), that's below the last trading month's daily average range of $2.68. Weekly volatility is also lower, being below the market's average weekly trading range. The longer-term, monthly volatility is currently higher than usual for ALTR. Prices continued to consolidate within a tight trading range between 24.26 and 28.37 where it has been caught now for the whole last trading week.
Prices are trading close to the key technical support level at 24.26 (S1). The market found buyers again today around 24.31 for the third trading day in a row after having found demand at 24.26 in the previous session and at 24.70 two days ago.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Buying could speed up should prices move above the nearby swing high at 27.31 where further buy stops might get activated. Selling could accelerate should prices move below the close-by swing low at 24.26 where further sell stops might get triggered.
Among the five market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Low close to prior two Lows" stand out. Although it is usually interpreted as bullish, it has actually shown to be bearish for Altair Engineering. Out of 31 times, ALTR closed lower 58.06% 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 58.06% with an average market move of -1.09%.