ALU.AX closes higher for the 2nd day in a row
Altium Limited (ALU.AX) Technical Analysis Report for Jul 13, 2018 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, ALU.AX finished the week -3.55% lower at 21.45 after gaining A$0.41 (1.95%) today. The bulls were in full control today, moving the market higher throughout the whole session. Closing within the previous day's range, prices failed to decisively move past the prior day's trading range.
Daily Candlestick Chart (ALU.AX as at Jul 13, 2018):
Friday's trading range was A$0.76 (3.63%), that's slightly above last trading month's daily average range of A$0.73. Weekly volatility is also higher, being above the markets average with the monthly volatility being slightly above average.
Despite a weak opening the market managed to close above the previous day's open and close, forming a bullish Engulfing Candle.
Unable to break through the key technical resistance level at 21.54, Altium Limited closed below it after spiking as high as 21.69 during the day. The failure to close above the resistance could increase that levels importance as resistance going forward. After having been unable to move lower than 20.83 in the prior session, the stock found buyers again around the same price level today at 20.93.
While the share is currently in a short-term down trend, this might just be a correction, as the medium and long term trends are both positive. ALU.AX managed to break above the 100-day moving average at 21.39 today for the first time since August 29, 2017.
As prices are trading close to July's high at 22.62, upside momentum could speed up should the market mark new highs for the month.