AMC.AX unable to break through key resistance level
Amcor Ltd (AMC.AX) Technical Analysis Report for Oct 12, 2018 | by Techniquant Editorial Team
AMC.AX finished the week -1.48% lower at 13.30 after edging lower $0.03 (-0.23%) today on high volume. Trading up to $0.11 lower after the open, the share managed to reverse during the session as bulls took control ending the day above its opening price. The last time this happened on October 10th, AMC.AX gained 1.60% on the following trading day. Closing within the previous day's range, prices failed to decisively move beyond the prior day's trading range. Ending the day with an indecisive close, neither buyers nor sellers were able to gain control during the session.
Daily Candlestick Chart (AMC.AX as at Oct 12, 2018):
Friday's trading range was $0.22 (1.66%), that's slightly above last trading month's daily average range of $0.18. Weekly volatility is also higher, being way above the markets average with the monthly volatility being slightly above average.
During the whole day, prices traded within the previous day's range, unable to trade above the prior day's high or below the previous day's low forming an Inside Bar. Additionally, one bullish candlestick pattern matches today's price action, the Bullish Spinning Top.
Unable to break through the key technical resistance level at 13.35, Amcor Ltd closed below it after spiking as high as 13.39 during the day. The failure to close above the resistance might increase that levels importance as resistance going forward.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Buying could accelerate should prices move above the close-by swing high at 13.45 where further buy stops might get triggered.
Among the five market conditions that our engine recognized today, the statistics for the OHLC Patterns based condition "Bullish Spinning Top" stands out. Though it is usually interpreted being bullish, it has actually shown to be bearish so far in the past for Amcor Ltd. Out of 219 times during the last ten years, AMC.AX closed lower 53.88% of the time on the next trading day. The optimal exit for swing trading this condition on the short side has been after five trading days, showing a win rate of 52.05% with an average market move of -0.11%.