AMP runs into sellers again around 111.88
Ameriprise Financial Inc. (AMP) Technical Analysis Report for Mar 26, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, AMP ended Thursday at 110.87 gaining $7.27 (7.02%) on low volume, outperforming the S&P 500 (6.24%). Trading up to $4.91 lower after the open, the market managed to reverse during the session as bulls took control ending the day above its opening price. Closing within the previous day's range, prices missed to decisively move beyond the prior day's trading range.
Daily Candlestick Chart (AMP as at Mar 26, 2020):
Thursday's trading range has been $11.26 (10.67%), that's slightly above the last trading month's daily average range of $10.93. Weekly volatility is also higher, being slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for AMP.
Prices are trading close to the key technical resistance level at 113.54 (R1). After having been unable to move above 111.41 in the previous session, the stock ran into sellers again around the same price level today, failing to move higher than 111.88. The last time this happened on March 20th, AMP lost -7.74% on the following trading day.
Although Ameriprise Financial 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 five market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "High close to prior High" stand out. Though it is usually interpreted as bearish, it has actually shown to be bullish for Ameriprise Financial. Out of 553 times, AMP closed higher 51.18% 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 55.52% with an average market move of 0.39%.