AMP finds buyers again around 147.22
Ameriprise Financial Inc. (AMP) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, AMP ended the month 7.12% higher at 150.04 after gaining $1.68 (1.13%) today, slightly underperforming the S&P 500 (1.54%). The bulls were in full control today, moving the market higher throughout the whole session. Closing above Monday's high at 149.70, Ameriprise Financial confirmed its breakout through the prior session high after trading up to $1.59 above it intraday.
Daily Candlestick Chart (AMP as at Jun 30, 2020):
Tuesday's trading range has been $4.07 (2.76%), that's far below the last trading month's daily average range of $6.35. Weekly volatility is also lower, being below the market's average weekly trading range. The longer-term, monthly volatility is currently lower than usual for AMP.
Two candlestick patterns are matching today's price action, the Bullish Short Candle and the White Candle which are both known as bullish patterns.
Buyers managed to take out the key technical resistance level at 148.57 (now S1), which is likely to act as support going forward. The last time this happened on June 25th, AMP actually lost -2.98% on the following trading day. After spiking up to 151.29 during the day, the stock found resistance at the 20-day moving average at 150.57. After having been unable to move lower than 146.89 in the previous session, the market found buyers again around the same price level today at 147.22.
The share shows weakness in the short-term (in accordance with its long-term downtrend) with only the medium-term trend still being bullish.
Buying could accelerate should prices move above the close-by swing high at 152.72 where further buy stops might get activated. Selling could speed up should prices move below the nearby swing low at 143.92 where further sell stops might get triggered.
Among the 10 market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Close to Swing High" stand out. Although it is usually interpreted as neutral, it has actually shown to be bullish for Ameriprise Financial. Out of 769 times, AMP closed higher 52.54% 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 59.69% with an average market move of 0.76%.