AMT breaks back above 200-day moving average
American Tower Corporation (AMT) Technical Analysis Report for Mar 26, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, AMT finished Thursday at 222.20 surging $22.94 (11.51%), strongly outperforming the S&P 500 (6.24%). The bulls were in full control today, moving the market higher throughout the whole session. Closing above Wednesday's high at 208.54, the share confirmed its breakout through the previous session high after trading up to $17.73 above it intraday.
Daily Candlestick Chart (AMT as at Mar 26, 2020):
Thursday's trading range has been $28.27 (14.27%), that's far above the last trading month's daily average range of $17.82. Weekly volatility is also higher, being above the market's average weekly trading range. The longer-term, monthly volatility is currently notably higher than usual for AMT.
One bullish candlestick pattern matches today's price action, the White Candle.
The market managed to close back above the 200-day moving average at 222.11 for the first time since March 17th. When this moving average was crossed above the last time on March 17th, AMT actually lost -4.57% on the following trading day. After spiking up to 226.27 during the day, American Tower found resistance at the 100-day moving average at 225.72.
The stock shows strength in the short-term supported by its long-term uptrend with only the medium-term trend being bearish.
Buying might speed up should prices move above the nearby swing high at 235.84 where further buy stops could get activated.
Among the 13 market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Bearish Bounce off SMA 20" stand out. Although it is usually interpreted as bearish, it has actually shown to be bullish for American Tower. Out of 52 times, AMT closed higher 63.46% 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 55.77% with an average market move of 0.81%.