ANSS finds buyers at key support level
ANSYS Inc. (ANSS) Technical Analysis Report for May 17, 2018 | by Techniquant Editorial Team
Moving lower for the 5th day in a row, ANSS ended Thursday at 164.58 losing $0.70 (-0.42%) on low volume. Today's closing price of 164.58 marks the lowest close since May 4th. Closing within the prior day's range, prices failed to decisively move past the previous day's trading range in a lackluster session.
Daily Candlestick Chart (ANSS as at May 17, 2018):
Thursday's trading range was $2.38 (1.44%), that's below last trading month's daily average range of $3.85. Things look different on a weekly scale, where volatility is slightly below the markets average with the monthly volatility being slightly above average. Prices continued to consolidate within a tight trading range between 163.61 and 166.23 which it has been in now for the last three days.
Notwithstanding a strong opening the share closed below the prior day's open and close, forming a bearish Engulfing Candle.
After trading as low as 163.61 during the day, the market bounced off the key support level at 164.31. The failure to close below the support might increase that levels importance as support going forward. The stock found buyers again today around 163.61 for the third trading day in a row after having found demand at 164.06 in the previous session and at 163.78 two days ago.
ANSYS shows strength in the short-term supported by its long-term uptrend with only the medium-term trend being bearish. ANSS broke below the 20-day moving average at 164.63 today for the first time since March 22nd.
Buying could accelerate should prices move above the nearby swing high at 166.23 where further buy stops might get triggered.