ANTM closes lower for the 2nd day in a row
Anthem Inc. (ANTM) Technical Analysis Report for Jul 31, 2020 | by Techniquant Editorial Team
Moving lower for the 2nd day in a row, ANTM finished the month 4.11% higher at 273.80 after losing $3.39 (-1.22%) today, notably underperforming the S&P 500 (0.77%). Closing within the previous day's range, prices missed to decisively move beyond the prior day's trading range.
Daily Candlestick Chart (ANTM as at Jul 31, 2020):
Friday's trading range has been $7.05 (2.54%), that's slightly above the last trading month's daily average range of $6.84. Weekly volatility is also higher, being slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for ANTM.
One bullish candlestick pattern matches today's price action, the Bullish Hikkake Pattern. The last time a Bullish Hikkake Pattern showed up on July 20th, ANTM gained 2.59% on the following trading day.
After trading as low as 270.40 during the day, the market found support at the 50-day moving average at 271.59. Prices are trading close to the key technical resistance level at 278.82 (R1).
While Anthem 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 three market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "2 Consecutive Lower Closes" stand out. Though it is usually interpreted as bearish, it has actually shown to be bullish for Anthem. Out of 289 times, ANTM closed higher 53.29% 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 61.94% with an average market move of 0.89%.