APPN closes higher for the 2nd day in a row
Appian Corporation (APPN) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, APPN ended the month -10.02% lower at 51.25 after gaining $1.13 (2.25%) today on low volume, outperforming 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 51.06, the market confirmed its breakout through the prior session high after trading up to $0.32 above it intraday.
Daily Candlestick Chart (APPN as at Jun 30, 2020):
Tuesday's trading range has been $1.63 (3.28%), that's far below the last trading month's daily average range of $2.86. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for APPN.
Regardless of a weak opening Appian managed to close above the previous day's open and close, forming a bullish Engulfing Candle. The last time this candlestick pattern showed up on June 18th, APPN actually lost -2.38% on the following trading day. Additionally, two candlestick patterns are matching today's price action, the Bullish Short Candle and the White Candle which are both known as bullish patterns.
After having been unable to move above 51.06 in the prior session, the share ran into sellers again around the same price level today, missing to move higher than 51.38.
The stock shows weakness in the short-term (in accordance with its long-term downtrend) with only the medium-term trend still being bullish.
Buying might speed up should prices move above the close-by swing high at 54.17 where further buy stops could get activated.
Among the 11 market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Closed above last periods high" stand out. Its common bullish interpretation has been confirmed for Appian. Out of 145 times, APPN closed higher 53.79% 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 55.17% with an average market move of 3.02%.