ASGN closes below its opening price unable to hold early session gains
ASGN Incorporated (ASGN) Technical Analysis Report for May 17, 2019 | by Techniquant Editorial Team
ASGN ended the week -5.26% lower at 56.17 after losing $1.36 (-2.36%) today, significantly underperforming the S&P 500 (-0.58%). Today's close at 56.17 marks the lowest recorded closing price since January 4th. Trading $0.66 higher after the open, the market was unable to hold its gains as the bears took control ending the day below its opening price. The last time this happened on April 16th, ASGN actually gained 1.32% on the following trading day. Ending with a weak close near the low of the day sets a bearish note for the next session.
Daily Candlestick Chart (ASGN as at May 17, 2019):
Friday's trading range has been $1.37 (2.41%), that's slightly below the last trading month's daily average range of $1.56. Weekly volatility is also lower, being way below the market's average weekly trading range. The longer-term, monthly volatility is currently higher than usual for ASGN.
One bearish candlestick pattern matches today's price action, the Black Candle.
Prices broke below the key technical support level at 56.26 (now R1), which is likely to act as resistance going forward.
Although still in a long-term uptrend, the short and medium-term trends both turned bearish already.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Price broke through Technical Support S1" stand out. Though it is usually interpreted as bearish, it has actually shown to be bullish for ASGN Incorporated. Out of 259 times, ASGN closed higher 55.21% 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 63.32% with an average market move of 1.68%.