ASML finds buyers again around 314.51
ASML Holding N.V. (ASML) Technical Analysis Report for Feb 14, 2020 | by Techniquant Editorial Team
Moving lower for the 2nd day in a row, ASML ended the week 3.72% higher at 316.30 after losing $0.95 (-0.3%) today, underperforming the Nasdaq 100 (0.29%) ahead of tomorrow's Presidents' Day market holiday. Trading $1.85 higher after the open, the share was unable to hold its gains as the bears took control ending the day below its opening price. The last time this happened on January 24th, ASML lost -3.90% on the following trading day. Closing within the previous day's range, prices missed to decisively move beyond the prior day's trading range.
Daily Candlestick Chart (ASML as at Feb 14, 2020):
Friday's trading range has been $4.71 (1.48%), that's slightly above the last trading month's daily average range of $4.46. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently significantly higher than usual for ASML. Prices continued to consolidate within a tight trading range between 314.02 and 319.22 where it has been caught now for the last three trading days.
One bearish candlestick pattern matches today's price action, the Bearish Spinning Top.
Prices are trading close to the key technical support level at 314.02 (S1). After having been unable to move lower than 314.02 in the previous session, the market found buyers again around the same price level today at 314.51.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Selling could speed up should prices move below the nearby swing low at 314.02 where further sell stops might get triggered.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Low close to prior low" stand out. Its common bullish interpretation has been confirmed for ASML Holding. Out of 428 times, ASML closed higher 54.21% 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 57.48% with an average market move of 0.74%.