AXAS finds buyers around 0.20 for the forth day in a row
Abraxas Petroleum Corporation (AXAS) Technical Analysis Report for May 22, 2020 | by Techniquant Editorial Team
AXAS ended the week unchanged at 0.20 after losing $0.01 (-4.76%) today, strongly underperforming the S&P 500 (0.24%). The bears were in full control today, moving the market lower throughout the whole session. Ending with a weak close near the low of the day sets a bearish note for the next session.
Daily Candlestick Chart (AXAS as at May 22, 2020):
Friday's trading range has been $0.01 (4.76%), that's far below the last trading month's daily average range of $0.03. Weekly volatility is also lower, being way below the market's average weekly trading range. The longer-term, monthly volatility is currently significantly lower than usual for AXAS.
Four candlestick patterns are matching today's price action, the Last Engulfing Bottom Pattern and the Tweezer Bottom which are both known as bullish patterns and two bearish patterns, the Bearish Short Candle and the Black Candle.
The market was bought again around 0.20 after having seen lows at 0.20, 0.20 and 0.20 in the last three trading sessions. Obviously there is something going on at that level. The last time this happened on April 22nd, AXAS gained 123.08% on the following trading day.
The stock shows weakness in the short-term (in accordance with its long-term downtrend) with only the medium-term trend still being bullish.
Selling could speed up should prices move below the close-by swing low at 0.18 where further sell stops might get activated.
Among the 14 market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Low close to prior three Lows" stand out. While it is usually interpreted as bullish, it has actually shown to be bearish for Abraxas Petroleum. Out of 30 times, AXAS closed lower 56.67% of the time on the next trading day after the market condition occurred.