CCI unable to break through key resistance level
Crown Castle International Corp. (CCI) Technical Analysis Report for Sep 16, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, CCI finished Wednesday at 166.17 gaining $2.71 (1.66%), significantly outperforming the S&P 500 (-0.46%). Closing above Tuesday's high at 165.10, the stock confirmed its breakout through the previous session high after trading up to $2.69 above it intraday.
Daily Candlestick Chart (CCI as at Sep 16, 2020):
Wednesday's trading range has been $3.63 (2.2%), that's slightly above the last trading month's daily average range of $3.49. Weekly volatility is also higher, being above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for CCI.
The market managed to close back above the 100-day moving average at 164.31 for the first time since September 2nd. When this moving average was crossed above the last time on September 2nd, CCI actually lost -2.75% on the following trading day. Unable to break through the key technical resistance level at 167.77 (R1), Crown Castle closed below it after spiking up to 167.79 earlier during the day. The failure to close above the resistance could increase that levels importance going forward.
The share shows strength in the short-term supported by its long-term uptrend with only the medium-term trend being bearish.
Further buying might move prices higher should the market test August's nearby high at 169.36.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Bounced off Technical Support S1" stand out. Its common bullish interpretation has been confirmed for Crown Castle. Out of 481 times, CCI closed higher 59.88% 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 58.00% with an average market move of 0.95%.