DLR finds buyers again around 139.15
Digital Realty Trust Inc. (DLR) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
DLR finished the month -1.01% lower at 142.11 after gaining $1.98 (1.41%) today, slightly underperforming the S&P 500 (1.54%). Closing within the prior day's range, prices missed to decisively move beyond the previous day's trading range in a lackluster session.
Daily Candlestick Chart (DLR as at Jun 30, 2020):
Tuesday's trading range has been $3.36 (2.4%), that's below the last trading month's daily average range of $4.51. 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 DLR.
Two candlestick patterns are matching today's price action, the Bullish Short Candle and the White Candle which are both known as bullish patterns.
The share managed to close back above the 50-day moving average at 141.56. When this moving average was crossed above the last time on June 25th, DLR actually lost -1.73% on the following trading day. After having been unable to move lower than 139.51 in the prior session, the market found buyers again around the same price level today at 139.15.
While still in a long-term uptrend, the short and medium-term trends both turned bearish already.
Buying might accelerate should prices move above the nearby swing high at 146.07 where further buy stops could get activated. As prices are trading close to June's high at 146.86, upside momentum might speed up should Digital Realty mark new highs for the month.
Among the nine market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Bullish Break through SMA 50" stand out. Its common bullish interpretation has been confirmed for Digital Realty. Out of 78 times, DLR closed higher 58.97% 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 56.41% with an average market move of 1.06%.