GWA.AX finds buyers at key support level
GWA Group Limited (GWA.AX) Technical Analysis Report for Mar 15, 2019 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, GWA.AX finished the week 2.2% higher at 3.25 after gaining $0.03 (0.93%) today, outperforming the ASX 200 (-0.07%). Today's close at 3.25 marks the highest recorded closing price since February 18th. Ending the day with an indecisive close, neither buyers nor sellers were able to gain control during the session.
Daily Candlestick Chart (GWA.AX as at Mar 15, 2019):
Friday's trading range has been $0.09 (2.75%), that's slightly below the last trading month's daily average range of $0.11. Weekly volatility is also lower, being way below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for GWA.AX.
After trading down to 3.20 earlier during the day, GWA Group bounced off the key technical support level at 3.20 (S1). The failure to close below the support could increase that levels importance as support going forward.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Among the two market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "2 Consecutive Higher Closes" stand out. Though it is usually interpreted as bullish, it has actually shown to be bearish for GWA Group. Out of 229 times, GWA.AX closed lower 49.34% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the short side has been after six trading days, showing a win rate of 52.40% with an average market move of -0.10%.