LMT rises to highest close since December 18, 2018
Lockheed Martin Corporation (LMT) Technical Analysis Report for Jan 11, 2019 | by Techniquant Editorial Team
Moving higher for the 6th day in a row, LMT finished the week 4.79% higher at 277.73 after edging higher $0.23 (0.08%) today, slightly outperforming the S&P 500 (-0.01%). Today's close at 277.73 marks the highest recorded closing price since December 18, 2018. Trading up to $3.36 lower after the open, the share managed to reverse during the session as bulls took control ending the day above its opening price. Closing above Thursday's high at 277.68, the market confirmed its breakout through the prior session high after trading up to $0.08 above it intraday.
Daily Candlestick Chart (LMT as at Jan 11, 2019):
Friday's trading range has been $5.33 (1.93%), that's below the last trading month's daily average range of $7.22. Weekly volatility is also lower, being below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for LMT.
After having been unable to move above 277.68 in the previous session, Lockheed Martin ran into sellers again around the same price level today, failing to move higher than 277.76. The last time this happened on Wednesday, LMT actually gained 2.57% on the following trading day.
Although the stock is experiencing a short-term uptrend, this might just be a correction, as both the medium and long-term trends are still bearish.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "High close to prior High" stand out. While it is usually interpreted as bearish, it has actually shown to be bullish for Lockheed Martin. Out of 568 times, LMT closed higher 52.99% 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 57.22% with an average market move of 0.57%.