LNT finds buyers again around 45.96
Alliant Energy Corporation (LNT) Technical Analysis Report for May 22, 2020 | by Techniquant Editorial Team
LNT finished the week 0.94% higher at 46.38 after gaining $0.35 (0.76%) today, outperforming the S&P 500 (0.24%) ahead of tomorrow's Memorial Day market holiday. 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 (LNT as at May 22, 2020):
Friday's trading range has been $0.44 (0.95%), that's far below the last trading month's daily average range of $1.27. 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 LNT.
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 last time a White Candle showed up on April 21st, LNT gained 2.68% on the following trading day.
Prices are trading close to the key technical resistance level at 46.43 (R1). After having been unable to move lower than 45.99 in the prior session, the stock found buyers again around the same price level today at 45.96.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Buying could speed up should prices move above the close-by swing high at 48.08 where further buy stops might get activated. As prices are trading close to May's high at 48.43, upside momentum could accelerate should the share mark new highs for the month. Further selling might move prices lower should the market test April's nearby low at 43.61.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bullish Short Candle" stand out. Its common bullish interpretation has been confirmed for Alliant Energy. Out of 92 times, LNT closed higher 58.70% 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 65.22% with an average market move of 0.59%.