LSXMK closes within previous day's range after lackluster session
Liberty Media Corporation Series C Liberty SiriusXM Common Stock (LSXMK) Technical Analysis Report for Feb 14, 2020 | by Techniquant Editorial Team
Moving lower for the 2nd day in a row, LSXMK finished the week 1.3% higher at 49.72 after edging lower $0.01 (-0.02%) today on low volume, slightly underperforming the S&P 500 (0.18%) ahead of tomorrow's Presidents' 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 (LSXMK as at Feb 14, 2020):
Friday's trading range has been $0.40 (0.8%), that's below the last trading month's daily average range of $0.64. Weekly volatility is also lower, being below the market's average weekly trading range. The longer-term, monthly volatility is currently lower than usual for LSXMK. Prices continued to consolidate within a tight trading range between 49.36 and 50.03 where it has been caught now for the last three trading days.
Despite a strong opening the share closed below the prior day's open and close, forming a bearish Engulfing Candle. Additionally, one bearish candlestick pattern matches today's price action, the Hanging Man.
After trading as low as 49.36 during the day, Liberty Media found support at the 20-day moving average at 49.50. The last time this happened on January 29th, LSXMK gained 1.28% on the following trading day. Prices are trading close to the key technical resistance level at 50.03 (R1).
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Buying could speed up should prices move above the nearby swing high at 50.03 where further buy stops might get triggered. With prices trading close to this year's high at 50.34, upside momentum could accelerate should the stock be able to break out to new highs for the year. As prices are trading close to February's high at 50.17, upside momentum might speed up should the market mark new highs for the month.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Close to Swing High" stand out. Though it is usually interpreted as neutral, it has actually shown to be bullish for Liberty Media. Out of 314 times, LSXMK closed higher 51.59% 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 57.32% with an average market move of 0.53%.