MAA closes within previous day's range
Mid-America Apartment Communities Inc. (MAA) Technical Analysis Report for Sep 16, 2020 | by Techniquant Editorial Team
Moving lower for the 2nd day in a row, MAA ended Wednesday at 118.19 losing $0.38 (-0.32%), but still slightly outperforming the S&P 500 (-0.46%). Trading $1.11 higher after the open, the market was unable to hold its gains as the bears took control ending the day below its opening price. Closing within the prior day's range, prices failed to decisively move beyond the previous day's trading range.
Daily Candlestick Chart (MAA as at Sep 16, 2020):
Wednesday's trading range has been $2.60 (2.18%), that's slightly below the last trading month's daily average range of $2.70. Things look different on the weekly timeframe, where the market's trading range of the last week has been above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for MAA.
Prices are trading close to the key technical resistance level at 119.20 (R1). After having been unable to move lower than 118.05 in the prior session, the share found buyers again around the same price level today at 117.95. The last time this happened on September 9th, MAA lost 0.00% on the following trading day.
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 close-by swing high at 120.84 where further buy stops might get activated.
Among the seven market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Low close to previous low" stand out. Its common bullish interpretation has been confirmed for Mid-America Apartment. Out of 570 times, MAA closed higher 55.96% 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 62.11% with an average market move of 0.52%.