MAR fails to close above 20-day moving average
Marriott International (MAR) Technical Analysis Report for Mar 26, 2020 | by Techniquant Editorial Team
MAR finished Thursday at 82.81 edging lower $2.44 (-2.86%), strongly underperforming the Nasdaq 100 (5.72%). Trading $8.40 higher after the open, Marriott International 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 missed to decisively move beyond the previous day's trading range.
Daily Candlestick Chart (MAR as at Mar 26, 2020):
Thursday's trading range has been $15.41 (17.59%), that's above the last trading month's daily average range of $11.33. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently significantly higher than usual for MAR.
Even with a strong opening the market closed below the prior day's open and close, forming a bearish Engulfing Candle.
After spiking up to 96.00 during the day, the share found resistance at the 20-day moving average at 94.41. After having been unable to move lower than 79.23 in the previous session, the stock found buyers again around the same price level today at 80.59. The last time this happened on Monday, MAR gained 12.85% on the following trading day.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Among the seven market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bearish Engulfing Candle" stand out. Though it is usually interpreted as bearish, it has actually shown to be bullish for Marriott International. Out of 69 times, MAR closed higher 56.52% of the time on the next trading day after the market condition occurred.