MAR breaks above 200-day moving average for the first time since February 21st
Marriott International (MAR) Technical Analysis Report for Sep 16, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, MAR finished Wednesday at 107.76 gaining $2.37 (2.25%), strongly outperforming the Nasdaq 100 (-1.67%). Today's close at 107.76 marks the highest recorded closing price since June 8th. Trading up to $1.66 lower after the open, the stock managed to reverse during the session as bulls took control ending the day above its opening price. Closing above Tuesday's high at 106.36, the share confirmed its breakout through the previous session high after trading up to $2.53 above it intraday.
Daily Candlestick Chart (MAR as at Sep 16, 2020):
Wednesday's trading range has been $4.44 (4.18%), that's above the last trading month's daily average range of $3.73. Weekly volatility is also higher, being above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for MAR.
Marriott International managed to close above the 200-day moving average at 106.73 for the first time since February 21st. When this moving average was crossed above the last time on November 4, 2019, MAR gained 2.71% on the following trading day.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Among the five market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Bullish Break through SMA 200" stand out. While it is usually interpreted as bullish, it has actually shown to be bearish for Marriott International. Out of 29 times, MAR closed lower 51.72% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the short side has been after eight trading days, showing a win rate of 65.52% with an average market move of -0.53%.