MLM closes higher for the 2nd day in a row
Martin Marietta Materials Inc. (MLM) Technical Analysis Report for Jul 13, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, MLM ended Monday at 210.41 gaining $0.26 (0.12%), notably outperforming the S&P 500 (-0.94%). Trading $4.58 higher after the open, the share was unable to hold its gains as the bears took control ending the day below its opening price. The last time this happened on July 6th, MLM lost -1.74% on the following trading day. Closing within the prior day's range, prices missed to decisively move beyond the previous day's trading range.
Daily Candlestick Chart (MLM as at Jul 13, 2020):
Monday's trading range has been $6.67 (3.15%), that's slightly above the last trading month's daily average range of $6.64. 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 slightly lower than usual for MLM.
Prices are trading close to the key technical support level at 207.65 (S1).
Though still in a long-term downtrend, the short and medium-term trends both turned bullish already.
Selling could accelerate should prices move below the close-by swing low at 202.51 where further sell stops might get activated.
Among the four market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "2 Consecutive Higher Closes" stand out. Its common bullish interpretation has been confirmed for Martin Marietta. Out of 325 times, MLM closed higher 54.46% 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 54.77% with an average market move of 0.83%.