MTB closes higher for the 3rd day in a row
M&T Bank Corporation (MTB) Technical Analysis Report for Mar 26, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, MTB finished Thursday at 110.71 gaining $5.71 (5.44%) on low volume, underperforming the S&P 500 (6.24%). Closing above Wednesday's high at 108.98, M&T Bank confirmed its breakout through the prior session high after trading up to $2.74 above it intraday.
Daily Candlestick Chart (MTB as at Mar 26, 2020):
Thursday's trading range has been $8.01 (7.57%), that's slightly below the last trading month's daily average range of $9.29. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for MTB.
One bullish candlestick pattern matches today's price action, the White Candle. The last time a White Candle showed up on Tuesday, MTB gained 6.31% on the following trading day.
Buyers managed to take out the key technical resistance level at 108.60 (now S1), which is likely to act as support going forward.
While the stock is experiencing a short-term uptrend, this might just be a correction, as both the medium and long-term trends are still bearish.
Buying could accelerate should prices move above the nearby swing high at 111.86 where further buy stops might get triggered.
Among the eight market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Price broke through Technical Resistance R1" stand out. Although it is usually interpreted as bullish, it has actually shown to be bearish for M&T Bank. Out of 271 times, MTB closed lower 53.87% 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 10 trading days, showing a win rate of 48.34% with an average market move of -0.04%.