NI dominated by bulls lifting the market higher throughout the day
NiSource Inc (NI) Technical Analysis Report for Mar 26, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, NI ended Thursday at 24.55 gaining $1.72 (7.53%), significantly outperforming the S&P 500 (6.24%). The bulls were in full control today, moving the market higher throughout the whole session. Closing above Wednesday's high at 23.50, the share confirmed its breakout through the previous session high after trading up to $1.31 above it intraday.
Daily Candlestick Chart (NI as at Mar 26, 2020):
Thursday's trading range has been $2.07 (9.1%), that's slightly above the last trading month's daily average range of $2.02. 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 strongly higher than usual for NI.
One bullish candlestick pattern matches today's price action, the White Candle.
Buyers managed to take out the key technical resistance level at 24.21 (now S1), which is likely to act as support going forward. The last time this happened on March 10th, NI actually lost -4.98% on the following trading day.
Though NiSource is experiencing a short-term uptrend, this could just be a correction, as both the medium and long-term trends are still bearish.
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. Its common bullish interpretation has been confirmed for NiSource. Out of 310 times, NI closed higher 55.16% 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 57.10% with an average market move of 0.31%.