PAH breaks below 20-day moving average
Platform Specialty Products Corp (PAH) Technical Analysis Report for Aug 10, 2018 | by Techniquant Editorial Team
PAH ended the week unchanged at 12.25 after losing $0.31 (-2.47%) today. The bears were in full control today, moving the market lower throughout the whole session. Closing below Thursday's low at 12.38, the share confirms its breakout through the prior session's low having traded $0.14 below it intraday. Ending with a weak close near the low of the day sets a bearish note for the next session.
Daily Candlestick Chart (PAH as at Aug 10, 2018):
Friday's trading range was $0.38 (3.03%), that's slightly below last trading month's daily average range of $0.44. Things look different on a weekly scale, where volatility is way below the markets average with the monthly volatility being slightly above average.
In spite of a strong opening the stock closed below the previous day's open and close, forming a bearish Engulfing Candle.
Breaking below the key support level at 12.31 today, it is now likely to act as resistance going forward. After having been unable to move above 12.62 in the prior session, Platform Specialty ran into sellers again around the same price level today, failing to move higher than 12.62.
Though the market is currently in a short-term down trend, this might just be a correction, as the medium and long term trends are both positive. PAH broke below the 20-day moving average at 12.25 today for the first time since August 1st.
With prices trading close to this year's high at 12.94, upside momentum could accelerate should the share be able to break out to new highs for the year. Further buying might move prices higher should the market test July's close-by high at 12.89.