PSON.L finds support at 20-day moving average
PSON.L ended the week 1.32% higher at 920.00 after gaining £3.00 (0.33%) today. Closing within the prior day's range, prices failed to decisively move beyond the previous day's trading range in a lackluster session. Ending with a strong close near the high of the day sets a bullish note for the next session.
Friday's trading range was £7.80 (0.85%), that's below last trading month's daily average range of £15.20. Things look different on a weekly scale, where volatility is way below the markets average with the monthly volatility being slightly above average. Prices continued to consolidate within a tight trading range between 913.60 and 929.00 which it has been in now for the last three days.
Prices are trading close to the key resistance level at 926.80. The share found buyers again today around 913.60 for the third trading day in a row after having found demand at 915.20 in the prior session and at 915.40 two days ago. After trading as low as 913.60 during the day, the stock found support at the 20-day moving average at 915.05.
Though Pearson plc is currently in a short-term down trend, this might just be a correction, as the medium and long term trends are both positive.
Buying could speed up should prices move above the close-by swing high at 929.00 where further buy stops might get activated.
While classical technical analysis indicates a neutral sentiment for the next trading day, our quantitative statistics show a different picture being bullish.
Market Conditions for Pearson plc
|2 Consecutive Lower Closes||TQ Pro Members Only|
|Close to S1 Support||TQ Pro Members Only|
|Low close to previous low||TQ Pro Members Only|
|Black Candle||TQ Pro Members Only|
|Bearish Short Candle||TQ Pro Members Only|
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