SBAC dominated by bulls lifting the market higher throughout the day
SBA Communications Corporation (SBAC) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
SBAC finished the month -5.16% lower at 297.92 after gaining $8.74 (3.02%) today, strongly outperforming the S&P 500 (1.54%). The bulls were in full control today, moving the market higher throughout the whole session. Closing within the previous day's range, prices failed to decisively move beyond the prior day's trading range.
Daily Candlestick Chart (SBAC as at Jun 30, 2020):
Tuesday's trading range has been $10.14 (3.5%), that's slightly below the last trading month's daily average range of $11.57. 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 SBAC.
After moving lower in the previous session, the market managed to close higher but below the prior day's open, forming a bullish Harami Candle. Additionally, one bullish candlestick pattern matches today's price action, the White Candle.
The share managed to close back above the 50-day moving average at 296.33 for the first time since June 19th. Prices are trading close to the key technical resistance level at 300.75 (R1). After having been unable to move above 298.32 in the previous session, the stock ran into sellers again around the same price level today, failing to move higher than 299.70. The last time this happened on June 17th, SBAC lost -2.89% on the following trading day.
Though still in a long-term uptrend, the short and medium-term trends both turned bearish already.
Buying might speed up should prices move above the close-by swing high at 307.53 where further buy stops could get triggered.
Among the nine market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Bullish Break through SMA 20" stand out. Its common bullish interpretation has been confirmed for SBA Communications. Out of 137 times, SBAC closed higher 53.28% 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 64.96% with an average market move of 1.41%.