SCP.AX finds buyers at key support level
Sca Property Group Units FP Stapled Securities (SCP.AX) Technical Analysis Report for Mar 15, 2019 | by Techniquant Editorial Team
Moving higher for the 7th day in a row, SCP.AX finished the week 5.26% higher at 2.60 after gaining $0.03 (1.17%) today, notably outperforming the ASX 200 (-0.07%). Today's close at 2.60 marks the highest recorded closing price since December 27, 2018. Closing above Thursday's high at 2.59, Sca Property confirmed its breakout through the previous session high after trading up to $0.03 above it intraday.
Daily Candlestick Chart (SCP.AX as at Mar 15, 2019):
Friday's trading range has been $0.06 (2.33%), that's above the last trading month's daily average range of $0.05. Weekly volatility is also higher, being way above the market's average weekly trading range. The longer-term, monthly volatility is currently strongly higher than usual for SCP.AX.
After trading down to 2.56 earlier during the day, the market bounced off the key technical support level at 2.58 (S1). The failure to close below the support might increase that levels significance as support going forward. When prices bounced off a significant support level the last time on Wednesday, SCP.AX gained 0.39% on the following trading day. Prices are trading close to the key technical resistance level at 2.63 (R1).
With another close above the upper Bollinger Band, prices are confirming their strong upward momentum in the short-term. A drop back into the Bollinger Band on the next trading day though could signal a potential change in momentum that might lead to a correction back down towards the center of the Bollinger Bands at 2.47.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Among the five market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "7 Consecutive Higher Closes" stand out. While it is usually interpreted as bullish, it has actually shown to be bearish for Sca Property. Out of 1 times, SCP.AX closed lower 100.00% 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 five trading days, showing a win rate of 100.00% with an average market move of -0.54%.