SRT3.DE breaks below Thursday's low
Sartorius Aktiengesellschaft (SRT3.DE) Technical Analysis Report for Dec 07, 2018 | by Techniquant Editorial Team
Moving lower for the 2nd day in a row, SRT3.DE ended the week -2.59% lower at 109.20 after losing €2.10 (-1.89%) today on high volume, significantly underperforming the TecDAX (0.45%). Today's close at 109.20 marks the lowest recorded closing price since March 5th. Trading €2.90 higher after the open, Sartorius was unable to hold its gains as the bears took control ending the day below its opening price. The last time this happened on November 16th, SRT3.DE lost -4.92% on the following trading day. Closing below Thursday's low at 110.30, the market confirmed its breakout through the prior session low after trading up to €1.10 below it intraday.
Daily Candlestick Chart (SRT3.DE as at Dec 07, 2018):
Friday's trading range has been €4.90 (4.41%), that's slightly below the last trading month's daily average range of €4.95. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently lower than usual for SRT3.DE.
Prices broke below the key technical support level at 109.70 (now R1), which is likely to act as resistance going forward.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Trading close to October's low at 107.80 we might see further downside momentum if potential sell stops at the level get activated.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Bearish Intraday Reversal" stand out. While it is usually interpreted as bearish, it has actually shown to be bullish for Sartorius. Out of 256 times, SRT3.DE closed higher 53.52% 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 62.50% with an average market move of 2.31%.