T dominated by bulls lifting the market higher throughout the day
AT&T Inc. (T) Technical Analysis Report for Mar 26, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, T ended Thursday at 30.60 gaining $2.20 (7.75%), notably outperforming the S&P 500 (6.24%). The bulls were in full control today, moving the market higher throughout the whole session. Closing above Wednesday's high at 29.93, the stock confirmed its breakout through the previous session high after trading up to $1.03 above it intraday.
Daily Candlestick Chart (T as at Mar 26, 2020):
Thursday's trading range has been $2.28 (7.95%), that's slightly above the last trading month's daily average range of $1.99. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently strongly higher than usual for T.
Two candlestick patterns are matching today's price action, the Bullish Belt-hold and the White Candle which are both known as bullish patterns.
Unable to break through the key technical resistance level at 30.92 (R1), the market closed below it after spiking up to 30.96 earlier during the day. The failure to close above the resistance could increase that levels significance going forward. When prices bounced off a significant resistance level the last time on March 17th, T lost -2.64% on the following trading day.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Among the nine market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bullish Belt-hold" stand out. Its common bullish interpretation has been confirmed for AT&T. Out of 8 times, T closed higher 62.50% 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 0.46%.