TPM.AX stuck within tight trading range
TPG Telecom Limited (TPM.AX) Technical Analysis Report for Jun 14, 2018 | by Techniquant Editorial Team
TPM.AX ended Thursday at 5.47 gaining A$0.07 (1.3%). Closing above Wednesday's high at 5.44, the market confirms its breakout through the prior session's high having traded A$0.08 above it intraday.
Daily Candlestick Chart (TPM.AX as at Jun 14, 2018):
Thursday's trading range was A$0.15 (2.79%), that's above last trading month's daily average range of A$0.12. Things look different on a weekly scale, where volatility is below the markets average with the monthly volatility being below average. Prices continued to consolidate within a tight trading range between 5.37 and 5.52 which it has been in now for the last three days.
Regardless of a weak opening TPG Telecom managed to close above the previous day's open and close, forming a bullish Engulfing Candle.
Breaking through the key resistance level at 5.44 today, it is now likely to act as support going forward. Prices are trading close to the key resistance level at 5.55. After having been unable to move lower than 5.37 in the prior session, the share found buyers again around the same price level today at 5.37.
Though the stock is experiencing a short-term up trend, this might just be a correction, as both the medium and long term trends are still in negative territory. TPM.AX managed to break above the 50-day moving average at 5.46 today for the first time since June 7th.
Buying could accelerate should prices move above the nearby swing high at 5.60 where further buy stops might get triggered.