UA pushes through Wednesday's high
Under Armour Inc. Class C (UA) Technical Analysis Report for Mar 26, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, UA ended Thursday at 8.76 gaining $0.52 (6.31%), slightly outperforming the S&P 500 (6.24%). Closing above Wednesday's high at 8.74, the market confirmed its breakout through the previous session high after trading up to $0.22 above it intraday.
Daily Candlestick Chart (UA as at Mar 26, 2020):
Thursday's trading range has been $0.88 (10.58%), that's slightly above the last trading month's daily average range of $0.86. 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 lower than usual for UA.
Prices are trading close to the key technical resistance level at 9.51 (R1).
Though Under Armour is experiencing a short-term uptrend, this could just be a correction, as both the medium and long-term trends are still bearish.
Among the three market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "3 Consecutive Higher Closes" stand out. While it is usually interpreted as bullish, it has actually shown to be bearish for Under Armour. Out of 74 times, UA closed lower 56.76% 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 10 trading days, showing a win rate of 56.76% with an average market move of -2.05%.