VERI closes below its opening price unable to hold early session gains
Veritone Inc. (VERI) Technical Analysis Report for May 22, 2020 | by Techniquant Editorial Team
VERI ended the week 16.04% higher at 8.03 after losing $0.21 (-2.55%) today, strongly underperforming the S&P 500 (0.24%) ahead of tomorrow's Memorial Day market holiday. Trading $0.47 higher after the open, Veritone was unable to hold its gains as the bears took control ending the day below its opening price. The last time this happened on Monday, VERI actually gained 2.15% on the following trading day. Closing within the previous day's range, prices missed to decisively move beyond the prior day's trading range.
Daily Candlestick Chart (VERI as at May 22, 2020):
Friday's trading range has been $0.87 (10.53%), that's slightly above the last trading month's daily average range of $0.82. Weekly volatility is also higher, being slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently higher than usual for VERI.
Prices are trading close to the key technical support level at 7.55 (S1).
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Among the three market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Down Close Near Low of Period" stand out. Its common bearish interpretation has been confirmed for Veritone. Out of 164 times, VERI closed lower 53.66% 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 64.02% with an average market move of -1.66%.