VTR pushes through key technical resistance level
Ventas Inc. (VTR) Technical Analysis Report for Jun 14, 2019 | by Techniquant Editorial Team
Moving higher for the 4th day in a row, VTR ended the week 3.31% higher at 66.76 after surging $1.33 (2.03%) today, significantly outperforming the S&P 500 (-0.16%). Today's close at 66.76 marks the highest recorded closing price since September 21, 2017. The bulls were in full control today, moving the market higher throughout the whole session. Ending with a strong close near the high of the day sets a bullish note for the next session.
Daily Candlestick Chart (VTR as at Jun 14, 2019):
Friday's trading range has been $1.59 (2.43%), that's far above the last trading month's daily average range of $1.02. Weekly volatility is also higher, being way above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for VTR.
One bullish candlestick pattern matches today's price action, the White Candle.
Buyers managed to take out the key technical resistance level at 66.42 (now S1), which is likely to act as support going forward. The last time this happened on Wednesday, VTR gained 0.88% on the following trading day.
Crossing above the upper Bollinger Band for the first time since March 26th, prices have shown unusually strong upward momentum in the short-term. This could either indicate a potential buying climax after which prices might head back down towards the mean of the Bollinger Bands at 64.59 or signal the beginning of a strong momentum breakout leading to even higher prices.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Among the 10 market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "4 Consecutive Higher Closes" stand out. Its common bullish interpretation has been confirmed for Ventas. Out of 91 times, VTR closed higher 53.85% 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 61.54% with an average market move of 0.49%.