VTR finds buyers around 37.68 for the third day in a row
Ventas Inc. (VTR) Technical Analysis Report for Jul 31, 2020 | by Techniquant Editorial Team
Moving lower for the 2nd day in a row, VTR finished the month 4.75% higher at 38.36 after edging lower $0.17 (-0.44%) today, significantly underperforming the S&P 500 (0.77%). Closing within the prior day's range, prices failed to decisively move beyond the previous day's trading range in a lackluster session.
Daily Candlestick Chart (VTR as at Jul 31, 2020):
Friday's trading range has been $1.04 (2.69%), that's below the last trading month's daily average range of $1.44. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for VTR. Prices continued to consolidate within a tight trading range between 37.67 and 39.09 where it has been caught now for the last three trading days.
Prices are trading close to the key technical resistance level at 39.44 (R1). Ventas found buyers again today around 37.68 for the third trading day in a row after having found demand at 37.75 in the prior session and at 37.67 two days ago. The last time this happened on July 17th, VTR actually lost -5.20% on the following trading day.
While still in a long-term downtrend, the short and medium-term trends both turned bullish already.
As prices are trading close to July's high at 39.44, upside momentum might speed up should the share mark new highs for the month.
Among the three market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "2 Consecutive Lower Closes" stand out. Although it is usually interpreted as bearish, it has actually shown to be bullish for Ventas. Out of 293 times, VTR closed higher 54.27% of the time on the next trading day after the market condition occurred.