TEAM rallies, gaining $16.52 (8.65%) within a single day on high volume
Atlassian Corporation Plc (TEAM) Technical Analysis Report for Oct 16, 2020 | by Techniquant Editorial Team
TEAM finished the week 4.32% higher at 207.45 after surging $16.52 (8.65%) today on high volume, notably outperforming the S&P 500 (0.01%). This is the biggest single-day gain in over two months. Today's close at 207.45 marks the highest recorded closing price ever. The bulls were in full control today, moving the market higher throughout the whole session.
Daily Candlestick Chart (TEAM as at Oct 16, 2020):
Friday's trading range has been $21.97 (11.45%), that's far above the last trading month's daily average range of $7.37. Weekly volatility is also higher, being way above the market's average weekly trading range. The longer-term, monthly volatility is currently strongly higher than usual for TEAM.
One bullish candlestick pattern matches today's price action, the White Candle.
Buyers managed to take out the key technical resistance level at 198.41 (now S1), which is likely to act as support going forward. The last time this happened on October 9th, TEAM actually lost -2.30% on the following trading day.
Crossing above the upper Bollinger Band for the first time since October 9th, prices have shown unusually strong upward momentum in the short-term. This might either indicate a potential buying climax after which prices could head back down towards the mean of the Bollinger Bands at 187.12 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 nine market conditions that our pattern recognition engine identified today, the statistics for the Technical Indicators based market condition "Close above the upper Bollinger Band" stand out. Its common bullish interpretation has been confirmed for Atlassian. Out of 98 times, TEAM closed higher 59.18% 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 60.20% with an average market move of 1.46%.