Send me real-time posts from this site at my email
Fan Yang

Axis Capital (AXS) Faces Key Resistance Here Around $54-$56

Axis Capital Holdings $AXS has been recovering since it almost tagged a low of $48 a share in December 2018. However, we should still consider the prevailing bearish pressure as well as resistance factors as it traded around $55 during the 1/23 session.

AXS Daily Chart

(click to enlarge)

Bearish Bias:
- When we look at the daily chart, we can see a market that has been sideways since September 2017. 
- However, the market was bearish before that. 
- Furthermore, price action in late 2018 broke below a key pivot above $52, which broke the price bottom attempt in early 2018. 
- The market is now back to neutral-bearish mode. 
- Because of the bearish bias, we should not expect price to push back to $60, especially if the overall market is in risk averse mode. 
- The $54-$56 area involves a falling trendline.
- This is also the middle of the moving average (200-, 100-, and 50-day) cluster.
- Finally, the $56 area can be assessed as a middle pivot of the general 2018 range, which was roughly between $54 and $58.
- There is still a chance that price will fall back to at least $50.
- A break below $50 below would suggest downside risk to the 2018-lows around $47.50-$48. 
Bullish Scenario:
- If price breaks above $56, I would start limiting the bearish outlook. This scenario would make me respect $50 , or even the $52-$53 area as support.

Welcome!!! Is it your First time here?

What are you looking for? Select your points of interest to improve your first-time experience:

Apply & Continue