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Possible Bearish Inside Day Candle Pattern Detected for Automatic Data (NASDAQ:ADP)

By James Quinn

SmarTrend's candlestick scanner has spotted a possible bearish inside day candle pattern in Automatic Data (NASDAQ:ADP) based on the price action in the company's shares. Yesterday's price range of $130.67 and $132.00 is within the prior day's high and low of the day. This trading action often signifies indecision by bulls and bears to drive prices higher or lower and often implies a possible change in trend. Owners of Automatic Data may want to consider a possible hedge in the event a pullback occurs. Look for confirmation in the next few trading days.

Automatic Data (NASDAQ:ADP) defies analysts with a current price ($131.49) 3.2% above its average consensus price target of $127.23. Automatic Data shares should first meet resistance at the 200-day moving average (MA) of $135.94 and find additional resistance at the 50-day MA of $138.30.

Automatic Data share prices have moved between a 52-week high of $153.51 and a 52-week low of $107.61 and closed yesterday at 22% above that low price at $131.49 per share. Over the last five market days, the 200-day moving average (MA) has gone up 0.3% while the 50-day MA has declined 0.5%.

Automatic Data Processing, Inc. is a global provider of business outsourcing solutions. The Company's services include a wide range of human resource, payroll, tax, and benefits administration solutions. Automatic Data also provides solutions to auto, truck, motorcycle, marine, and recreational vehicle dealers.

SmarTrend recommended that its subscribers protect gains by selling shares of Automatic Data on December 10th, 2018 by issuing a Downtrend alert when the shares were trading at $138.49. Since that call, shares of Automatic Data have fallen 5.1%. We are now looking for when a new Uptrend will commence and will alert SmarTrend subscribers in real time.

Keywords: bearish am inside day candle automatic data

Ticker(s): ADP