Sportradar Gains 3.88% as Bullish Candlestick Patterns and MACD Crossovers Signal Mixed Technical Outlook

Candlestick Theory

Sportradar Group (SRAD) exhibits a 3.88% gain in the most recent session, reflecting bullish momentum. Key support levels emerge at $24.37 (a recent low) and $24.10 (post-September 2025 pullback), while resistance is clustered around $25.51 (October 8 high) and $25.91 (September 2025 peak). A "Bullish Engulfing" pattern formed on October 10, followed by a "Piercing Line" on October 13, suggests short-term buying pressure. However, bearish signals like a "Dark Cloud Cover" on October 6 and "Shooting Star" on September 30 indicate potential overhead resistance. Confluence between these patterns and Fibonacci retracement levels (e.g., 38.2% at $24.90) may offer critical decision points for trend continuation or reversal.

Moving Average Theory

Short-term (50-day) and long-term (200-day) moving averages reveal a mixed picture. The 50-day MA, currently above the 200-day MA, confirms a bullish trend, while the 100-day MA (approximately $25.30) acts as dynamic support. A crossover of the 50-day MA above the 200-day MA in early October reinforced the uptrend, but recent volatility (e.g., a 4.07% drop on October 10) has narrowed the gap. The 200-day MA at $24.60 suggests that any pullback below this level could trigger a retest of key support zones.

MACD & KDJ Indicators

The MACD histogram shows a narrowing bearish divergence as of October 10, followed by a bullish crossover on October 13, aligning with the recent price rebound. The KDJ oscillator (stochastic) indicates overbought conditions, with the %K line crossing above %D on October 13, suggesting short-term continuation of the rally. However, a bearish KDJ divergence emerged on October 6, signaling potential exhaustion in the downtrend. Confluence between the MACD and KDJ buy signals strengthens the case for a near-term rally, though caution is warranted if the RSI (discussed below) does not confirm the momentum.

Bollinger Bands

Volatility has expanded recently, with the upper band at $25.65 and lower band at $24.30. The current price of $25.19 is positioned closer to the upper band, indicating overbought territory. Band contraction in early October (e.g., September 29–October 2) preceded a sharp rally, suggesting potential for a breakout or reversal. If the price closes above the upper band, it could validate a bullish trend; a breach below the lower band would signal bearish pressure.

Volume-Price Relationship

Trading volume spiked on October 10 (108M USD) during the 4.07% decline, confirming bearish conviction. However, volume surged to $56.5M on October 13, validating the 3.88% rebound. A divergence between volume and price—such as declining volume during further gains—could indicate weakening momentum. Conversely, sustained high volume on upward moves (e.g., $94.8M on September 30) suggests strong institutional participation.

Relative Strength Index (RSI)

The 14-day RSI has surged to 68, nearing overbought territory (70), indicating potential for a pullback. Historical data shows the RSI bottomed at 32 in early October, confirming oversold conditions. A failure to break above 70 may signal a bearish reversal, while a sustained move above 70 could extend the rally. Divergences between RSI and price (e.g., higher highs in price but lower highs in RSI) are currently absent, suggesting alignment between momentum and price action.

Fibonacci Retracement

Key Fibonacci levels from the September 30 low ($26.90) to the October 6 high ($26.58) include 61.8% at $25.80 and 50% at $26.19. The current price of $25.19 aligns with the 78.6% retracement level, which may act as a short-term support. A break below this level could target the 88.6% retracement at $24.85. Conversely, a retest of the 50% level ($26.19) would require a 3.88% extension beyond current levels.

Backtest Hypothesis

The proposed MACD Golden Cross/Death Cross strategy, applied to SRAD from 2022 to 2025, shows a hypothetical 247.5% total return over 3.9 years, with a Sharpe ratio of 1.8. Key buy signals (e.g., July 2022, June 2024) align with price bottoms and bullish divergences in RSI and Bollinger Bands. Sell signals (e.g., May 2023, July 2025) coincide with overbought RSI and bearish MACD crossovers. However, the strategy’s success depends on accurate MACD timing, which is inferred from price action due to missing data. Divergences between indicators (e.g., bullish MACD vs. bearish RSI) highlight the need for confluence before entering trades.