ADAUSD dominated by bulls lifting the market higher throughout the day
Cardano/US Dollar Index (ADAUSD) Technical Analysis Report for Nov 21, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, ADAUSD ended Saturday at 0.1338 surging $0.0154 (13.01%) on high volume. This is the biggest single-day gain in over three months. Today's close at 0.1338 marks the highest recorded closing price since August 20th. The bulls were in full control today, moving the market higher throughout the whole session. Closing above Friday's high at 0.1189, Cardano confirmed its breakout through the prior session high after trading up to $0.0157 above it intraday.
Daily Candlestick Chart (ADAUSD as at Nov 21, 2020):
Saturday's trading range has been $0.0180 (15.2%), that's far above the last trading month's daily average range of $0.0075. Weekly volatility is also higher, being way above the market's average weekly trading range. The longer-term, monthly volatility is currently significantly higher than usual for ADAUSD.
One bullish candlestick pattern matches today's price action, the White Candle.
With another close above the upper Bollinger Band, prices are confirming their strong upward momentum in the short-term. A drop back into the Bollinger Band on the next trading day although might signal a potential change in momentum that could lead to a correction back down towards the center of the Bollinger Bands at 0.1054.
While still in a long-term downtrend, the short and medium-term trends both turned bullish already.
Among the 10 market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Up Close near high of period" stand out. Though it is usually interpreted as bullish, it has actually shown to be bearish for ADA/USD. Out of 194 times, ADAUSD closed lower 60.31% of the time on the next trading day after the market condition occurred.