BATUSD rallies, gaining $0.0314 (15.54%) within a single day
Basic Attention Token/US Dollar Index (BATUSD) Technical Analysis Report for Nov 21, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, BATUSD ended Saturday at 0.2335 surging $0.0314 (15.54%). This is the biggest single-day gain in over three months. The last time we've seen such an unusually strong single-day gain on November 6th, BATUSD actually lost -6.05% on the following trading day. Today's close at 0.2335 marks the highest recorded closing price since September 30th. The bulls were in full control today, moving the market higher throughout the whole session. Closing above Friday's high at 0.2040, the cryptocurrency confirmed its breakout through the previous session high after trading up to $0.0305 above it intraday.
Daily Candlestick Chart (BATUSD as at Nov 21, 2020):
Saturday's trading range has been $0.0325 (16.08%), that's far above the last trading month's daily average range of $0.0126. Weekly volatility is also higher, being above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for BATUSD.
One bullish candlestick pattern matches today's price action, the White Candle.
BAT managed to close above the 50-day moving average at 0.2065 for the first time since September 2nd.
Crossing above the upper Bollinger Band for the first time since August 23rd, 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 0.1978 or signal the beginning of a strong momentum breakout leading to even higher prices.
Though still in a long-term downtrend, the short and medium-term trends both turned bullish already.
Further buying might move prices higher should the market test October's nearby high at 0.2469.
Among the 13 market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Very Strong Up Move" stand out. While it is usually interpreted as bullish, it has actually shown to be bearish for BAT/USD. Out of 47 times, BATUSD closed lower 63.83% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the short side has been after 10 trading days, showing a win rate of 59.57% with an average market move of -2.25%.