BTCEUR closes within previous day's range
Bitcoin/Euro Index (BTCEUR) Technical Analysis Report for Oct 23, 2020 | by Techniquant Editorial Team
BTCEUR ended the week 10.83% higher at 10891.84 after losing €91.57 (-0.83%) today. Closing within the prior day's range, prices missed to decisively move beyond the previous day's trading range.
Daily Candlestick Chart (BTCEUR as at Oct 23, 2020):
Friday's trading range has been €270.85 (2.47%), that's slightly above the last trading month's daily average range of €263.77. 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 BTCEUR.
During the whole day, prices traded within the prior day's range, unable to trade above the previous day's high or below the prior day's low forming an Inside Bar.
Prices are trading close to the key technical resistance level at 11156.22 (R1). After having been unable to move lower than 10699.37 in the previous session, BTC found buyers again around the same price level today at 10751.59. The last time this happened on October 16th, BTCEUR gained 0.32% on the following trading day.
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 while could signal a potential change in momentum that might lead to a correction back down towards the center of the Bollinger Bands at 9758.32.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Buying could accelerate should prices move above the close-by swing high at 11156.22 where further buy stops might get triggered.
Among the three market conditions that our pattern recognition engine identified today, the statistics for the Technical Indicators based market condition "Close above the upper Bollinger Band" stand out. Its common bullish interpretation has been confirmed for BTC/EUR. Out of 322 times, BTCEUR closed higher 57.76% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the long side has been after 10 trading days, showing a win rate of 68.01% with an average market move of 9.08%.