BTGUSD closes within previous day's range
Bitcoin Gold/US Dollar Index (BTGUSD) Technical Analysis Report for Nov 22, 2020 | by Techniquant Editorial Team
BTGUSD finished Sunday at 9.40 losing $0.48 (-4.86%). Closing within the previous day's range, prices failed to decisively move beyond the prior day's trading range.
Daily Candlestick Chart (BTGUSD as at Nov 22, 2020):
Sunday's trading range has been $0.76 (7.69%), that's slightly above the last trading month's daily average range of $0.59. Weekly volatility is also higher, being way above the market's average weekly trading range. The longer-term, monthly volatility is currently higher than usual for BTGUSD.
Notwithstanding a strong opening BTG/USD closed below the previous day's open and close, forming a bearish Engulfing Candle. Additionally, one bearish candlestick pattern matches today's price action, the Black Candle. The last time a Black Candle showed up on Thursday, BTGUSD actually gained 6.56% on the following trading day.
The cryptocurrency ran into sellers again today around 9.99 for the third trading day in a row after having found sellers at 9.98 in the prior session and at 9.85 two days ago.
Crossing below the upper Bollinger Band, prices have lost at least some of their upward momentum in the short-term and could now be heading back down towards the mean of the Bollinger Bands at 7.95.
Although still in a long-term downtrend, the short and medium-term trends both turned bullish already.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "High close to previous High" stand out. Its common bearish interpretation has been confirmed for BTG/USD. Out of 276 times, BTGUSD closed lower 53.99% 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 60.51% with an average market move of -0.30%.