ELFBTC closes above its opening price after recovering from early selling pressure
Aelf/Bitcoin Index (ELFBTC) Technical Analysis Report for Jan 12, 2019 | by Techniquant Editorial Team
ELFBTC ended Saturday at 0.00002897 gaining BTC0.00000046 (1.61%). Trading up to BTC0.00000033 lower after the open, the market managed to reverse during the session as bulls took control ending the day above its opening price. Closing within the previous day's range, prices missed to decisively move beyond the prior day's trading range in a lackluster session.
Daily Candlestick Chart (ELFBTC as at Jan 12, 2019):
Saturday's trading range has been BTC0.00000089 (3.12%), that's below the last trading month's daily average range of BTC0.00000162. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently just the same than usual for ELFBTC.
During the whole day, prices traded within the previous day's range, unable to trade above the prior day's high or below the previous day's low forming an Inside Bar. Notwithstanding a weak opening ELF managed to close above the prior day's open and close, forming a bullish Engulfing Candle. The last time this candlestick pattern showed up on December 9, 2018, ELFBTC actually lost -8.12% on the following trading day. Additionally, two candlestick patterns are matching today's price action, the Bullish Short Candle and the White Candle which are both known as bullish patterns.
Prices are trading close to the key technical resistance level at 0.00002966 (R1). After having been unable to move lower than 0.00002798 in the previous session, ELF/BTC found buyers again around the same price level today at 0.00002818.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Buying could speed up should prices move above the nearby swing high at 0.00003056 where further buy stops might get triggered. Selling could accelerate should prices move below the close-by swing low at 0.00002748 where further sell stops might get activated. With prices trading close to this year's high at 0.00003237, upside momentum could speed up should Aelf be able to break out to new highs for the year.2018's low at 0.00002742 is within reach and we might see further downside momentum should the cryptocurrency break out beyond.
Among the 10 market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Bullish Intraday Reversal" stand out. While it is usually interpreted as bullish, it has actually shown to be bearish for ELF/BTC. Out of 47 times, ELFBTC closed lower 53.19% 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 78.72% with an average market move of -8.20%.
With five out of the seven Major Cryptocurrencies closing higher today, the ones that stand out on the positive side are BCHUSD gaining 3.0% and ETCUSD closing 1.55% higher. On the flipside the worst performers have been ETHUSD closing -0.72% lower and BTCUSD losing -0.05%. Looking at the other Minor Cryptocurrencies, the winners of the day have been HSRBTC surging 48.59% and LSKUSD closing 6.56% higher. The worst performers of the day have been TRXUSD tanking -7.9% and TRXBTC closing -6.57% lower. Read more