IOTBTC closes within previous day's range
IOTA/Bitcoin Index (IOTBTC) Technical Analysis Report for Dec 08, 2018 | by Techniquant Editorial Team
IOTBTC finished Saturday at 0.0000650 losing BTC0.0000028 (-4.13%). Closing within the prior day's range, prices failed to decisively move beyond the previous day's trading range.
Daily Candlestick Chart (IOTBTC as at Dec 08, 2018):
Saturday's trading range has been BTC0.0000046 (6.78%), that's slightly above the last trading month's daily average range of BTC0.0000043. Weekly volatility is also higher, being slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for IOTBTC.
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. Additionally, one bearish candlestick pattern matches today's price action, the Black Candle. The last time a Black Candle showed up on Thursday, IOTBTC actually gained 5.12% on the following trading day.
Prices are trading close to the key technical support level at 0.0000630 (S1).
Crossing below the lower Bollinger Band for the first time since Thursday, prices have shown unusually strong downward momentum in the short-term. This might either indicate a potential selling climax after which prices could head back up towards the mean of the Bollinger Bands at 0.0000698 or signal the beginning of a strong momentum breakout leading to even lower prices.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Selling might accelerate should prices move below the nearby swing low at 0.0000621 where further sell stops could get triggered.
Among the seven market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Close to Swing Low" stand out. While it is usually interpreted as neutral, it has actually shown to be bearish for IOT/BTC. Out of 196 times, IOTBTC closed lower 55.10% 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 65.82% with an average market move of -1.20%.
With four out of the seven Major Cryptocurrencies closing lower today, the ones that stand out on the negative side are BCHUSD losing -4.7% and LTCUSD closing -1.04% lower. On the flipside the best performers have been EOSUSD closing 6.86% higher and XRPUSD gaining 2.28%. Looking at the other Minor Cryptocurrencies, the winners of the day have been BTCCNY surging 21.7% and ETHCNY closing 18.49% higher. The worst performers of the day have been BCHBTC tanking -6.69% and BTGBTC closing -3.87% lower. Read more