KMDBTC closes higher for the 2nd day in a row
Komodo/Bitcoin Index (KMDBTC) Technical Analysis Report for Oct 23, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, KMDBTC finished the week -14.16% lower at 0.0000394 after gaining BTC0.0000006 (1.55%) today. Ending the day with an indecisive close, neither buyers nor sellers were able to gain control during the session.
Daily Candlestick Chart (KMDBTC as at Oct 23, 2020):
Friday's trading range has been BTC0.0000021 (5.41%), that's slightly above the last trading month's daily average range of BTC0.0000019. Weekly volatility is also higher, being above the market's average weekly trading range. The longer-term, monthly volatility is currently higher than usual for KMDBTC.
One bearish candlestick pattern matches today's price action, the Bearish Hikkake Pattern.
After having been unable to move lower than 0.0000382 in the prior session, KMD/BTC found buyers again around the same price level today at 0.0000384. The last time this happened on October 18th, KMDBTC actually lost -3.27% on the following trading day.
Crossing above the lower Bollinger Band, prices have lost at least some of their downward momentum in the short-term and could now be heading back up towards the mean of the Bollinger Bands at 0.0000467.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Selling might speed up should prices move below the close-by swing low at 0.0000378 where further sell stops could get triggered.
Among the five market conditions that our pattern recognition engine identified today, the statistics for the Technical Indicators based market condition "Close crossed above the lower Bollinger Band" stand out. Though it is usually interpreted as bullish, it has actually shown to be bearish for KMD/BTC. Out of 45 times, KMDBTC closed lower 55.56% 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 eight trading days, showing a win rate of 53.33% with an average market move of -0.35%.