LSKUSD finds buyers again around 1.06
LSK/US Dollar Index (LSKUSD) Technical Analysis Report for Oct 17, 2020 | by Techniquant Editorial Team
LSKUSD finished Saturday at 1.07 gaining $0.01 (0.94%). Closing within the prior day's range, prices missed to decisively move beyond the previous day's trading range in a lackluster session.
Daily Candlestick Chart (LSKUSD as at Oct 17, 2020):
Saturday's trading range has been $0.02 (1.89%), that's far below the last trading month's daily average range of $0.04. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for LSKUSD.
After moving lower in the prior session, LSK managed to close higher but below the previous day's open, forming a bullish Harami Candle. The last time this candlestick pattern showed up on September 14th, LSKUSD actually lost -5.48% on the following trading day. Additionally, one bullish candlestick pattern matches today's price action, the Tweezer Bottom.
Prices are trading close to the key technical resistance level at 1.09 (R1). After having been unable to move lower than 1.06 in the prior session, the market found buyers again around the same price level today at 1.06.
While LSK/USD is experiencing a short-term uptrend, this could just be a correction, as both the medium and long-term trends are still bearish.
Selling might speed up should prices move below the close-by swing low at 1.04 where further sell stops could get triggered. As prices are trading close to October's low at 1.04, downside momentum might accelerate should Lisk mark new lows for the month.
Among the four market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bullish Harami Candle" stand out. Its common bullish interpretation has been confirmed for LSK/USD. Out of 42 times, LSKUSD closed higher 57.14% 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 61.90% with an average market move of 12.90%.
With four out of the seven Major Cryptocurrencies closing higher today, the ones that stand out on the positive side are ETHUSD gaining 0.81% and BTCUSD closing 0.37% higher. On the flipside the worst performers have been BCHUSD closing -2.05% lower and LTCUSD losing -1.43%. Looking at the other Minor Cryptocurrencies, the winners of the day have been WAVESUSD surging 8.14% and WAVESBTC closing 7.59% higher. The worst performers of the day have been BCNUSD tanking -10.94% and BCHBTC closing -2.26% lower. Read more