LTCBTC runs into sellers again around 0.00484
Litecoin/Bitcoin Index (LTCBTC) Technical Analysis Report for May 23, 2020 | by Techniquant Editorial Team
LTCBTC ended Saturday at 0.00478 losing BTC0.00004 (-0.83%) on low volume. Closing within the previous day's range, prices failed to decisively move beyond the prior day's trading range in a lackluster session.
Daily Candlestick Chart (LTCBTC as at May 23, 2020):
Saturday's trading range has been BTC0.00007 (1.45%), that's far below the last trading month's daily average range of BTC0.00016. 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 LTCBTC.
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. After moving higher in the prior session, the cryptocurrency closed lower but above the previous day's open today, forming a bearish Harami Candle. Additionally, two candlestick patterns are matching today's price action, the Bearish Short Candle and the Black Candle which are both known as bearish patterns. The last time a Black Candle showed up on May 17th, LTCBTC actually gained 3.10% on the following trading day.
Prices are trading close to the key technical support level at 0.00471 (S1). After having been unable to move above 0.00485 in the prior session, the market ran into sellers again around the same price level today, failing to move higher than 0.00484.
Though LTC/BTC is experiencing a short-term uptrend, this might just be a correction, as both the medium and long-term trends are still bearish.
Buying could accelerate should prices move above the close-by swing high at 0.00485 where further buy stops might get triggered. Selling could speed up should prices move below the nearby swing low at 0.00461 where further sell stops might get activated.
Among the eight market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bearish Harami Candle" stand out. Its common bearish interpretation has been confirmed for LTC/BTC. Out of 66 times, LTCBTC closed lower 51.52% 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 65.15% with an average market move of 0.02%.
With five out of the seven Major Cryptocurrencies closing lower today, the ones that stand out on the negative side are EOSUSD losing -1.16% and LTCUSD closing -0.81% lower. On the flipside the best performers have been ETCUSD closing 1.55% higher and BTCUSD gaining 0.23%. Looking at the other Minor Cryptocurrencies, the winners of the day have been BCNUSD surging 10.84% and XVGUSD closing 5.05% higher. The worst performers of the day have been HSRBTC tanking -9.88% and ARDRBTC closing -9.27% lower. Read more