LTCGBP closes higher for the 2nd day in a row
Litecoin/British Pound Index (LTCGBP) Technical Analysis Report for Oct 13, 2018 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, LTCGBP finished Saturday at 41.39 gaining £0.37 (0.9%). Trading up to £2.15 lower after the open, the cryptocurrency 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 (LTCGBP as at Oct 13, 2018):
Saturday's trading range has been £3.26 (7.96%), that's below the last trading month's daily average range of £4.66. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for LTCGBP.
Three candlestick patterns are matching today's price action, the Bullish Spinning Top and the Takuri Line which are both known as bullish patterns and one bearish pattern, the Bearish Hikkake Pattern. The last time a Bearish Hikkake Pattern showed up on September 23rd, LTCGBP lost -5.99% on the following trading day.
After trading down to 38.82 earlier during the day, LTC/GBP bounced off the key technical support level at 39.60 (S1). The failure to close below the support could increase that levels significance as support going forward. Prices are trading close to the key technical resistance level at 43.95 (R1). The market found buyers again today around 38.82 for the third trading day in a row after having found demand at 38.25 in the previous session and at 38.24 two days ago.
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 38.24 where further sell stops could get triggered. With prices trading close to this year's low at 35.54, downside momentum might speed up should LTC break out to new lows for the year.
Among the 12 market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "2 Consecutive Higher Closes" stand out. While it is usually interpreted as bullish, it has actually shown to be bearish for LTC/GBP. Out of 217 times, LTCGBP closed lower 58.06% of the time on the next trading day after the market condition occurred.
With five out of the seven Major Cryptocurrencies closing higher today, the ones that stand out on the positive side are ETHUSD gaining 1.6% and EOSUSD closing 1.54% higher. On the flipside the worst performer has been XRPUSD closing -0.38% lower. Looking at the other Minor Cryptocurrencies, the winners of the day have been STEEMBTC surging 5.26% and SCBTC closing 4.08% higher. The worst performers of the day have been BCNUSD tanking -4.43% and BTGBTC closing -2.26% lower. Read more