LTCJPY closes within previous day's range after lackluster session
Litecoin/Japanese Yen Index (LTCJPY) Technical Analysis Report for Oct 17, 2020 | by Techniquant Editorial Team
Moving lower for the 5th day in a row, LTCJPY finished Saturday at 4954.65 losing ¥72.28 (-1.44%). 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 (LTCJPY as at Oct 17, 2020):
Saturday's trading range has been ¥132.19 (2.63%), that's below the last trading month's daily average range of ¥211.47. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for LTCJPY.
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, two candlestick patterns are matching today's price action, the Bearish Short Candle and the Black Candle which are both known as bearish patterns.
LTC/JPY closed back below the 20-day moving average at 5007.32 for the first time since October 3rd. When this moving average was crossed below the last time on September 2nd, LTCJPY lost -17.77% on the following trading day. After having been unable to move lower than 4874.04 in the previous session, the cryptocurrency found buyers again around the same price level today at 4902.30.
LTC shows strength in the short-term supported by its long-term uptrend with only the medium-term trend being bearish.
Selling might speed up should prices move below the close-by swing low at 4874.04 where further sell stops could get triggered. As prices are trading close to October's low at 4580.11, downside momentum might accelerate should the market mark new lows for the month.
Among the seven market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Price broke through Technical Support S1" stand out. Although it is usually interpreted as bearish, it has actually shown to be bullish for LTC/JPY. Out of 211 times, LTCJPY closed higher 54.98% 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 three trading days, showing a win rate of 54.50% with an average market move of 4.61%.
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