LTCJPY dominated by bears dragging the market lower throughout the day
Litecoin/Japanese Yen Index (LTCJPY) Technical Analysis Report for Nov 22, 2020 | by Techniquant Editorial Team
LTCJPY finished Sunday at 8593.51 losing ¥446.93 (-4.94%). The bears were in full control today, moving the market lower throughout the whole session. Closing within the prior day's range, prices missed to decisively move beyond the previous day's trading range.
Daily Candlestick Chart (LTCJPY as at Nov 22, 2020):
Sunday's trading range has been ¥511.87 (5.66%), that's slightly above the last trading month's daily average range of ¥504.99. Weekly volatility is also higher, being way above the market's average weekly trading range. The longer-term, monthly volatility is currently notably higher than usual for LTCJPY. Prices continued to consolidate within a tight trading range between 8429.61 and 9092.81 where it has been caught now for the last three trading days.
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 Belt-hold and the Black Candle which are both known as bearish patterns. The last time a Black Candle showed up on November 15th, LTCJPY actually gained 18.23% on the following trading day.
Prices are trading close to the key technical support level at 8321.22 (S1). LTC/JPY found buyers again today around 8528.57 for the third trading day in a row after having found demand at 8435.03 in the previous session and at 8429.61 two days ago.
Crossing below the upper Bollinger Band, prices have lost at least some of their upward momentum in the short-term and might now be heading back down towards the mean of the Bollinger Bands at 6975.99.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Among the 10 market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bearish Belt-hold" stand out. Its common bearish interpretation has been confirmed for LTC/JPY. Out of 19 times, LTCJPY closed lower 57.89% of the time on the next trading day after the market condition occurred.