TRXBTC closes within previous day's range
Tron/Bitcoin Index (TRXBTC) Technical Analysis Report for Aug 01, 2020 | by Techniquant Editorial Team
TRXBTC finished Saturday at 0.00000173 losing BTC0.00000001 (-0.57%) on high volume. Closing within the previous day's range, prices failed to decisively move beyond the prior day's trading range.
Daily Candlestick Chart (TRXBTC as at Aug 01, 2020):
Saturday's trading range has been BTC0.00000009 (5.17%), that's slightly above the last trading month's daily average range of BTC0.00000007. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for TRXBTC. Prices continued to consolidate within a tight trading range between 0.00000168 and 0.00000177 where it has been caught now for the last three trading days.
In a volatile session, prices traded above the previous day's high as well as below the prior day's low, forming a bearish Outside Bar. The last time this happened on July 26th, TRXBTC lost -8.60% on the following trading day. Additionally, three candlestick patterns are matching today's price action, the Last Engulfing Bottom Pattern which is known as bullish pattern and two bearish patterns, the Bearish Spinning Top and the Bearish High-Wave Candle.
After trading down to 0.00000168 earlier during the day, the market bounced off the key technical support level at 0.00000169 (S1). The failure to close below the support might increase that levels significance as support going forward. After spiking up to 0.00000177 during the day, TRX found resistance at the 100-day moving average at 0.00000176.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Selling could accelerate should prices move below the nearby swing low at 0.00000166 where further sell stops might get activated. Trading close to June's low at 0.00000164 we could see further downside momentum if potential sell stops at the level get triggered.
Among the eight market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bearish Outside Bar" stand out. Its common bearish interpretation has been confirmed for TRON/BTC. Out of 33 times, TRXBTC closed lower 63.64% 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 two trading days, showing a win rate of 57.58% with an average market move of -0.42%.
With seven out of the seven Major Cryptocurrencies closing higher today, the ones that stand out on the positive side are XRPUSD gaining 12.04% and ETHUSD closing 11.71% higher. None of the markets ended the day in the red. Looking at the other Minor Cryptocurrencies, the winners of the day have been ZECUSD surging 19.59% and DOGEUSD closing 15.6% higher. The worst performers of the day have been STRATBTC tanking -4.08% and ARDRBTC closing -4.0% lower. Read more