TRXBTC rockets, gaining BTC0.00000022 (15.6%) within a single day on high volume
Tron/Bitcoin Index (TRXBTC) Technical Analysis Report for Nov 21, 2020 | by Techniquant Editorial Team
TRXBTC finished Saturday at 0.00000163 surging BTC0.00000022 (15.6%) on high volume. This is the biggest single-day gain in over two months. The last time we've seen such an unusually strong single-day gain on September 3rd, TRXBTC actually lost -14.79% on the following trading day. The bulls were in full control today, moving the market higher throughout the whole session. Closing above Friday's high at 0.00000146, Tron confirmed its breakout through the previous session high after trading up to BTC0.00000018 above it intraday.
Daily Candlestick Chart (TRXBTC as at Nov 21, 2020):
Saturday's trading range has been BTC0.00000024 (17.02%), that's far above the last trading month's daily average range of BTC0.00000009. Weekly volatility is also higher, being slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for TRXBTC.
Regardless of a weak opening TRX managed to close above the prior day's open and close, forming a bullish Engulfing Candle. Additionally, one bullish candlestick pattern matches today's price action, the White Candle.
The cryptocurrency managed to close above the 20-day moving average at 0.00000162 for the first time since October 3rd. Prices are trading close to the key technical resistance level at 0.00000166 (R1). After having been unable to move lower than 0.00000139 in the previous session, TRON/BTC found buyers again around the same price level today at 0.00000140.
Though the market 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 nearby swing high at 0.00000166 where further buy stops might get activated.
Among the 12 market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Low close to prior low" stand out. While it is usually interpreted as bullish, it has actually shown to be bearish for TRON/BTC. Out of 325 times, TRXBTC closed lower 56.92% 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 nine trading days, showing a win rate of 64.62% with an average market move of 4.66%.