WAVESUSD closes within previous day's range after lackluster session
Waves/US Dollar Index (WAVESUSD) Technical Analysis Report for Nov 09, 2019 | by Techniquant Editorial Team
WAVESUSD finished Saturday at 0.77 flat on low volume. 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 (WAVESUSD as at Nov 09, 2019):
Saturday's trading range has been $0.01 (1.3%), that's far below the last trading month's daily average range of $0.05. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for WAVESUSD.
During the whole day, prices traded within the previous day's range, unable to trade above the prior day's high or below the previous day's low forming an Inside Bar. Additionally, three candlestick patterns are matching today's price action, the Bullish Harami Cross Pattern and the Southern Doji which are both known as bullish patterns and one neutral pattern, the Doji. The last time a Bullish Harami Cross Pattern showed up on October 24th, WAVESUSD gained 6.94% on the following trading day.
Prices are trading close to the key technical support level at 0.75 (S1).
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 0.75 where further sell stops might get activated. With prices trading close to this year's low at 0.69, downside momentum could speed up should WAVES/USD break out to new lows for the year.
Among the five market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Doji" stand out. While it is usually interpreted as neutral, it has actually shown to be bearish for WAVES/USD. Out of 84 times, WAVESUSD closed lower 46.43% 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 10 trading days, showing a win rate of 73.81% with an average market move of -4.54%.
With five out of the seven Major Cryptocurrencies closing higher today, the ones that stand out on the positive side are LTCUSD gaining 2.57% and BCHUSD closing 1.29% higher. On the flipside the worst performers have been ETCUSD closing -0.8% lower and BTCUSD losing -0.16%. Looking at the other Minor Cryptocurrencies, the winners of the day have been KMDBTC surging 19.83% and KMDUSD closing 19.72% higher. The worst performers of the day have been SCBTC tanking -4.35% and PIVXBTC closing -4.06% lower. Read more