XEMUSD dominated by bulls lifting the market higher throughout the day
XEM/US Dollar Index (XEMUSD) Technical Analysis Report for Aug 18, 2019 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, XEMUSD ended Sunday at 0.0554 gaining $0.0014 (2.59%). The bulls were in full control today, moving the market higher throughout the whole session. Closing above Saturday's high at 0.0545, NEM confirmed its breakout through the prior session high after trading up to $0.0009 above it intraday.
Daily Candlestick Chart (XEMUSD as at Aug 18, 2019):
Sunday's trading range has been $0.0013 (2.4%), that's far below the last trading month's daily average range of $0.0032. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for XEMUSD. Prices continued to consolidate within a tight trading range between 0.0525 and 0.0557 where it has been caught now for the last three trading days.
Two candlestick patterns are matching today's price action, the Bullish Short Candle and the White Candle which are both known as bullish patterns.
Buyers managed to take out the key technical resistance level at 0.0543 (now S1), which is likely to act as support going forward. The last time this happened on July 26th, XEMUSD actually lost -4.54% on the following trading day.
While still in a long-term uptrend, the short and medium-term trends both turned bearish already.
Buying might accelerate should prices move above the close-by swing high at 0.0557 where further buy stops could get triggered. Selling might speed up should prices move below the nearby swing low at 0.0525 where further sell stops could get activated.
Among the 11 market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Price broke through Technical Resistance R1" stand out. Although it is usually interpreted as bullish, it has actually shown to be bearish for XEM/USD. Out of 70 times, XEMUSD closed lower 64.29% of the time on the next trading day after the market condition occurred.
With seven out of the seven Major Cryptocurrencies closing higher today, the ones that stand out on the positive side are XRPUSD gaining 6.54% and LTCUSD closing 5.12% higher. None of the markets ended the day in the red. Looking at the other Minor Cryptocurrencies, the winners of the day have been XMRUSD surging 7.26% and ADAUSD closing 6.96% higher. The worst performers of the day have been BTCCNY tanking -9.13% and ETHCNY closing -5.73% lower. Read more