XMRUSD closes below its opening price unable to hold early session gains
XMR/US Dollar Index (XMRUSD) Technical Analysis Report for Oct 17, 2020 | by Techniquant Editorial Team
Moving lower for the 2nd day in a row, XMRUSD finished Saturday at 120.15 edging lower $0.80 (-0.66%). Trading $2.06 higher after the open, XMR/USD was unable to hold its gains as the bears took control ending the day below its opening price. The last time this happened on October 10th, XMRUSD actually gained 8.69% on the following trading day. Closing within the previous day's range, prices failed to decisively move beyond the prior day's trading range in a lackluster session.
Daily Candlestick Chart (XMRUSD as at Oct 17, 2020):
Saturday's trading range has been $3.44 (2.84%), that's far below the last trading month's daily average range of $8.26. Weekly volatility is also lower, being below the market's average weekly trading range. The longer-term, monthly volatility is currently higher than usual for XMRUSD.
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.
Prices are trading close to the key technical support level at 114.20 (S1). Prices are trading close to the key technical resistance level at 123.68 (R1). After having been unable to move lower than 119.46 in the prior session, the cryptocurrency found buyers again around the same price level today at 119.57.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Selling could speed up should prices move below the nearby swing low at 119.46 where further sell stops might get triggered.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Close near low of period" stand out. Though it is usually interpreted as bearish, it has actually shown to be bullish for XMR/USD. Out of 446 times, XMRUSD closed higher 56.50% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the long side has been after 10 trading days, showing a win rate of 58.97% with an average market move of 9.60%.
With four out of the seven Major Cryptocurrencies closing higher today, the ones that stand out on the positive side are ETHUSD gaining 0.81% and BTCUSD closing 0.37% higher. On the flipside the worst performers have been BCHUSD closing -2.05% lower and LTCUSD losing -1.43%. Looking at the other Minor Cryptocurrencies, the winners of the day have been WAVESUSD surging 8.14% and WAVESBTC closing 7.59% higher. The worst performers of the day have been BCNUSD tanking -10.94% and BCHBTC closing -2.26% lower. Read more