XRPUSD finds buyers again around 0.2389
Ripple/US Dollar Index (XRPUSD) Technical Analysis Report for Oct 17, 2020 | by Techniquant Editorial Team
XRPUSD ended Saturday at 0.2407 gaining $0.0005 (0.21%) on low volume. Closing within the prior day's range, prices failed to decisively move beyond the previous day's trading range in a lackluster session.
Daily Candlestick Chart (XRPUSD as at Oct 17, 2020):
Saturday's trading range has been $0.0043 (1.79%), that's far below the last trading month's daily average range of $0.0090. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for XRPUSD.
During the whole day, prices traded within the prior day's range, unable to trade above the previous day's high or below the prior day's low forming an Inside Bar. After moving lower in the previous session, the cryptocurrency managed to close higher but below the prior day's open, forming a bullish Harami Candle. The last time this candlestick pattern showed up on September 22nd, XRPUSD actually lost -4.98% on the following trading day. Additionally, one bullish candlestick pattern matches today's price action, the Bullish Spinning Top.
Prices are trading close to the key technical support level at 0.2352 (S1). After having been unable to move lower than 0.2380 in the previous session, XRP found buyers again around the same price level today at 0.2389.
Though still in a long-term uptrend, the short and medium-term trends both turned bearish already.
Selling could accelerate should prices move below the nearby swing low at 0.2380 where further sell stops might get triggered. As prices are trading close to October's low at 0.2288, downside momentum could speed up should XRP/USD mark new lows for the month.
Among the four market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bullish Harami Candle" stand out. Although it is usually interpreted as bullish, it has actually shown to be bearish for XRP/USD. Out of 89 times, XRPUSD closed lower 60.67% 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 61.80% with an average market move of -2.27%.
With three of the other Major Cryptocurrencies closing higher and three closing lower today, the winners of the day are ETHUSD surging 0.81% and BTCUSD gaining 0.37%. On the flipside the worst performers have been BCHUSD closing -2.05% lower and LTCUSD losing -1.43%. Looking at the 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