XVGBTC closes within prior day's range
Verge/Bitcoin Index (XVGBTC) Technical Analysis Report for Oct 17, 2020 | by Techniquant Editorial Team
XVGBTC ended Saturday at 0.00000038 flat on low volume. Closing within the prior day's range, prices missed to decisively move beyond the previous day's trading range.
Daily Candlestick Chart (XVGBTC as at Oct 17, 2020):
Saturday's trading range has been BTC0.00000002 (5.26%), that's slightly below the last trading month's daily average range of BTC0.00000002. 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 XVGBTC.
Five candlestick patterns are matching today's price action, the Southern Doji and the Tweezer Bottom which are both known as bullish patterns and three neutral patterns, the Doji, the Long-Legged Doji and the Rickshaw-Man. The last time a Southern Doji showed up on October 12th, XVGBTC gained 2.63% on the following trading day.
After having been unable to move lower than 0.00000037 in the prior session, the market found buyers again around the same price level today at 0.00000037.
Though Verge is experiencing a short-term uptrend, this could just be a correction, as both the medium and long-term trends are still bearish.
Selling might accelerate should prices move below the close-by swing low at 0.00000037 where further sell stops could get activated. With prices trading close to this year's low at 0.00000034, downside momentum might speed up should the cryptocurrency break out to new lows for the year. As prices are trading close to October's high at 0.00000042, upside momentum could accelerate should XVG/BTC mark new highs for the month.
Among the eight market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Close to Swing Low" stand out. While it is usually interpreted as neutral, it has actually shown to be bearish for XVG/BTC. Out of 640 times, XVGBTC closed lower 41.88% 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 two trading days, showing a win rate of 43.59% with an average market move of 0.47%.
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