ZECBTC breaks back below 20-day moving average
ZCash/Bitcoin Index (ZECBTC) Technical Analysis Report for Nov 10, 2019 | by Techniquant Editorial Team
ZECBTC finished Sunday at 0.00415 losing BTC0.00003 (-0.72%). Closing within the previous day's range, prices failed to decisively move beyond the prior day's trading range.
Daily Candlestick Chart (ZECBTC as at Nov 10, 2019):
Sunday's trading range has been BTC0.00023 (5.5%), that's slightly below the last trading month's daily average range of BTC0.00024. Weekly volatility is also lower, being below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for ZECBTC. Prices continued to consolidate within a tight trading range between 0.00399 and 0.00425 where it has been caught now for the whole last trading week.
In spite of a strong opening the cryptocurrency closed below the previous day's open and close, forming a bearish Engulfing Candle. Additionally, two candlestick patterns are matching today's price action, the Bearish Spinning Top and the Hanging Man which are both known as bearish patterns.
The market closed back below the 20-day moving average at 0.00416. When this moving average was crossed below the last time on October 25th, ZECBTC lost -8.64% on the following trading day. ZEC/BTC was sold again around 0.00422 after having seen highs at 0.00423, 0.00423 and 0.00425 in the last three trading sessions. Obviously there is something going on at that level.
While ZCash is experiencing a short-term uptrend, this might just be a correction, as both the medium and long-term trends are still bearish.
Buying could speed up should prices move above the nearby swing high at 0.00425 where further buy stops might get activated. Further selling could move prices lower should the market test October's close-by low at 0.00376.
Among the eight market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "High close to prior two Highs" stand out. Its common bearish interpretation has been confirmed for ZEC/BTC. Out of 68 times, ZECBTC closed lower 69.12% 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 73.53% with an average market move of -13.81%.
With six out of the seven Major Cryptocurrencies closing higher today, the ones that stand out on the positive side are BCHUSD gaining 3.73% and EOSUSD closing 3.16% higher. On the flipside the worst performer has been XRPUSD closing -0.14% lower. Looking at the other Minor Cryptocurrencies, the winners of the day have been XLMUSD surging 8.52% and VETBTC closing 6.78% higher. The worst performers of the day have been KMDBTC tanking -9.82% and KMDUSD closing -7.06% lower. Read more