SEKUSD pushes through Wednesday's high
Swedish Krona/US Dollar (SEKUSD) Technical Analysis Report for Mar 26, 2020 | by Techniquant Editorial Team
Moving higher for the 5th day in a row, SEKUSD finished Thursday at 0.1004 gaining 14 pips (1.41%). Closing above Wednesday's high at 0.0996, the market confirmed its breakout through the previous session high after trading up to 15 pips above it intraday.
Daily Candlestick Chart (SEKUSD as at Mar 26, 2020):
Thursday's trading range has been 27 pips (2.73%), that's slightly above the last trading month's daily average range of 23 pips. Weekly volatility is also higher, being slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently notably higher than usual for SEKUSD.
One bullish candlestick pattern matches today's price action, the White Candle. The last time a White Candle showed up on Tuesday, SEKUSD gained 0.30% on the following trading day.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Among the three market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "5 Consecutive Higher Closes" stand out. Although it is usually interpreted as bullish, it has actually shown to be bearish for SEK/USD. Out of 23 times, SEKUSD closed lower 73.91% 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 56.52% with an average market move of -0.50%.