IoTeX/Yen (IOTXJPY) Market Overview: 24-Hour Candlestick Analysis

• IOTXJPY opened at 3.788 and closed at 3.776, with a 24-hour high of 3.828 and low of 3.766.
• Price action shows a bearish bias with a late-day pullback from key resistance near 3.825.
• Volatility expanded during early morning hours, with volume peaking above 180,000 contracts.
• RSI signaled overbought conditions earlier in the day but is now below neutral territory at ~45.
• Bollinger Bands indicate a tightening range in the final hours of the session.

24-Hour Summary and Initial Observations

At 12:00 ET on September 20, 2025, IOTXJPY opened at 3.788 and closed at 3.776 after a volatile 24-hour session that saw it reach a high of 3.828 and a low of 3.766. The total traded volume amounted to 872,923 contracts, with a turnover of approximately ¥3,347,555 (assuming an average price of ~¥3.83). The price action reflected a bearish reversal pattern in the latter half of the session, despite a short-lived bullish breakout in the early morning.

Structure & Formations

Key support levels were observed near 3.776 and 3.766, where price repeatedly bounced but failed to sustain above 3.78. A notable bearish engulfing pattern emerged during the early evening, confirming the downward shift in sentiment. Earlier in the morning, a bullish harami suggested indecision before a sharp reversal. The 3.825 level acted as a strong resistance, with several attempts to break it failing by the close.

Moving Averages and Price Positioning

On the 15-minute chart, the price closed just below the 50-period moving average (~3.78) and significantly below the 20-period line (~3.79). This suggests bearish momentum at shorter intervals. For daily analysis, the 50-day MA is around 3.785, and the 200-day MA sits near 3.77. Price is currently within a consolidation phase, with a potential shift to a bearish trend forming.

Momentum and Volatility Signals

The RSI has corrected from overbought territory (~70 in the early morning) to a mid-40s level, indicating a bearish divergence from price. MACD showed a bearish crossover earlier in the session, with a negative histogram expanding through the latter part of the day. Bollinger Bands have recently widened following a tight consolidation, suggesting a potential continuation of the downward move. The price closed near the lower band, reinforcing the bearish outlook.

Volume and Turnover Analysis

Volume spiked to a high of 189,935 contracts during the late morning hours, coinciding with a price pullback from 3.801 to 3.766. Despite this, turnover failed to confirm a strong bearish conviction, with much of the volume clustered in the middle of the session. The final candlestick showed a relatively low volume (~3,141 contracts), suggesting reduced conviction in the bearish move. A divergence between volume and price suggests potential volatility ahead as the pair seeks a new equilibrium.

Backtest Hypothesis

A potential backtesting strategy could involve entering short positions when the price closes below the 50-period MA with a bearish engulfing pattern and RSI above 55. Stops could be placed just above the 3.825 resistance level, with a target of 3.76–3.74 based on Fibonacci retracement levels from the 3.828 high. This hypothesis aligns with the observed bearish momentum and key support levels, suggesting a viable short-term bearish trade setup.