BTC/USD Crypto Signal
|Yesterday’s signals were not triggered, as none of the key levels were reached.
Today’s BTC/USD Signals
Risk 0.75% per trade.
Trades may only be taken until 5pm Tokyo time Friday.
Long Trade
-
Long entry at a bullish price action reversal on the H1 time frame following the next touch of $3,557.
-
Put the stop loss 1 pip below the local swing low.
-
Move the stop loss to break even once the trade is $50 in profit by price.
-
Remove 50% of the position as profit when the trade is $50 in profit by price and leave the remainder of the position to ride.
Short Trade
-
Short entry after a bearish price action reversal on the H1 time frame following the next touch of $3,732.
-
Put the stop loss 1 pip above the local swing high.
-
Move the stop loss to break even once the trade is $50 in profit by price.
-
Remove 50% of the position as profit when the trade is $50 in profit by price and leave the remainder of the position to ride.
The best method to identify a classic “price action reversal” is for an hourly candle to close, such as a pin bar, a doji, an outside or even just an engulfing candle with a higher close. You can exploit these levels or zones by watching the price action that occurs at the given levels.
I wrote yesterday that the price continues to consolidate and was respecting the flipped level at $3,557 enough to identify this as new support. However, there was also a descending trend line close by which had had three taps already, so the bulls and bears seemed to be evenly balanced. I was looking for a breakout beyond those boundaries to take a bias in the direction of the breakout. This was a good call insofar as the price has remained contained so no trade. I would take the same approach today, so no change, but I would like to see any breakout making some higher volatility.
Concerning the USD, there will be releases of Retail Sales and PPI data at 1:30pm London time.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.