BTC/USD Crypto Signal

Yesterday’s signals were not triggered, as the bearish price action took place below $3,732.

Today’s BTC/USD Signals

Risk 0.75% per trade.

Trades may only be entered until 5pm Tokyo time Friday.

Long Trades

• Long entry at a bullish price action reversal on the H1 time frame following the next touch of $3,646 or $3,552.

• 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 run.

Short Trades

• Short entry after a bearish price action reversal on the H1 time frame following the next touch of $3,859 or $3,969.

• 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 run.

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.

BTC/USD Analysis

I wrote yesterday that the picture still looked very evenly balanced, so it was probably still worth avoiding trading this pair today. I had no directional bias and there was no trend.

There is no real change. The price popped down yesterday to invalidate the nearest support level but quickly recovered to get back into its recent consolidation zone where it seems to be consolidating. The next move is anyone’s guess and impossible to predict. It is probably best to avoid trading Bitcoin right now.

Regarding the USD, there will be a release of Advance GDP data at 1:30pm London time.