Yesterday’s signals were not triggered as the key level was not reached during yesterday’s session.
Today’s BTC/USD Signals
Risk 0.50% per trade.
Trades may only be entered before 5pm New York time today.
Long Trade 1
- Long entry after bullish price action on the H1 time frame following a bullish turn in the next hours from $2643.45.
- 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.
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
There are some exciting developments here. Firstly, although I was not looking for a short trade here, the price yesterday rejected the upper trend line of the consolidating triangle drawn in the chart, as shown below. The price has now fallen to reach the nearby key support level just a little way below the lower boundary of the triangle, at $2643.45. At the time of writing, it can be seen that the first hourly candle after this level was touched was a bullish pin candle, but the turn is slow in coming and this single candle does not look decisively bullish enough to justify a long trade entry yet. The coming hours into the New York open will need to provide a more decisively bullish bounce, at which place a long trade entry should seem appropriate. It is somewhat risky to enter a trade before tomorrow’s FOMC release, but on the other hand many of the best trades you can make are where you are pre-positioned in the right direction before the news. The large reward in the positive cases can truly pay off overall.
Regarding the USD, there will be a release of CB Consumer Confidence data at 3pm London time.