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BTC/USD Forex Signal - 7 August 2017

By Adam Lemon

Adam Lemon began his role at DailyForex in 2013 when he was brought in as an in-house Chief Analyst. Adam trades Forex, stocks and other instruments in his own account. Adam believes that it is very possible for retail traders/investors to secure a positive return over time provided they limit their risks, follow trends, and persevere through short-term losing streaks – provided only reputable brokerages are used. He has previously worked within financial markets over a 12-year period, including 6 years with Merrill Lynch.

Last Thursday’s signals were not triggered as none of the key levels were reached during that session.

Today’s BTC/USD Signals

Risk 0.75% per trade.
Trades must be taken before 5pm New York time today only.

Long Trades

  • Long entry after bullish price action on the H1 time frame following the next touch of $3000.00.
  • Place the stop loss 1 pip below the local swing low.
  • Adjust the stop loss to break even once the trade is $50 in profit by price.
  • Take off 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.

BTC/USD Analysis

Last Thursday I changed my bias from mildly bearish to mildly bullish. Since then, we have seen another bullish explosion in the price, with new all-time highs being made above $3339. This has represented a price increase in Bitcoin against the U.S. Dollar of a little more than 20% in just a few days. What is truly astonishing is how these moves do not look out of place in the longer-term volatility. There is much talk about Bitcoin being in a bubble, but for the time being at least, there is money to be made provided stop losses are used and honoured.

Technically, the price is trading in blue sky, with no obvious resistance levels to be seen. The price has been cooling off in recent hours and may retrace, but there is no obvious support before $3000.00.

Signals BTCUSD

There is nothing due today concerning the USD.

Adam Lemon
About Adam Lemon

Adam Lemon began his role at DailyForex in 2013 when he was brought in as an in-house Chief Analyst. Adam trades Forex, stocks and other instruments in his own account. Adam believes that it is very possible for retail traders/investors to secure a positive return over time provided they limit their risks, follow trends, and persevere through short-term losing streaks – provided only reputable brokerages are used. He has previously worked within financial markets over a 12-year period, including 6 years with Merrill Lynch.

 

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