Yesterday’s signals were not triggered, as there was no bullish price action at $6,900.
Today’s BTC/USD Signals
Risk 0.75% per trade.
Trades can be taken until 5pm Tokyo time, over the next 24-hour period only.
Short Trades
Short entry after a bearish price action reversal on the H1 time frame following the next touch of $6,796 or $6,900.
Put the stop loss 1 pip above the local swing high.
Adjust the stop loss to break even once the trade is $200 in profit by price.
Take off 50% of the position as profit when the trade is $200 in profit by price and leave the remainder of the position to ride.
Long Trade
Long entry after a bullish price action reversal on the H1 time frame following the next touch of $5,638.
Put the stop loss 1 pip below the local swing low.
Adjust the stop loss to break even once the trade is $200 in profit by price.
Take off 50% of the position as profit when the trade is $200 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
Yesterday I took a bearish bias, which turned sour quickly as the price suddenly fell very strongly and quickly to break below the support level at $6,900. This has probably made that level new resistance, while there is another level below that which has also become a pivotal point, at $6,976. The price is now consolidating bullishly below that level, but provided it holds, we are likely to see further downwards movement in line with the long-term bearish trend. I take a bearish bias today. There is a long way down until we hit the next key support level.
Regarding the USD, there will be a release of PPI data at 1:30pm London time.