Last Thursday’s signals were not triggered as there was no bearish price action at $9,192.
Today’s BTC/USD Signals
Risk 0.75% per trade.
Trades may only be taken until 5pm Tokyo time, during the next 24-hour period.
Short Trade
Short entry after a bearish price action reversal on the H1 time frame following the next touch of the bearish trend line shown in the price chart below which is currently situation at about $9,425.
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 Trades
Long entry after a bullish price action reversal on the H1 time frame following the next touch of $8,917 or $8,679.
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
I wrote last Thursday that I thought Bitcoin would range over the near term. I was partially wrong, as the price continued to rise that day, but the price has now carved out a bearish triple-tapped descending trend line which is shown in the price chart below. All the support levels are still intact, so it is still possible the price will rise over the near to medium term. It does look however as if the price will continue to grind down at least a little further before it might get the impetus to rise again and challenge that trend line. There are signs of a long-term trend change from bearish to bullish, with the daily chart showing a double bottom above the $6,000 area.
There is nothing due today regarding the USD.