Yesterday’s signals produced a long trade entry from the bullish bounce earlier at $5,950. The trade is struggling to rise, so should be monitored carefully and be abandoned if necessary.
Today’s BTC/USD Signals
Risk 0.75% per trade.
Trades must be taken before 5pm Tokyo time, during the next 24-hour period over.
Long Trades
- Long trade entry after a bullish price action reversal on the H1 time frame following the next touch $5,950, $5,777, or $5,574.
- Put the stop loss 1 pip below the local swing low.
- Move the stop loss to break even once the trade is $200 in profit by price.
- Remove 50% of the position as profit when the trade is $200 in profit by price and leave the remainder of the position to run.
Short Trades
- Short trade entry after a bearish price action reversal on the H1 time frame following the next touch of $6,178 or $6,671.
- Put the stop loss 1 pip above the local swing high.
- Move the stop loss to break even once the trade is $200 in profit by price.
- Remove 50% of the position as profit when the trade is $200 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 higher prices seemed more likely over the coming hours than lower prices. I was wrong, with the price again falling below a key support level which looks to have become flipped to be new resistance, at $6,178. The price has found some support at $5,950 over recent hours, but the trend is certainly bearish. There may also be lower resistance at about $60,50, which was previously an inflective area, so I remain bearish today below $6,178 which looks as if it will be the pivotal level today.
There is nothing important due today concerning the USD.