Yesterday’s signals were not triggered, as none of the key levels were reached.
Today’s BTC/USD Signals
Risk 0.75% per trade.
Trades may only be taken between 8am New York time Thursday and 5pm Tokyo time Friday.
Long Trades
- Long entry at a bullish price action reversal on the H1 time frame following the next touch of $4,008, $3,936, or $3,876.
- 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.
Short Trade
- Short entry after a bearish price action reversal on the H1 time frame following the next touch of $4,374.
- Put the stop loss 1 pip above the local swing high.
- 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
I wrote yesterday that we had a bullish consolidation threatening higher prices, the question was whether sellers or profit-takers would hold the $4,000 area as resistance. If the price could make new highs for about 3 hours, I thought that it will continue higher as the line of least resistance was certainly upwards.
This was a good call as the price did make higher closes, above the key $4,000 level, and continue upwards from there.
The picture remains bullish.
There is nothing of high importance due today regarding the USD.