Bitcoin: Short-term bullish above $8,533
Today’s BTC/USD Signals
Risk 0.75% per trade.
Trades must be taken prior to 5pm Tokyo time Friday.
Long Trade Ideas
Long entry after a bullish price action reversal on the H1 time frame following the next touch of $8,533, $8,048, or $7,754.
Place 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 Ideas
Short entry after a bearish price action reversal on the H1 time frame following the next touch of $8,893 or $9,073.
Place 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
We finally got a bearish breakdown from an area of consolidation a few days ago. This went about as far as the important psychological level of $7,750 before beginning a deep bullish retracement. This retracement should logically reach as high as the $9,000 area and may well continue to $10,000 or even higher.
Today’s pivotal point is very likely to be $8,533. It is more significantly bullish above that level than it would be significantly bullish below it.
Regarding the USD, there will be a release of CPI (inflation) data at 1:30pm.