BTC/USD Forex Signal - 1 March 2018

By: DailyForex.com

Yesterday’s signals were not triggered, as there was insufficiently bullish price action at $10,481.

 

Today’s BTC/USD Signals

Risk 0.75% per trade.

Trades must be entered before 5pm Tokyo time, during the next 24-hour period only.

 

Long Trade

· Long entry after a bullish price action reversal on the H1 time frame following the next touch of $9,886.

· 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.

 

Short Trade

· Short entry after a bearish price action reversal on the H1 time frame following the next touch of $11,191.

· 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.

 

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 wrote that I would remain bullish, provided the price remains above $10,481, but I noted there is now a descending trend line which can connect the two swing highs which matches a lower trend line to form a symmetrical bearish channel. The price did not remain above $10,481 so I have no directional bias now. That support level has been invalidated so it seems as if the price is most probably going to consolidate between minor support at about $10,200 and an area of resistance beginning at about $11,000. I have no directional bias and I thin both bulls and bears are quite strong and will just fight it out within this area.

BTCUSd

Regarding the USD, there will be a release of Preliminary GDP data at 1:30pm London time, followed by Crude Oil Inventories at 3:30pm.

Adam is a Forex trader who has worked within financial markets for over 12 years, including 6 years with Merrill Lynch. He is certified in Fund Management and Investment Management by the U.K. Chartered Institute for Securities & Investment. Learn more from Adam in his free lessons at FX Academy.