BTC/USD Forex Signal - 12 June 2018

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

Long Trades

  • Go long after a bullish price action reversal on the H1 time frame following the next touch of $6,620 or $6,440.

  • 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 Trades

  • Go short after a bearish price action reversal on the H1 time frame following the next touch of $7,351 or $7,461.

  • 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

I wrote yesterday that I a bearish bias below $6,620 but it looked increasingly likely that this support level would hold for a while. I was correct in anticipating that this level would have a pivotal presence, being strong enough to be felt without even being touched. The price is now consolidating and threatening to make some bullish movement. I would be more comfortable being long following a bullish bounce from this level which might happen today, but I would also still take a bearish bias were the price to get established below that level.

BTCUSD

Regarding the USD, there will be a release of CPI data at 1:30pm London time.

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.