Technical Analysis Free Forex Signals BTC/USD Forex Signal BTC/USD Forex Signal Thursday, 3 January 2019 11:48 Share 0 Tweet 0 Pin it 0 +1 Yesterday’s signals produced a profitable short trade at the bearish pin candlestick which rejected the resistance level of $3,914. It would probably be wise to close this trade as it looks doubtful whether it will fall any further, with $3,844 threatening to act as support. Today’s BTC/USD Signals Risk 0.75% per trade. Trades must be entered before 5pm Tokyo time today only. Long Trades Go long after a bullish price action reversal on the H1 time frame following the next touch of $3,844 or $3,570. 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 ride. Short Trades Go short after a bearish price action reversal on the H1 time frame following the next touch of $3,914 or $4,100. 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 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 the technical picture was quite bearish despite the price’s reluctance over recent days to fall lower, with a symmetrical bearish channel and its upper trend line confluent with two horizontal resistance levels. This suggests that a bearish rejection of $3,847 would be the best potential set-up. If the price could alternatively get established above $3,914 that would be a bullish sign. The price rose unexpectedly but was unable to break above $3,914. However, the price has broken up out of the bearish channel, and the former resistance close to $3,844 now seems to be acting as support. If that level holds it will be a slightly bullish sign, and if the price can break above $3,914 it would be an even more bullish sign. I would be bullish if the price can trade above $3,914 later for at least one hour. Regarding the USD, there will be a release of ISM Manufacturing PMI data at 3pm London time. Currency Pairs BTC/USD Adam Lemon 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.