BTC/USD Forex Signal

Yesterday’s signals were not triggered, as there was no bearish price action at either $5,669 or $5, 777.

Today’s BTC/USD Signals

Risk 0.75% per trade.

Trades may only be taken until 5pm Tokyo time Wednesday.

Long Trades

  • Go long at a bullish price action reversal on the H1 time frame following the next touch of $5,777, $5,667, or $5,513.
  • Placethe stop loss 1 pip below the local swing low.
  • Adjust the stop loss to break even once the trade is $50 in profit by price.
  • Take off 50% of the position as profit when the trade is $50 in profit by price and leave the remainder of the position to ride.

Short Trade

  • Go short after a bearish price action reversal on the H1 time frame following the next touch of $5,950 or $6,171.
  • Placethe stop loss 1 pip above the local swing high.
  • Adjustthe stop loss to break even once the trade is $50 in profit by price.
  • Take off 50% of the position as profit when the trade is $50 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.

Great trade opportunities are waiting. Don't miss it!
TRADE NOW

BTC/USD Analysis

I wrote yesterday that although we have long-term bullish trend here, it is relatively weak, however and the distributive style at about $5,800 on high volatility was a bearish sign, so I was ready to avoid trading Bitcoin yesterday.

I was overly pessimistic, and this was a bad call – the price rose quite strongly after making a relatively minor bearish pull back.

The price is respecting technical levels which makes it attractive to trade, topping earlier at the resistance level of $5,950.

I would take a bullish bias today if the price makes a strongly bullish bounce at the nearest support level of $5,777.

BTC/USD Signal

There is nothing important due today concerning the USD.

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.