BTC/USD: $9,352 today’s likely pivotal point
Yesterday’s signals produced a nicely profitable trade from the bullish bounce from the support level identified at $9,142.
Today’s BTC/USD Signals
Risk 0.50% per trade.
Trades may only be taken before 5 pm Tokyo time Wednesday.
Long Trade Ideas
- Long entry after a bullish price action reversal on the H1 time frame following the next touch of $9,284 or $9,142.
- Place the stop loss $50 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 $9,352 or $9,462.
- Place the stop loss $50 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
I wrote yesterday that as the price had edged up to break above the upper trend line of the readjusted consolidating triangle, bulls seemed to have a slight edge.
However, I was only prepared to be bullish from another bounce near the $9,000 level or if the price could get established above $9,284 later. Neither approach turned out to be useful before the Tokyo close.
The technical picture now looks more bullish as the price has made a strong bullish movement but may well stall at the key resistance level of $9,352.
I will want to take a bullish bias today if we get two consecutive hourly closes above that level later today.
There is certainly increasing risk-off sentiment and market movements which should continue to boost Bitcoin. Despite that, we are only going to see real bullishness once the price can get established above $10,000.
There is nothing of high importance scheduled today regarding the USD.