My previous BTC/USD signal on 27th April was not triggered.
Today’s BTC/USD Signals
Risk 0.50% per trade.
Trades must be entered prior to 5pm Tokyo time Friday.
Long Trade Ideas
Go long after a bullish price action reversal on the H1 timeframe following the next touch of $75,014, $73,577, or $72,557.
Place the stop loss $100 below the local swing low.
Move the stop loss to break even once the trade is $100 in profit by price.
Take off 50% of the position as profit when the trade is $100 in profit by price and leave the remainder of the position to ride.
Short Trade Idea
Go short after a bullish price action reversal on the H1 timeframe following the next touch of $81,203
Place the stop loss $100 above the local swing high.
Adjust the stop loss to break even once the trade is $100 in profit by price.
Take off 50% of the position as profit when the trade is $100 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
In my last BTC/USD forecast last Monday, I thought that a bullish bounce at $76,975 could be an interesting long trade signal. I was prepared to ignore the bearish double top at the high that had recently completed.
I was wrong to look for a long trade because the price mostly declined over the day.
The technical picture has become a little more bearish, with the price continuing to move lower, but reluctant to move below the big round number at $75,000 and the confluent support level at $75,014.
The price has moved down within an orderly descending price channel, shown within the price chart below as a linear regression analysis, which is a bearish factor.
I think the $75,000 area is going to be pivotal today. If it continues to hold, then the price will eventually rise. The key thing to watch out for on the bullish side will be a breakout above the $77,000 area, which will soon be confluent with the upper trend line of the descending linear regression analysis.
I will not be bullish until the price gets established above the resistance just below $78,000. There, the price would have room to rise, but a long trade before that looks dangerous, unless it is a bullish bounce rejecting $75,000.
If the price breaks below $75,000, that will be a very bearish sign if it gets established down there.
https://www.tradingview.com/chart?symbol=COINBASE%3ABTCUSD
There is nothing of high importance due today regarding Bitcoin. Concerning the US Dollar, there will be releases of US Advance GDP, PCE Price Index, and US Employment Cost Index data at 1:30pm London time.
Ready to trade our free Forex signals? Here is our list of the best MT4 crypto brokers worth checking.