BTC/USD Forex Signal: Price Refusing to Rise

BTC/USD: Yet buying below $10k

Yesterday’s signals may have produced a short trade from $10,408 which may have been stopped out depending upon how tightly the stop was set. The price is falling now over the short-term so such a trade would be in floating profit and is probably worth holding onto until the price reaches $10,000 according to the current technical situation.

Today’s BTC/USD Signals

Risk 0.50% per trade.

Trades must be taken before 5 pm Tokyo time Friday.

Long Trade Ideas

  • Go long after a bullish price action reversal on the H1 time frame following the next touch of $9,731, $9,655, or $9,462.
  • Put 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.
  • 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 run.

Short Trade Ideas

  • Go short after a bearish price action reversal on the H1 time frame following the next touch of $10,397 or $10,790.
  • Put 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.
  • 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 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.

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BTC/USD Analysis

I wrote yesterday that I would still take a long trade from a bullish bounce at any identified support level which was reached below $10,000 or if we got two consecutive hourly closes later above $10,500.

I thought it was significant that Bitcoin is finding strong support at about $10,000 while other risky assets have been falling.

Despite my fairly bullish outlook and the fact that the price remained supported from $10,000 over the day, it was unable to break up above the first resistance level, which I have adjusted slightly.

This presents a slightly less bullish technical picture, yet I strongly believe that as long as the $10,000 continues to hold up, we are bound to see a more substantial rise in price.

I will take a bullish bias if we get two consecutive hourly closes above $10,500 or a bullish bounce from any of the support levels shown in the price chart below underneath the $10,000 level.

BTC/USD

There is nothing of high importance due today concerning the USD.

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