Yesterday’s signals were not triggered, as none of the key levels were reached during the specified time.

Today’s BTC/USD Signals

Risk 0.75% per trade.

Trades must be taken between 8am London time and 5pm New York time today only.

Long Trades

• Long entry after a bullish price action reversal on the H1 time frame following the next touch of $6333.72, or $5638.48.
• Place 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.
• Take off 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 Trade 1

• Short entry after a bearish price action reversal on the H1 time frame following the next touch of $6951.34.
• Place 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.
• Take off 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

My bullish bias has been proven correct, as the price moves up and breaks above the key level at $6815.36, which is a bullish sign. However, in my analysis yesterday I missed noting that the resistance at that key level is more of a zone that reached up to $6951.34. I would like to see the price get established above that level before turning very strongly bullish. The price may fail here and move down, but any bearish reversal there should look very strong for it to be taken seriously as a short signal.

I remain moderately bullish above $6333, and strongly bullish above $6952.

(Click on image to enlarge)

Regarding the USD, there will be a release of CPI and Retail Sales data at 1:30pm London time, followed by Crude Oil Inventories at 3:30pm.