BTC/USD Forex Signal: Plummet From All-Time High Above $42K

Bitcoin, Blockchain, Crypto, Cryptocurrency, Coin

Last Wednesday’s signals were not triggered, as there was no bullish price action when the support level identified at $34,512 was first reached.

Today’s BTC/USD Signals

Risk 0.50% per trade.

Trades may only be entered before 5pm Tokyo time Tuesday.

Long Trade Ideas

  • Long entry after a bullish price action reversal on the H1 time frame following the next touch of $32,500 or $30,043.
  • Put the stop loss $100 below the local swing low.

  • Adjust the stop loss to break even once the trade is $100 in profit by price.

  • Remove 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 Ideas

  • Short entry after a bearish price action reversal on the H1 time frame following the next touch of $35,896, $37,353, $39,012, or $40,033.
  • Put 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.

  • Remove 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

I wrote last Wednesday that although volatility remained relatively very high, there were no clear signs of climax and exhaustion, so as we were trading into the blue sky of all-time highs, there was no reason not to take a bullish bias here.

I also said that bulls should beware of a climax if the price quickly reached the major round number at $40,000.

This was an excellent call, as the price continued to rise by another $7,000 or so before appearing to climax on very high volatility a little way above the all-time high near $42,000.

1 2
View single page >> |

Disclaimer: DailyForex will not be held liable for any loss or damage resulting from reliance on the information contained within this website including market news, analysis, trading signals ...

more
How did you like this article? Let us know so we can better customize your reading experience.

Comments

Leave a comment to automatically be entered into our contest to win a free Echo Show.
Bindi Dhaduk 1 week ago Member's comment

Time2StepUP.