In this morning’s bitcoin price watch piece, we pointed out that – due to a relative tightness of volatility across markets – we would press forward with our intra-range strategy and, in the event that any fundamental drivers gave us some momentum, look to enter on our breakout strategy only in this situation. Action has now matured throughout the day, and we have not really seen much movement in the bitcoin price, so, with this said, what are the levels that we are keeping an eye out for this evening, and where will we look to enter if we do get some movement? Take a quick look at the chart.
As the chart shows, we have widened our parameters a little bit too incorporate some of today’s action. As marked, in term support sits at 284.55, while in term resistance lies right about 290.08. These are the two levels that we will be watching this evening. We are currently trading mid-range, and we will look to the upside initially. If we can get a break above 290.08, it will put us long towards 293.17 as an initial upside target, with a stop loss somewhere around 289 maintaining a positive risk reward profile on the trade.
Looking the other way, a break below 284.55 (and a close below this level on an intraday chart) would put us short towards 280 flat. Again, a stop loss is warranted on this trade to take us out in the event of a bias reversal. Looking at the reward on offer, somewhere around 286 flat should do nicely.
Charts courtesy of Trading View