We said this morning that the bitcoin price had been pretty frustrating from an intraday perspective over the last few weeks, and that we hoped this would change as we headed into the close of this one. The frustration is rooted in the sideways action, and the relatively tight range, giving us nothing sustainable by way of breakouts to go after. Well, as today’s action has matured, we’ve seen pretty much an identical continuation of this trend. Sideways action caught between a tight range, with no volatility to speak of and very little in the way of breakouts.
We’ve got a fresh Asian session ahead of us this evening, and prior to this period of stagnation, the Asian session has often been pretty good to us. As such, we are going to reiterate our pre-stated opinion that we hope to see some worthwhile action this evening – action we can take advantage of on the intraday charts and end on the week net up.
So, moving forward, let’s take a look at what we’ve got ahead of us. Before we get started, take a quick look at the chart below to get an idea of what’s on.
As the chart shows, the levels in focus are in term support to the downside at 571 flat, and in term resistance to the upside at 577. This is a pretty tight range, but we are going to push the boat out a bit and go for an intrarange strategy in an attempt to force a trade. Long at support, short at resistance, target the other side of the range.
Looking at breakout, if price closes above resistance we will look to get in towards 585, and conversely, to the downside, if price breaks below support we will get in short towards an immediate downside target of 563.
Charts courtesy of SimpleFX