The week has gone pretty quick so far. We’ve spent the majority of our time watching for a break that – as discussed – we stated should come on the back of increased volume in the space now summer has drawn to an end. It’s taken a few days to come, but finally this morning we got what we were waiting for. Price broke through our predefined resistance level, and – something that we’ve not seen in a while – we got a sustained run through to take out a take profit target almost immediately.
This bodes well for today- we will likely see something of a near term, correction as the shorter term speculators book profits on the move, but beyond that we could easily see a return to the upside and another opportunity to get in and out of the markets on a bullish entry.
So, with this said, and as we head into a fresh European session this morning, let’s take a look at what we are going for in the bitcoin price and see if we can’t take advantage of the action one more time.
So as ever, take a look at the chart below to get an idea of what we are looking at before we get going. It’s an intraday five-minute chart showing the last twelve hours of so worth of action in the bitcoin price, with our range overlaid in green.
As the chart show, our range for today is defined by in term support to the downside at 614 flat, and in term resistance to the upside at 626.
We are going to look for a break of resistance to signal a long entry towards an immediate upside target of 635. Conversely, a close below in term support will put us in a short position towards 605 flat.
Charts courtesy of SimpleFX