Well here we go, a fresh European session and, with it, a fresh week in the bitcoin price. Our intraday strategy was a little bit up and down last week, as price chopped in and out of periods of volatility. The week started off pretty flat, but then things picked up as the days went by, and we managed to close out on a pretty decent note.
With any luck, as things play out going forward, we will see a continuation of the volatility, and get some proper trades and profits under our belt. So, with this in mind, let’s outline some key levels and see where we can take the session.
As ever, take a quick look at the charts below in order to get an idea of what’s on, and where we are looking to get in and out of markets if and when price moves. It’s a five-minute candlestick chart, and it’s got our range overlaid in green.
So, as the chart shows, the range we are using for today’s morning session out of Europe is defined by support to the downside at 1040 flat, and resistance to the upside at 1051. We’re not using 1050 flat as price broke above t a little earlier, and so we think 1051 is a little more solid right now. Whether that proves a smart move, we’ll see.
Anyway, if we see price break above resistance, we are going to look at getting in to the upside in a long position towards an immediate target of 1060. A stop on the trade at 1048 will ensure that we are taken out of the trade in the event of a bias reversal.
Conversely, if price closes below support, we are going to get in short towards 1030. A stop on this one at 1043 looks good.
Charts courtesy of SimpleFX.