In yesterday evening’s analysis, we noted that the bitcoin price seemed to have turned around – at least from a long-term perspective – and that we might see a return to the overarching upside momentum throughout the late session in Europe and as the Asian session kicked off early morning on Tuesday. We did see something similar to this, but things were a little more muted than we might have hoped from a volatility perspective. This wasn’t unexpected – markets are closed in the US today and this is always going to affect volume to a degree – but the lack of choppiness did come as a bit of a surprise.
There is a good chance that today will be pretty quiet, but this doesn’t mean we won’t have any opportunities to get in and out of the markets. Our strategy is set up so as to take advantage of a variety of different types of market conditions and quiet, consolidating action is one of them.
So, with this note, here is a look at the levels we have in our sights for today’s session and where we intend to get in and out of the markets according to the rules of our intraday strategy.
As ever, take a quick look at the chart below to get an idea of what is on. It is a one-minute candlestick chart and it has our key range overlaid in green.
As the chart shows, the range we are targeting for the session today is defined by support to the downside at 2596 and resistance to the upside at 2623. If we see price break above resistance, we will look for a close above that level to validate an immediate upside target of 2650.
Conversely, a close below support will have us in short towards 2575. A stop loss on both trades will ensure we are taken out of the positions in the event of a price reversal.
Chart courtesy of Trading View