So that is another week pretty much done for our bitcoin price trading efforts and we’ve managed to close out the week on a pretty positive note. For anybody that caught this morning’s analysis, our efforts throughout the day to do just that won’t come as anything of a surprise. For anybody that missed it, we were primarily focused on keeping our risk management parameters tight in an attempt to make sure that – even if markets brought with them some volatile action – we didn’t give away the profits we had generated throughout the early to mid part of the week and that, in turn, we ended the week in the black.
As it turned out, that’s exactly what happened.
We didn’t have too much by way of opportunity to jump into the markets on the rules of our standard breakout approach, but when price moved, it didn’t move in such a way that we were muscled out of the markets for a considerable loss. We have the remainder of the US session ahead of us and our strategy tonight is going to be much the same as it was during the European session today.
That is, try and get in and out on a couple of quick turnaround trades, but don’t do anything stupid and ensure that we end the week net positive.
So, here are the levels we are looking at.
Support for this evening comes in at 3520 while resistance comes in at 3549. We are going to go with a standard breakout approach for this evening, so if we see price close above resistance we will enter long towards an immediate upside target of 3590. Conversely, a close below support will have us in short towards 3500 flat. A stoploss on both positions will ensure we are taken out of the trade in the event that – as outlined above – price reverses to trade against us.
Charts courtesy of Trading View