Earlier this morning we published our twice-daily bitcoin price watch piece. In the piece we highlighted the levels that we would be keeping an eye on in the bitcoin price throughout Monday’s session, and suggested how we might respond to price reaching or breaking these levels as far as entering according to our intraday scalp strategy was concerned. Now action has matured throughout the session, what are the levels that we are keeping an eye on now, and how can we get in and out of the market according to our scalp strategy as price matures throughout the Asian session? Let’s take a quick look. First of all, have a quick look at the chart below.
As the chart shows, shortly after we published our piece this morning, we ran up towards the level that we had slated as in term resistance before a quick test and then a break of this level put us long towards our intraday target of 255 flat, and we quickly broke this level to take out a nice profit from the trade. We reached highs of 256.92 on an intraday basis, and have since corrected down to where we now trade around 253 flat. The levels that we are keeping an eye on moving forward are aforementioned broken in term resistance at 252.03 (now serving as in term support) and today’s high at 256.92 bringing us in term resistance.
With the upside momentum we have seen today, we will initially look for a break above in term resistance and a close above 256.92 to validate an upside entry towards 260 flat. On this trade, a stop loss somewhere around 255 flat will maintain a nice risk reward profile.
Conversely, if we get a break back below in term support at 252.03, it would put us short on a medium-term target of 247.03.
Charts courtesy of Trading View