At the end of last week, we widened out our range a little bit and headed into the weekend looking to draw on our intra range strategy in order to take advantage of volatility in the bitcoin price. Action has now matured over the weekend, and as we head into a fresh European week, we are going to revert back to out standard bitcoin price breakout strategy for today’s session. So, with this said, here are the levels we are keeping an eye on today, alongside our predefined risk management parameters for the session. Take a quick look at the chart to get an idea of where we are heading.
As the chart shows, action in the bitcoin price over the weekend brought us to trade up on last week’s close, with a breakout during Sunday afternoon proving the catalyst for some longer term upside momentum. Post breakout, the levels we are looking at are those that define today’s range – quite a tight one with in term support at 246.69 and resistance at 248.5.
We will initially look for a break above in term support, followed by a close above this level on the intraday chart, to put us long towards a medium term upside target of 252 flat. A Stop loss somewhere near mid range on the 15-minute chart – around 247.5 – will ensure we are only taken out for a small loss in the event of a reversal.
Looking the other way, a close below in term support following a break below that level would put us in short towards a downside target of 244.52. As top on this one, once again, around 247.5 will keep things attractive from a risk management perspective.
Charts courtesy of Trading View.