Earlier this morning we published a bitcoin price watch article that outlined the approach we would be taking throughout today’s European session. Action has now matured throughout the day and, as we head into the Asian session this evening, how did our strategy play out, did we manage to get in and out of the markets, and where will we be looking to implement our entries heading into the weekend? Take a quick look at the chart below.
As you can see, today’s action has been pretty much range bound, between the parameters we highlighted this morning as being the ones to keep an eye on. These are in term support at 237.10 and in term resistance at 241.63. As such, and as a result of neither of these levels breaking during today’s session, they remain the ones to watch tonight.
We will impose both our intraday strategies on any action. If we get a run down to support we will initially look for a break below, and a close below, 237.10 to validate a medium term short entry and a downside target of 234.77, with a stop loss somewhere around 238.5 helping to keep things tight on the risk management side of things. Conversely, if we get a bounce from support and it holds firm, we will look to enter long on the rejection towards resistance, with a stop juts below 236.
Looking the other way, if we reach 241.63 outright, we will look for a downside rejection to put us short back down towards support. A stop loss just above resistance (somewhere around 242.5) will ensure we are taken out of the trade in the event that we break range. If we close above 241.63 on our intraday chart, it will put us long towards an initial target of 245 flat.
Charts courtesy of Trading View