So that’s the first day of the week in the bitcoin price out of the way, and it’s been a pretty interesting one. We didn’t quite get the volatility we’d hoped for, but price did move, and we managed to get in on a short term scalp entry to draw a small profit from the market. Things have settled down a bit now, but that isn’t necessarily representative of what we can expect tonight, so with any luck we’ll get a bit more breakout action.
So, with this said, and ahead of the late US session this evening, let’s take a look at the levels in focus for the night and – beyond – into the Asian session early morning.
One thing to bear in mind before we get going is that the US presidential debate is set to air, and this is probably going to inject a certain degree of volatility into the space. Whether this volatility will last remains to be seen, but we’ll play it by ear.
So, here goes.
As ever, take a quick look at the chart before we get going. It’s a five-minute candlestick chart with our range in focus overlaid in green.
As the chart shows, we are looking at a range defined by in term support to the downside at 603 flat, and in term resistance to the upside at 606. This is a nice tight range, so we should be able to get some breakout entries on even the smallest level of volatility.
If price closes above resistance, we’re going to get in long towards 610 flat to the upside. A stop on this one at 604 defines risk. Conversely, a close below support will signal short towards 598. Again we need a stop, and 605 looks good from a risk reward perspective.
Happy trading!
Charts courtesy of SimpleFX