Here we go. Another Tuesday session out of Europe in the bitcoin price, and one that we hope is finally going to give us some decent entries. Price has been pretty flat over the last couple of weeks and we’ve not had much to go at. That doesn’t make for particularly interesting reading for our technical analysis readers (nor does it make for riveting writing) but we are going to stay the course and maintain our approach.
It’s been good to us for a couple of years now, and there have been patches across this two-year period that have been dull, just as now. We’ve got to stick to our rules until the quiet recedes. The opposite of what we’d be looking for at sea, I suppose. Anyway, that’s a digression.
Getting back to today’s action, let’s take a look at how action overnight is set to influence our key levels for this morning. The chart below outlines our Tuesday battle plan. It’s a five-minute candlestick and it’s got our key levels overlaid in green.
Take a look at that to familiarize yourself with our focus regions before we get into the detail.
As tat chart illustrates, the range we are going at today is defined by in term support to the downside at 606 flat, and we are looking at in term resistance somewhere in the region od 611.
If price breaks through the latter, to the upside, we’ll get in long towards an immediate upside target of 616. Not massive, but a profit’s a profit in these markets, whatever its size.
The same sort of approach is going to hold on the short side. If price breaks through support, we will look for a close below to put us in a short position towards 600 flat. A stop on this one at 608 will define our upside risk.
Charts courtesy of SimpleFX