So that’s Tuesday done from a European perspective and anyone that’s been trading along with us today will know that we’ve had a pretty good day in the bitcoin price. We noted as part of this morning’s coverage that we really wanted to see a continuation of the overarching bullish momentum throughout the session today. It’s not that this direction is preferential from the point of view of short term execution (we can make money in both up and down markets) but while momentum is with the bulls we seem to get sustained breakouts and these breakouts are quick and easy turnaround entries. The simpler the better, as we always say.
We got exactly what we were looking for and we are heading into the session this evening on a high – plenty of profit in the bag for the day and plenty of action on which we can base our key levels for this evening.
So, on that note, let’s get to what’s important. As ever, take a quick look at the chart below before we get started so as to get an idea where things stand right now and where we are looking to get in and out of the markets according to the rules of our strategy tonight.
It’s a one-minute candlestick chart and it’s got our key range overlaid in blue and red.
As the chart shows, the range we are using tonight is defined by support to the downside at 2568 and resistance to the upside at 2603. We are going to look for a close above resistance to get us into a long trade towards 2630. Conversely, a close below support will have us in short towards a downside target of 2535.
Stops on both positions just the other sides of the entry in both cases will ensure we are taken out of the trades in the event of a bias reversal.
Charts courtesy of Trading View