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BTC/USD Forex Signal – Thursday, August 23

By Kurt Osterberg · On August 23, 2018

Yesterday’s signals produced a losing long trade from the bullish rejection of the support level at $6,636.

Today’s BTC/USD Signals

Risk 0.75% per trade.

Trades may only be taken between 8am London time and 5pm Tokyo time, during the next 24-hour period.

Long Trades

Long entry after a bullish price action reversal on the H1 time frame following the next touch $6,170 or $5,950.

Put the stop loss 1 pip below the local swing low.

Move the stop loss to break even once the trade is $200 in profit by price.

Remove 50% of the position as profit when the trade is $200 in profit by price and leave the remainder of the position to run.

Short Trades

Short entry after a bearish price action reversal on the H1 time frame following the next touch of $6,636 or $6,805.

Put the stop loss 1 pip above the local swing high.

Move the stop loss to break even once the trade is $200 in profit by price.

Remove 50% of the position as profit when the trade is $200 in profit by price and leave the remainder of the position to run.

The best method to identify a classic “price action reversal” is for an hourly candle to close, such as a pin bar, a doji, an outside or even just an engulfing candle with a higher close. You can exploit these levels or zones by watching the price action that occurs at the given levels.

BTC/USD Analysis

I wrote yesterday that I would have a bullish bias above $6,636. The price initially seemed to respect this support level but broke down during the London session and then fell with some strength. My bullish bias was incorrect, but I was right in seeing $6,636 as a pivotal level for the day.

The price has now returned to trade comfortably well within its prevalent range of the previous week or so. I see Bitcoin as back to a dull, ranging situation, with no real long-term trend or trend on any time frame. It is amazing how in the space of little more than 6 months Bitcoin has moved from wild price movements to behaving like a typically dull Forex currency pair in August.