BTC/USD Forex Signal - Tuesday, August 21

Yesterday’s signals were not triggered, as none of the key levels were ever reached.

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 $6,171 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 $6,671 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 still had no directional bias and had little to say except that this pair was very flat and challenging to trade. This turned out to be a good call, with the price continuing to stay within its range without even reaching any of the key support or resistance levels. The price has been bullish over the past few hours, but it really looks as if there is no overall direction over the long or medium terms. This is a boring place for traders to be as long as ranging conditions persist, so I see this pair as best avoided today.