In this morning’s bitcoin price watch piece, we highlighted a very tight range in an attempt to draw a profit from our breakout strategy on tight volatility. We had in term resistance at 418 flat, and shortly after publication bitcoin broke to the upside through this resistance, and put us long towards an upside target of 421 flat. Shortly after the break, we broke back within range, but managed to avoid a stop loss hit and again broke to the upside. Since this, however, we’ve been trading pretty much flat along broken resistance. Exactly how this trade will turn out remains to be seen, but it means we can’t get into the market (according to our intraday strategy rules) until it resolves. There will be plenty reading that aren’t in a trade, however, so here’s our…
The Monday overnight session brought us pretty much exactly the action we expected in the bitcoin price – minus any real volatility. Price traded sideways within our range to break above and subsequently fall below the 400 flat level – to-ing and fro-ing around the psychologically significant barrier. As part of yesterday’s analysis, we noted that because of the significance of 400, and because it resided bang in the middle of our predefined range, we would avoid any intrarange entries. This is because it would likely have been difficult for price to bounce from either of the two key levels with enough sustained momentum to break through 400 and maintain a directional bias, before correcting. This turned out to be a smart move, given overnight action, and is…
To say action overnight had been erratic would be an understatement. The chart we are using for today’s analysis doesn’t represent the erraticism perfectly, as it’s a contracted version, but the up and down volatility across the board in the bitcoin price was there nonetheless. We didn’t see too much sustained directional movement. But within a pretty tight range the bitcoin price jumped around, never really offering us any real entries (even on the tightened scalp platform we outlined yesterday afternoon). We start the day a little down on yesterday’s open, but nothing substantial, and not any where near enough to suggest an overarching bearish bias. With this in mind, we’re going to bring a breakout and an intrarange strategy to the table for this morning’s…
Our analysis this morning highlighted the range we would be focusing on throughout the European morning session, and since publication, we’ve not really seen too much movement. The bitcoin price remains well within the predefined parameters, and we decided not to bring our intrarange strategy into play, so as yet we remain out of the market and net flat for the day. As a result, and to make things a little more interesting this evening, we are going to focus on our scalp framework. Specifically, we’re going to narrow our chart’s timeframe, and trade a super tight range against a breakout framework with equally tight targets and risk management parameters. So, with this in mind, here’s what we are looking at this evening. As the chart shows, the range we are going…
Yesterday we mentioned that, as a response to the tight, sideways action we had seen throughout the afternoon session in the bitcoin price, we would tighten up our range but set up against a possible sharp move on the back f price breakouts. As things turned out, we got just this move. Unfortunately, from a long term holding perspective, the move didn’t come in the direction we’d hoped. From action yesterday morning it was looking more likely that we would see 500 flat before we broke 400 again – now, not so sure. Having said this, from an intraday perspective and for our short term strategy, the move was a good one. We entered short on a break of support and almost instantly took out our downside target for a small, but solid, scalp gain. Today is a fresh…