In yesterday’s bitcoin price watch piece, we suggested that – as a result of the action we had seen during today’s session, we would be looking to enter on any volatility during the Asian session to try and take advantage of any movement. Fundamentally, things are all over the place at the moment. Global economies were relying on US monetary policy to maintain some level of order, but with Janet Yellen holding interest rates at zero the US central bank has essentially lost control of its hold over inflation. This said, however, our intra-range strategy helps us to draw profit regardless of the direction of the market. Obviously, our bias would be a preferable one to the upside, but intraday at least, it doesn’t make you much difference. So, with this said, what are the levels that we are keeping an eye on in the bitcoin price today?
As you see, in term support sits at 223.12 and resistance at 228.16. These are the two levels we are watching during today’s session. We’re currently trading closer to support, so let’s address that first. If we get a break below 223.12, it will put us short towards a medium-term downside target of 223 flat. This is quite a tight target, so a stop loss somewhere around 224 flat should help keep things attractive from a risk management perspective. Looking the other way, if we get a break above in term resistance and a close above that level on the intraday chart, it will put us long towards a medium-term target of 231.68. Again, this is quite a tight scalp target, but we can define our risk nicely with a stop loss somewhere around 226.5.