Bitcoin profit target reached perfectly, prepare for a bounce
Buy above 12858. Stop loss at 12348. Take profit at 13748.
Reason for the trading strategy (fundamentally):
Price has continued to tumble with South Korean cryptocurrency investors facing fines if they have anonymous accounts, along with that, the justice minister aired a plan to ban trading at cryptocurrency exchanges. To add fuel to fire, the Indonesia Central Bank has also warned that cryptocurrencies may not be used for payments in the country. These influx of bad news surrounding bitcoin has caused it to fall even further.
Reason for the trading strategy (technically):
Price has reached our selling area and dropped down perfectly to our profit target. We look to play another bounce above 12858 support (ABC Fibonacci extension, horizontal swing low support) towards our resistance target at 13748 (Fibonacci retracement, breakout level).
Stochastic (34,5,3) is seeing major support above 10% where a corresponding bounce could occur.
Reason for the trading strategy (fundamentally):
Price has continued to tumble with South Korean cryptocurrency investors facing fines if they have anonymous accounts, along with that, the justice minister aired a plan to ban trading at cryptocurrency exchanges. To add fuel to fire, the Indonesia Central Bank has also warned that cryptocurrencies may not be used for payments in the country. These influx of bad news surrounding bitcoin has caused it to fall even further.
Reason for the trading strategy (technically):
Price has reached our selling area and dropped down perfectly to our profit target. We look to play another bounce above 12858 support (ABC Fibonacci extension, horizontal swing low support) towards our resistance target at 13748 (Fibonacci retracement, breakout level).
Stochastic (34,5,3) is seeing major support above 10% where a corresponding bounce could occur.