Good Risk/Reward on BTCUSD Long
Updated
I've been waiting for weeks for a good place to purchase BTC along with other small cap cryptoassets (which are usually highly correlated with BTC, if not amplified).
If you believe there's a chance in the Q1 downtrend breaking, now is a great, low-risk time to buy, because of this massive symmetric triangle formation. We've just bounced a couple of times off of the bottom of the triangle, giving us a clear place to put a stop (between 4%-8% below depending on your risk tolerance). If we next hit the top of the triangle, that will be a +16% reward. But the more important reward is getting a low-risk ticket to the show incase we do manage to break out of the downtrend. We may be very likely to fail a break upwards, but this is definitely the cheapest way to ride that opportunity if you haven't bought in already.
If we close clearly outside the triangle, sell, suck up the losses and try again another day.
redcliff.co
If you believe there's a chance in the Q1 downtrend breaking, now is a great, low-risk time to buy, because of this massive symmetric triangle formation. We've just bounced a couple of times off of the bottom of the triangle, giving us a clear place to put a stop (between 4%-8% below depending on your risk tolerance). If we next hit the top of the triangle, that will be a +16% reward. But the more important reward is getting a low-risk ticket to the show incase we do manage to break out of the downtrend. We may be very likely to fail a break upwards, but this is definitely the cheapest way to ride that opportunity if you haven't bought in already.
If we close clearly outside the triangle, sell, suck up the losses and try again another day.
redcliff.co
Note
Bottom of triangle has been penetrated. Stop loss should have hit. Only a small loss - live to trade another day!
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.