Bitcoin: Price Channel and How to Trade
I want to add one model describing a possible market movement. It is based on the horizontal price channel with borders between 10 000USD and the support zone formed by 8500USD and 8600USD.
If the price drops below the local swing low and the broken downtrend line from higher timeframes, the next important zone will be at 8500USD. You can see how the price acted in this zone in the past. It confirms that the market respects this zone.
How can we use such a price movement for trading? If the price reverses from 8600USD-8500USD, it will be a possible buying opportunity with stop orders below this support zone and the main profit target at 10 000USD. We will use the rules of trading in a horizontal price channel when we buy from the bottom and exit at the upper border.
If the price drops below 8500USD, it will open the road to 8000USD.
If you want to read about the alternative market movements, please use the post from the related ideas.
P.S. as I don't use like-bots and other solutions that show great "interest" to my posts, I will be grateful if you support my work by your LIKEs and comment. Of course, if you can do it. The feedback from REAL people is priceless!
Disclaimer!
This post does not provide financial advice. It is for educational purposes only! You can use the information from the post to make your own trading plan for the market. But you must do your own research and use it as the priority. Trading is risky, and it is not suitable for everyone. Only you can be responsible for your trading.
If the price drops below the local swing low and the broken downtrend line from higher timeframes, the next important zone will be at 8500USD. You can see how the price acted in this zone in the past. It confirms that the market respects this zone.
How can we use such a price movement for trading? If the price reverses from 8600USD-8500USD, it will be a possible buying opportunity with stop orders below this support zone and the main profit target at 10 000USD. We will use the rules of trading in a horizontal price channel when we buy from the bottom and exit at the upper border.
If the price drops below 8500USD, it will open the road to 8000USD.
If you want to read about the alternative market movements, please use the post from the related ideas.
P.S. as I don't use like-bots and other solutions that show great "interest" to my posts, I will be grateful if you support my work by your LIKEs and comment. Of course, if you can do it. The feedback from REAL people is priceless!
Disclaimer!
This post does not provide financial advice. It is for educational purposes only! You can use the information from the post to make your own trading plan for the market. But you must do your own research and use it as the priority. Trading is risky, and it is not suitable for everyone. Only you can be responsible for your trading.
Related publications
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.