Following the manipulative pump of BTC on the 8th of February the digital currency has shown to be very stable trading at a average range of 3660 to 3550 USD. There have been a couple of spikes here and there but nothing significant , mainly induced by orders filling. We keep monitoring the pair to see if there is a clear breakout from either of the trend lines. We should expect to start seeing a downside once the RSI breaks over 80 on the Y Axis but doesn't exceed a price of 3663.60 USD (-0.618, Fib retracement line).This is unlikely to happen whilst volume is low, we would therefore need volume to increase to finally see some movement is this "boring" market conditions. In fact, the volume was at it's highest on the 8th of Feb (day of the big pump) at 7.7B USD and has since then been steadily decreasing to arrive at its all time low of 5.934B USD at the time of writing.
We entered the trade at 3594 USD filled through a limit sell , just under the 0.236 Fib retracement line to increase our chance of getting filled.
We have an average of +0.5% ROI currently on our position and expect to take profit early around 3417 USD (+4.91%) while risking -2.05%, giving us a risk reward ratio of 2.4.
We will keep monitoring the trade and take the relevant actions deemed necessary.
Happy trading!
Adár Capital
We entered the trade at 3594 USD filled through a limit sell , just under the 0.236 Fib retracement line to increase our chance of getting filled.
We have an average of +0.5% ROI currently on our position and expect to take profit early around 3417 USD (+4.91%) while risking -2.05%, giving us a risk reward ratio of 2.4.
We will keep monitoring the trade and take the relevant actions deemed necessary.
Happy trading!
Adár Capital
Trade closed manually:
The price of BTC spiked upwards in the early hours of asian trading, past our trendline and over the triangle and above the -0.618 and -0.261 Fib level, demonstrating some bullishness in the market but overall making our initial trading decision invalid. The RSI demonstrates that the currency has been overbought and we could expect some profit taking throughout the day. We have closed our position manually before it hit SL and will continue to monitor the pair for another potential entry.
Our new entry point for the short is around 3790 which will give us a risk/reward ratio of 4.63.