A nice move up in the recent days, wasn’t it? The price now sits at a resistance level corresponding with the last swing high of $131/BTC. After breaking it we can say the market has turned to up trend (medium term chart) again after being in down trend from start of the July.
But before this important and inevitable step will happen we can possibly see some downward pressure in my opinion. Yesterday’s daily candle with rejected move up above the significant turning point suggests it quite clearly. So we should see some nice profitable move again this week, be it up or down.
Now there are two potential entries or strategies how to handle the trades. As the current price sits near the important level of $131 (Bitstamp), we can buy above and sell below. Simple as that.
The other usual method is based on a daily highs and lows.
So
Buy point: 132.30 Stop-loss: 128 Profit take: 140; 149
Sell point: 126.70 SL: 132.20 PT: 120.50