Today’s BTC/USD Signals
Risk 0.50% per trade.
Trades may only be entered before 5pm New York time Monday.
Long Trade Idea
- Long trade entry after a bullish price action reversal on the H1 timeframe following the next touch of 19.5000.
- Put the stop loss 0.065 below the local swing low.
- Move the stop loss to break even once the trade is 0.13 in profit by price.
- Remove 50% of the position as profit when the trade is 0.13 in profit by price and leave the remainder of the position to ride.
Short Trade Idea
- Short entry after a bearish price action reversal on the H1 timeframe following the next touch of 19.7607.
- Put the stop loss 0.065 above the local swing high.
- Adjust the stop loss to break even once the trade is 0.13 in profit by price.
- Remove 50% of the position as profit when the trade is 0.13 in profit by price and leave the remainder of the position to ride.
The best method to identify a classic “price action reversal” is for an hourly candle to close, such as a pin bar, a doji, an outside or even just an engulfing candle with a higher close. You can exploit these levels or zones by watching the price action that occurs at the given levels.
Top Forex Brokers
USD/MXN Analysis
The USD/MXN currency pair is in a strong and long-term bearish trend, fuelled mostly by the decline in the trade war between the USA and Mexico. It is effectively off the agenda for a few more weeks, and this has given the Peso time to strengthen at the US Dollar’s expense. The decline last week was especially impressive because the US Dollar gained against most other currencies.
Technically an interesting point has been reached, with the recent multi-month low price rejecting a key support level which is confluent with 19.50. The price has been rising from this level today.
Above, there is a clear key resistance level at 19.7607.
I think the best approach here would be to look for a quick long trade if we get another bullish bounce at 19.50, or a longer-term short trade if we get another failed test from below of the resistance level at 19.7607.
There is nothing of high importance due today regarding either the US Dollar or the Mexican Peso.
Ready to trade our Forex forecast on USD/MXN? Here’s our list of the best Forex brokers in Mexico worth reviewing.