A bearish pennant has formed on BTCUSD. A possible way to play would be to enter a short with a stop limit under the lower border of the pennant with a max target of around 450-650 points, depending upon where you measure the height of the flagpole. (Target could be less because of multiple strong support levels present along the way - 8800 or 8900 might be a more conservative and reasonable target as well). Aggressive traders may just enter the short now and have a stop loss order above the upper border of the pennant.
Trade closed: target reached:
I closed this Out at 8850, midway between the 8880/8900 mentioned above.
Comment:
Interestingly, another bearish pennant is present on the 30-min chart. Currently the lower border is around 8940. May look to go short again if it cannot break and hold above the new pennant upper border.