Sell below 6021. Stop loss at 6145. Take profit at 5745.
Reason for the trading strategy (fundamentally):
The latest news surrounding cryptocurrency involves the Bank of England’s deputy governor for prudential regulation, Sam Woods, warning banks, insurance companies and investment firms to protect themselves against market volatility and potentially risky investments in the crypto space. The letter further stated that financial institutions should take steps to minimize any possible risk caused by trading in crypto assets.
Reason for the trading strategy (technically):
BTCUSD is dropping strongly and we remain bearish looking to sell on strength below major resistance at 6021 (Fibonacci retracement, horizontal pullback resistance, bearish Ichimoku cloud) to ride the drop down further to major support at 5747 (Fibonacci extension, horizontal swing low support).
RSI (34) sees a bearish exit signalling that further bearish potential is expected.
Reason for the trading strategy (fundamentally):
The latest news surrounding cryptocurrency involves the Bank of England’s deputy governor for prudential regulation, Sam Woods, warning banks, insurance companies and investment firms to protect themselves against market volatility and potentially risky investments in the crypto space. The letter further stated that financial institutions should take steps to minimize any possible risk caused by trading in crypto assets.
Reason for the trading strategy (technically):
BTCUSD is dropping strongly and we remain bearish looking to sell on strength below major resistance at 6021 (Fibonacci retracement, horizontal pullback resistance, bearish Ichimoku cloud) to ride the drop down further to major support at 5747 (Fibonacci extension, horizontal swing low support).
RSI (34) sees a bearish exit signalling that further bearish potential is expected.