Heres a nice quick set up I had with after a small dip last night. I actually entered closer to 11050 but the idea was just right. I honestly didn't think it would work out but seems like a whale trade was in my favor.
Last night I noticed the dip was getting weaker, and the GDAX Depth chart shifted by $100 from 11k to 11.1k. I was hoping for a slippage up to 11.3k but took profit at 11.425k with a stop limit placed earlier this morning.
The idea is simple, find out where the depth chart will provide support. GDAX offers free trading if you are a market maker, so I had a stop limit buy order at 11050.
I also considered where the resistance line was. I looked early this morning and found it kept retesting the 11.1k and had a growing buy wall there.
I looked for a pattern which was both , and a triple bottom. The triple bottom, and the depth chart showing weakness from sellers leading up to 11.4k gave me enough confidence to enter the trade. Again I was doubtful but the opportunity seemed good enough for a quick day trade.
I got notification I hit that buy order, and so I placed the stop at 11375 with a limit sell order at 11425. This is because the buy wall was large at 11.5k and I wanted to make sure I had was first out if it was going to test 11475.
Nice & quick trade for the day and target was reached already.
From a Macro standpoint there isn't much to go on. The news of enhancements were already out, and there wasn't alot of major news specifically for BTC . So it was nice to stick just to TA.
Obviously pattern is complete but worth considering for the next run. TBH + IMO BTC needs a dip down to 10.3k or even 9.7k for a solid fueling to break out of 12k resistance. Maybe end of march after everyone does their taxes, but thats more speculation really.
Things I am looking out for is ETH news on scaling solution. Growing criticism regarding Casper protocol, which is good to have now rather than later if/when it is implemented to the main net. Either way exciting times for trading in this market.
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