Reverse Head and Shoulders Setup on Bitcoin, 48K Target
Trend Analysis
The main view of this trade idea is on the 15-Min Chart. There is a Reverse Head and Shoulders setup on the cryptocurrency Bitcoin (BTC). The Head of the setup is around the 45280 low. The left and right shoulders of the setup is at 45650 and 45600 respectively. The neckline is the trendline highlighted in red on the chart. The target is determined by measuring the distance between the neckline and the head and using that distance from off the neckline. This setup takes the target towards the 48000 price level. The Stop loss should be placed at the low below the neckline.
Technical Indicators
The bullish nature of the reverse head and shoulders setup is supported by the price of BTC being above its short (25-MA) and medium (75-MA) fractal moving averages. Also the RSI is above 50 with the KST being in a positive mode.
Recommendation
The recommendation will be to go long at market. Stop loss will be set around the 46150 price level and a target of 48000. This produces a risk-reward ratio of 2.02.
Disclaimer
The views expressed are mine and do not represent the views of my employers and business partners. Persons acting on these recommendations are doing so at their own risk. These recommendations are not a solicitation to buy or to sell but are for purely discussion purposes. At the time publishing, I have a position in BTC.
The main view of this trade idea is on the 15-Min Chart. There is a Reverse Head and Shoulders setup on the cryptocurrency Bitcoin (BTC). The Head of the setup is around the 45280 low. The left and right shoulders of the setup is at 45650 and 45600 respectively. The neckline is the trendline highlighted in red on the chart. The target is determined by measuring the distance between the neckline and the head and using that distance from off the neckline. This setup takes the target towards the 48000 price level. The Stop loss should be placed at the low below the neckline.
Technical Indicators
The bullish nature of the reverse head and shoulders setup is supported by the price of BTC being above its short (25-MA) and medium (75-MA) fractal moving averages. Also the RSI is above 50 with the KST being in a positive mode.
Recommendation
The recommendation will be to go long at market. Stop loss will be set around the 46150 price level and a target of 48000. This produces a risk-reward ratio of 2.02.
Disclaimer
The views expressed are mine and do not represent the views of my employers and business partners. Persons acting on these recommendations are doing so at their own risk. These recommendations are not a solicitation to buy or to sell but are for purely discussion purposes. At the time publishing, I have a position in BTC.
Trade closed: stop reached
