CountOnCrypto - Bitcoin Forecast - 06/06/2022
Updated
Hello TradingView, I'm happy to post my latest trading idea which is a short from the daily level (or just below) of 31.75k. This is a previous daily point of control (daily nPoc) which was until earlier untapped. These levels often act as support and resistance therefore pose as an entry I often take for my trades.
My stop loss for this short position is 2% above my entry, I am using 2.5x leverage on my position therefore my stop loss would yield -5% where as my take profit is 9.4% * 2.5x = 23.5% which yields a risk to reward ratio of 1:4.6, this is a good risk to reward which makes this position valuable in my opinion given the reason for entries.
The safest way in my opinion for this trade to play out in terms of taking profit is to follow the levels in the range below.
The value area high of the range is in confluence with the daily level at 30.4k so we can expect some support at this level potentially. The next level of interest would be the range point of control which is marked by the red horizontal line, breaking below this level would mean it's likely we'd re-test the value area low of the range which is the lower blue horizontal line.
If we broke below the value area low of the range then I would expect us to find support at around 28.58k which is a daily level I have marked and has acted as support previously in the short term. I would be looking for longs in this zone and may post a long idea following up on this post.
I hope you've found my idea useful, remember to trade safely and use risk management. My thesis for entries always has to consider a few outcomes given that bitcoin can be extremely volatile and I always use a stop loss at a point of invalidation. Plan the trade, trade the plan and always remember to protect your capital!
My stop loss for this short position is 2% above my entry, I am using 2.5x leverage on my position therefore my stop loss would yield -5% where as my take profit is 9.4% * 2.5x = 23.5% which yields a risk to reward ratio of 1:4.6, this is a good risk to reward which makes this position valuable in my opinion given the reason for entries.
The safest way in my opinion for this trade to play out in terms of taking profit is to follow the levels in the range below.
The value area high of the range is in confluence with the daily level at 30.4k so we can expect some support at this level potentially. The next level of interest would be the range point of control which is marked by the red horizontal line, breaking below this level would mean it's likely we'd re-test the value area low of the range which is the lower blue horizontal line.
If we broke below the value area low of the range then I would expect us to find support at around 28.58k which is a daily level I have marked and has acted as support previously in the short term. I would be looking for longs in this zone and may post a long idea following up on this post.
I hope you've found my idea useful, remember to trade safely and use risk management. My thesis for entries always has to consider a few outcomes given that bitcoin can be extremely volatile and I always use a stop loss at a point of invalidation. Plan the trade, trade the plan and always remember to protect your capital!
Trade active
Trade is active from entry.Trade closed: target reached
Trade closed in profit.
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Telegram Profits: t.me/CountOnCryptoProfits
Telegram Reviews & Testimonials: t.me/CountOnCryptoReviews
Telegram Contact: t.me/CountOnCrypto
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