Is BTCUSD up for a Short Term reversal? - Three Line Break (4h)

2019年8月31日

This Three Line Break (4h) chart highlights a pattern which has repeated itself several times recently.

1- A succession of bearish candles with average volume prints, followed by
2- A taller volume bar on a bearish candle, then
3- A reversal after 3 bearish candles with average to low volume.

Remark: the candles on the chart are not based on time intervals but purely designed on price levels.

On the last blue highlighted zone BTC went through step 1 & 2, currently evolving in accordance with step 3. 2 bearish candles with average volume. The 3rd candle after the spike could end up bearish without invalidating the strategy as long as the volume is kept in check.
I see the current setup as an interesting risk reward opportunity.

My parameters:
Long position @ 9510ish
Take profit @10140 and 10240
Stoploss @ 9230
Volume Exit if a bearish candle prints with volume > 7500.



This is no financial advice just a statement of opinion.

2019年9月2日

Note

Took Profit @10110. and out of the trade. I wanted to be out before meeting 20MA Bollinger. +5%. Not Bad