I have a bullish bias for today's price action in $BTCUSD. Next significant resistance level I am looking at is ~9600. Doji currently forming but we have a number of technical analysis indicators on the daily supporting this viewpoint:
-Yesterday's candle tried to get below the key level 8950 but failed with a price surge occurring late enough in the day. I can see this level acting as support.
-Price action currently trading above 8, 13, & 21EMA
-CCI at 100 mark while RSI at just about 60 showing the trend could be gaining some further momentum while not yet at overbought conditions
Key Risks:
-Doji forming so there is some insignificance.
-Price action was negative for much of the day yesterday & yesterday's performance can be a good indication of the next day. But the good thing here is there was a price surge late in the day.
-Volume on yesterday's increase was less than the volume on the the day beforehand's drop indicating the bears may have more weight to move the market. Bearish engulfing also occurred on the day before yesterday's candle which can be indicative of the top of an uptrend
Conclusion:
Although I have a long bias, price action & order flow book will be monitored closely, as there is also some support for a bearish outlook. If price action drops below 9000 mark I will be changing outlook to bearish . For positions taken today, I will have tight stop losses 50-100 USD's below where I enter looking to take profit from 100-200 USD's. If some trades don't work, I would consider not trading until price action either drops below 9000 or manages to pick up some volume and starts trading more aggressively to the upside.
