Low-Risk Buy Opportunity for BTC [short term trade]
I am posting this now, as a potential long swing trade of low risk. We should expect strong support at the $9,000 price level, so as we are currently floating around $9,100, just below $9,000 can be our stop loss.
B is a 0.886 fib retracement of XA, not to exceed point X
BC is between a 0.382 and 0.886 fib ratio of AB
CD reverses at 1.618 fib extension of XA, and extremes of 2.816 to 3.618 of BC
All of these criteria are met so far, except for that of the CD leg. By taking advantage of being just above an expected support, we can enter this long trade with a tight stop loss below $8,900. I have noticed some fall just shy of our targets, so I would begin taking profit just before $10,000. If $10,000 resistance is broken, the target range would be $10,250-$10,500.
We should also be mindful of the 0.618 fib resistance, from our previous high, we can expect around $10,300. I also STRONGLY recommend the use of stop-losses as we are in a , which is generally a reversal pattern.
Sell target: $10,250-$10,500
Risk/Reward ratio: ~3.5
Although this is a , it is not yet confirmed. We are looking to take advantage of the current price in relation to an anticipated support in hopes of the completing. As mentioned above, I will update with a short trade idea if this completes.
*THIS IS NOT TRADING ADVICE, JUST MY OPINIONS AND IDEAS*