With Bitcoin showing some weakness (even after some bullish CPI news from the U.S. Government), we can now look for some scalp short positions with reasonable safety.
A lot of the outline of this idea is shared in a previous post earlier this week with the main takeaway being that we are really looking to trade level-to-level here because there could be some strong bounces happening at points where Bitcoin stabilizes.
My preferred method for this is to identify the nearby resistance levels and time entries on altcoins with that. So in the chart above, where the blue resistance lines are we can look for altcoin short entries when BTC gets near those levels. Of course, this involves a lot of risk management because if BTC moves to the next higher resistance you may be stopped out of your position. So it requires some finesse between not risking too much, but also only entering on setups that fit your trade criteria.
With Bitcoin showing some weakness (even after some bullish CPI news from the U.S. Government), we can now look for some scalp short positions with reasonable safety.
A lot of the outline of this idea is shared in a previous post earlier this week with the main takeaway being that we are really looking to trade level-to-level here because there could be some strong bounces happening at points where Bitcoin stabilizes.
My preferred method for this is to identify the nearby resistance levels and time entries on altcoins with that. So in the chart above, where the blue resistance lines are we can look for altcoin short entries when BTC gets near those levels. Of course, this involves a lot of risk management because if BTC moves to the next higher resistance you may be stopped out of your position. So it requires some finesse between not risking too much, but also only entering on setups that fit your trade criteria.