BTC/USD: technical analysis 09.03.2018

BTCUSD-2018-03-09

Current trend

On the 4-hour chart, BTC/USD is falling along the lower line of the Bollinger Bands.

The lack of long-term corrections reflects the strength of the current trend.

BTC/USD is now trying to consolidate below the level of 8750.00 (Murray [2/8]). Technical indicators reflect the maintenance of the current downward dynamics.

Bollinger Bands are directed down.

MACD histogram is in the negative zone keeping a signal for the opening of sell positions.

Stochastic’s lines are pointed downwards

If the current trend maintains, the next targets of sellers will be the level of 8125.00 (Murray [1/8]).

The breakout and consolidation of the price below the level of 8125.00 will let BTC/USD reach the level of 7500.00 (Murray [0/8]). There is a high chance of a downward reverse.

The upward trend will be restored after the price is set above the level of 9375.00 (Murray [3/8]).

In this case, the next targets of buyers will be the level of 10000.00 (Murray [4/8]), which is the middle line of Bollinger Bands.

Support and resistance

Support levels: 8750.00, 8125.00, 7500.00

Resistance levels: 9375.00, 10000.00, 10625.00.

Trading recommendations

Short positions can be opened below the level of 8750.00 with the target at around 8125.00 and stop loss 8900.00.

Buy positions can be opened above the level of 9375.00 with the target at around 10000.00 and stop loss 9200.00.