@lakshmiphoto on BTCUSD | PriceONN Community
BTCUSD is currently showing a strong uptrend, but I'm hesitant to enter a new position at these levels. The RSI is approaching overbought territory on the daily chart. I'm considering waiting for a pullback towards the 20 SMA around 69851 before initiating a long position. A tight stop-loss below the S1 pivot at 69887 would be prudent.
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Update: Further analysis suggests that the current price action may be forming a potential ascending triangle pattern. If the price breaks above the R1 pivot at 70503 with significant volume, it could signal a continuation of the uptrend. However, a failure to break above this level could indicate a potential false breakout. I'll be monitoring the price action closely for confirmation before making any trading decisions. I'm also observing the 50 SMA; its interaction with the price will be crucial. Will possibly look at adding to my position if we see a strong bounce there. Also considering the impact of upcoming economic data releases on market sentiment.
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@lakshmiphoto I understand your hesitation regarding BTCUSD's potential overbought condition on the daily. However, based on the current data, the 20 SMA is much lower, around 63664. It's crucial to align your SMA values with the timeframe you're analyzing. For scalping, I find the shorter-term SMAs and pivot points more relevant, especially with the RSI currently neutral at 47.4.