FxWirePro: BTC/USD trades lower following breach of 90-EMA support, good to go short on rallies

BTC/USD is trading lower on Friday as it broke below 90-EMA.

The pair is currently trying to hold 55-EMA support and trading at 7324 levels at the time of writing (Bitstamp).

On the topside, resistance is seen at 7470 (1h 20-SMA) and a break above would test 7546 (21-EMA)/7677 (5-DMA). Further strength would target 7789 (4h 100-SMA)/7909 (10-DMA).

On the downside, a decisive break below 7303 (55-EMA) would target next support at 7182 (Cloud top). Further weakness would see it testing 7134 (4h 200-SMA)/7000/6895 (50-DMA).

Momentum Studies: Technical indicators are bearish on the daily chart – RSI is weak at 47, MACD line is below the signal line and stochs are biased sharply lower. Bias is bearish on intraday charts as well.

Recommendation: Good to go short on rallies around 7330/7350. SL: 7700. TP: 7200/7140/7000.