BTCUSD On & Off Ramps
Good evening everyone. I've used this strategy the past few months after compiling a few ideas from YouTube and my personal library. All the analysis ideas with fibs, futures, short positions, and waves are interesting to read but it looks like the market gives a couple good signals of where it's going. The common theme from friends and family is that they failed to load their boats with cheap crypto during the winter but also don't want to buy the top of a run and wait out a 30% draw down. This has provided a few good entry points for deploying funds.
The setup:
Daily chart
50 sma - longs only above, shorts only below
RSI - 5 period, levels set to 51/49 to make a line in the center
Signal = a close above the 50 & bottom to top cross of RSI - preferably the same candle, but within one or two should work
Confirmation = next candle with price exceeding close of signal candle
Stop (if trading) is 1.5x ATR unless that puts it too close to market structure for stop hunters to take out
**this stop is only for unattended trades. The RSI can get you out before max risk is hit.
Based on the last upward cross of the RSI it looks like we're going up. We'll go up until...buyers and sellers reach equilibrium. Ha! What a concept. Then if there's one more seller than buyer, we'll go down. Wait for the setup again to add to a current position or open a new one. Not with actual money, of course...because this is coming to you second hand from YouTube!!
The setup:
Daily chart
50 sma - longs only above, shorts only below
RSI - 5 period, levels set to 51/49 to make a line in the center
Signal = a close above the 50 & bottom to top cross of RSI - preferably the same candle, but within one or two should work
Confirmation = next candle with price exceeding close of signal candle
Stop (if trading) is 1.5x ATR unless that puts it too close to market structure for stop hunters to take out
**this stop is only for unattended trades. The RSI can get you out before max risk is hit.
Based on the last upward cross of the RSI it looks like we're going up. We'll go up until...buyers and sellers reach equilibrium. Ha! What a concept. Then if there's one more seller than buyer, we'll go down. Wait for the setup again to add to a current position or open a new one. Not with actual money, of course...because this is coming to you second hand from YouTube!!
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.