Get started

Pricestrengthindex

ETHUSD Long on 1HCOINBASE:ETHUSD 4H chart is looking good for a move upside as it made a higher low after a good bottom. At the moment it does look like this is a confirm reversal with current support area at 3360-3400. 1H chart is looking a bit high at the moment on the PSI 1H so it may need to rest. This pullback need to be able to hold the support at 3360-3400 . If this support breaks, then this trade is invalidated. Overall trend on 4H is still looking good on uptrend. Entry: 3340 SL: 3360 Target: 3595 (just below 3600) DISCLAIMER: Nothing in this content should be interpreted as financial advice or a recommendation to buy or sell any sort of security, investment, currencies or assets.
COINBASE:ETHUSDLong
by faliqzul
Example of Shorting SPY w PSI and comparison w RSIThis is an example of Shorting SPY at the High and a comparison of RSI and Price Strength Index (PSI). AMEX:SPY made a great upside move towards 450 and then 453 on a valid strong move after a bounce of higher Low. Then, it made a pullback to 450 and made a retest of 453 to go higher. Price action w PSI analysis On 4H chart, at the second test of 453, buyer is significantly weaker because it did not even break or test previous High of the PSI 4H. PSI 4H had already shown obvious divergence even before the retest of 453, and when it retest 453 and failed, this give confidence to Short. Now on Daily, at the second test to 453, PSI shows that the move is not even strong at all. It actually made a lower High on PSI, now confirms the divergence shown on lower time frame 4h. This gives another confidence boost to Short. With these confluence, this gives a good confidence to Short. Price action w RSI analysis On 4H chart, the RSI 4H appears to look good for a push to break that 453 and go into overbought level. Even at the retest of 453, while price action shows that rejection (Red Topping Tail candle), RSI however still looks somewhat okay because it still holding on above 60 and near to previous Low. On the Daily, RSI is showing that it is still in the direction of the trend to push higher. To conclude, this is not looking clear, there is a difference of information on 4H and Daily. While RSI on 4H does indeed shows some weakness, RSI on Daily still going strong on uptrend. This does not gives confidence to Short. PSI vs RSI While both are useful, PSI do appear to have better clarity of strength/momentum in comparison to RSI. DISCLAIMER: Nothing in this content should be interpreted as financial advice or a recommendation to buy or sell any sort of security, investment, currencies or assets. This is for educational purposes only.
AMEX:SPYEducation
by faliqzul
1