About BW indicators...

Updated

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We have not disclosed the detailed settings and formulas of the indicators below, but we will disclose them in the future when we deem it is time to do so.

Please understand this.

There are quite a few indicators that are displayed on the chart but are difficult to understand because they do not have explanations.

Among them, this time I will take the time to explain the BW indicator.

The BW indicator comprehensively evaluates MACD, StochRSI, CCI, supertrend, and PVT indicators to distinguish between uptrends and downtrends based on the 0 point.

(MACD indicator)
MACD = (fast + slow) / 2
Signal = EMA of MACD
MACD > Signal: +1 point
MACD = Signal: 0 points
MACD < Signal: -1 point

(StochRSI indicator)
StochRSI = (K + D) / 2
StochRSI > 50: +1 point
StochRSI = 50: 0 points
StochRSI < 50: -1 point

(CCI indicator)
CCI > 0: +1 point
CCI = 0: 0 points
CCI < 0: -1 point

(supertrend indicator)
direction < 10: +1 point
direction = 0 : 0 points
direction > 10 : -1 point

(PVT indicator)
PVT > Signal: +1 point
PVT = Signal: 0 points
PVT < Signal: -1 point

It is displayed in the secondary indicator using the same calculation method as above.

To make it easier to view, we made it appear on the price chart.

Therefore, we have made it possible to check more intuitively by referring to the BW indicator point displayed on the price chart when trading.

To use this indicator, simply share this idea and then paste it into your own chart.

Have a good time.
thank you

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- The big picture

The full-fledged upward trend is expected to begin when the price rises above 29K.

This is the section expected to be touched in the next bull market, 81K-95K.

#BTCUSD 12M

1st: 44234.54
2nd: 61383.23
3rd: 89126.41
101875.70-106275.10 (when overshooting)
4th: 13401.28
151166.97-157451.83 (when overshooting)
5th: 178910.15

These are points that are likely to encounter resistance in the future.
We need to see if we can break through these points upward.

Since it is thought that a new trend can be created in the overshooting area, you should check the movement when this area is touched.

If the general upward trend continues until 2025, it is expected to rise to around 57014.33 and then create a pull back pattern.
1st: 43833.05
2nd: 32992.55

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Note

(How to share charts)

Note

(BW indicator)

The BW indicator is an indicator that determines trends by combining five indicators.

The source used in the formula was Heikin Ashi's Close, Open, High, Low.

1. MACD indicator
MACD > Signal: Uptrend
MACD < Signal: Downtrend
(Note: MACD = (MACD + Signal) / 2)

2. StochRSI indicator
StochRSI > 50: Bullish trend
StochRSI < 50: downtrend
(The RSI value was used incorrectly in the existing StochRSI indicator formula, which was corrected.
The revised content will be published from March 29, 2024.)

3. CCI indicator
CCI > 0: Uptrend
CCI < 0: downtrend

4. PVT indicator
PVT > Signal: Rising trend
PVT < Signal: Downtrend

5. superTrend indicator
It is the same as the existing interpretation method.

The StochRSI indicator has an overbought or oversold zone, so when it breaks out of this zone, you can check support and resistance points and start trading.

However, the StochRSI indicator uses 50 as the standard and applies the basic principle that as it rises, the strength of the rise becomes stronger.

Therefore, if the StochRSI indicator falls below 50, it should be interpreted that the strength of the decline is intensifying.

Based on these basic principles, we attempted to understand the overall flow.

The CCI indicator was also interpreted in the same way as the StochRSI indicator, with 0 as the standard.

The MACD and StochRSI indicators were based on the midline of the MACD and Signal of the existing MACD indicator and the K and D indicators of the StochRSI indicator.

The reason is that we wanted to find a more gradual trend.

Note

We added the BW EMA indicator to find out in advance when the BW indicator is likely to rise or fall.

Instead of hiding the BW EMA indicator, I used the fill function to display only the uptrend.

This metric will be applied in the next publication.

Note

You need to check whether the movement is similar to the section your finger is pointing to.

Since the current wave appears to be slightly larger than the wave in the section pointed to by the finger, there is a possibility that it will touch the M-Signal indicator on the 1W chart.

Accordingly, it seems likely that a new HA-Low indicator will be created this time, unlike before.

If that happens, the time to buy will be when support appears near the HA-Low indicator.

The BW indicator created a horizontal line at the lowest point of the oversold range.

It is time to buy when it receives support and rises near the point forming the horizontal line.

Since the BW indicator was formed near the box section of the HA-High indicator, in order to continue the upward trend, the price must be maintained by rising above the bottom section of the box at least.

I think the reason the current wave is bigger than before is because the price is located near the new high (ATH).

The StochRSI indicator included in the TS-BW indicator uses the closing price of a general candle.

The StochRSI indicator included in the BW indicator uses the closing price of the Heikin Ashi candle.

Therefore, they can represent different values.

Since the BW indicator mostly uses the values of Heikin Ashi candles, it may show different results from the values of general indicators.

The reason for using the value of the Heikin Ashi candle is to exclude fake or whipsaw waves as much as possible.

therefore,
- Check whether the BW indicator is supported at the point where it forms a horizontal line,
- Check the movement of the StochRSI indicator of the TS-BW indicator,
- Check the support and resistance points drawn on the 1M, 1W, 1D charts,
When the above three conditions are confirmed and satisfied, it is time to start the transaction.

The examples above provide a baseline that can help you create a trading strategy.

Therefore, you must create standards that fit your individual investment style and develop a trading strategy accordingly.

Note

(SOLUSDT 1D chart)

The StochRSI indicator included in the TS-BW indicator is showing an upward trend in the oversold range.

However, since it did not rise above 30, it could not escape the oversold zone in trading.

Since the BW indicator has leveled off at the lowest point of the oversold section, purchasing is only possible if the price rises above the BW indicator point and is maintained.

However, since the price is currently below the BW indicator point, it is clear that it is not the time to start trading.

Since the HA RSI indicator is fluctuating around 30, the possibility of an HA-Low indicator being created is increasing.

Accordingly, if a new HA-Low indicator is created, the key is whether it can be supported around it.

Even if the three conditions above are met, if it fails to rise above the MS-Signal indicator, there is a possibility that it will eventually show a cascading decline, so you should think about how to respond when trading.

If the price remains above the MS-Signal indicator and the HA-High indicator, there is a high possibility that an upward trend will begin.

Therefore, when the above steps are satisfied, you need to think about what kind of trading strategy to proceed with the transaction and respond accordingly.

(DOTUSDT 1D chart)

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