I’ve developed a Pine Script that generates buy alerts based on RSI and volume behavior.
If you're interested in trying it out — leave a comment, and I’ll share the code with you directly.
On the **SPXUSDT (1H, Bybit)** chart, we’re observing a sharp sell-off with a breakdown below the key dynamic support – **EMA 200**. However, the current structure shows signs that are relevant for a **cautious DCA entry strategy**.
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🔍 **Technical Context:**
- **EMA 9 < EMA 21 < EMA 200** – a clearly bearish alignment.
- Price has moved aggressively below all key moving averages, but the latest candle shows a **bounce with increasing volume**.
- **RSI Indicators:**
- **RSI (14): 28.92** – firmly in the **oversold** zone.
- **RSI EMA: 37.28** – RSI remains below its average, showing bearish pressure.
- **Cautious DCA on Dips** strategy has triggered **two consecutive buy signals** near the local bottom.
- Initial support forming between **0.4430–0.4460**, which could serve as a DCA zone.
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📈 **Volume Insight:**
The spike in volume hints at **localized demand** — either from short-sellers closing positions or early accumulation attempts by buyers reacting to oversold levels.
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⚠️ **Cautionary Notes:**
- **RSI has not yet crossed its EMA to the upside**, which means a reversal is not confirmed.
- Without a breakout above **EMA 9 and EMA 21**, any bounce should still be considered **corrective**.
---
✅ **Strategic View:**
- This zone may be appropriate for **initial DCA entries**, but should be approached with **risk-managed scaling**.
- Key confirmation would be a **bullish RSI crossover above its average**, followed by **EMA 9 crossing EMA 21**.
---
💬 Drop your thoughts in the comments – are we seeing early accumulation or just another trap in a downtrend?
If you're interested in trying it out — leave a comment, and I’ll share the code with you directly.
On the **SPXUSDT (1H, Bybit)** chart, we’re observing a sharp sell-off with a breakdown below the key dynamic support – **EMA 200**. However, the current structure shows signs that are relevant for a **cautious DCA entry strategy**.
---
🔍 **Technical Context:**
- **EMA 9 < EMA 21 < EMA 200** – a clearly bearish alignment.
- Price has moved aggressively below all key moving averages, but the latest candle shows a **bounce with increasing volume**.
- **RSI Indicators:**
- **RSI (14): 28.92** – firmly in the **oversold** zone.
- **RSI EMA: 37.28** – RSI remains below its average, showing bearish pressure.
- **Cautious DCA on Dips** strategy has triggered **two consecutive buy signals** near the local bottom.
- Initial support forming between **0.4430–0.4460**, which could serve as a DCA zone.
---
📈 **Volume Insight:**
The spike in volume hints at **localized demand** — either from short-sellers closing positions or early accumulation attempts by buyers reacting to oversold levels.
---
⚠️ **Cautionary Notes:**
- **RSI has not yet crossed its EMA to the upside**, which means a reversal is not confirmed.
- Without a breakout above **EMA 9 and EMA 21**, any bounce should still be considered **corrective**.
---
✅ **Strategic View:**
- This zone may be appropriate for **initial DCA entries**, but should be approached with **risk-managed scaling**.
- Key confirmation would be a **bullish RSI crossover above its average**, followed by **EMA 9 crossing EMA 21**.
---
💬 Drop your thoughts in the comments – are we seeing early accumulation or just another trap in a downtrend?
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.
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.