QTUM/DOLLAR 2H DARVA BOX STRATEGYStep #1: Identify at least two Darvas boxes that are on top of each other
The first trading rule is to let the market develop at least two Darvas Boxes. Basically, the two Darvas boxes are showing that the market is starting to move in steps to the downside. So at this point, the market also should be making lower highs followed by lower lows, which is the basic definition of an downtrend.
In the real world, you’ll notice that the Darvas boxes don’t perfectly stack on top of each other. You’ll rarely find a series of Darvas boxes where the following box has the bottom perfectly aligned with the top/bottom of the previous box.
You will notice that the price range of the second Darvas box can move into the space of the first Darvas box which still qualify for a valid Darvas box.
Note* Big candle wicks are ignored when drawing the Darvas box. Use the closing price instead.
Step #2: Draw a support line in the middle of the first Darvas box
We’ve noted that there is no such thing as perfection when dealing with the price action. And since the Darvas boxes tend to overlap, another characteristic is that in most of the cases the top/bottom of the current box won’t exceed the middle of the previous Darvas box.
In this case, we can anticipate that the third Darvas box will develop its top around the middle or bottom of the second Darvas box.
Step #3: How to sell QTUM: Sell when we test the middle or bottom of the 2nd Darvas Box
We want to buy low and sell high because that’s the rule number one to make consistent profits.
We sell QTUM as soon as the middle or bottom of the 2nd Darvas box is tested this will ensure that we sell on a retracement in an already proven downtrend.
Step #4: Place your protective Stop Loss above resistance level in the second Darvas Box
Our improved cryptocurrency sell strategy comes with the advantage of providing us with a very tight stop loss. We can hide our protective stop loss within or above the second Darvas box.
A break above the second Darvas box will invalidate the whole price structure and it’s wise to get out of the trade as soon as possible.
Two things can measure the success of a trading strategy.
First, how tight the stop loss is and secondly the stop loss placement needs to be logical not just a random price coming out from over-optimization.
Step #5: Take profit needs to be 2 or 3 times more than your stop loss
Opening a trade is just the beginning; you also need an exit strategy to maximize your profits. It’s often said that it’s more important where you take profits than your entry strategy
The professional traders place more weight and attention on the exit strategy because that’s how they make money. Probably, this is one of the oldest trading secrets that smart money doesn’t want you to know.
Note** the above was an example of a SELL trade using the Free QTUM cryptocurrency strategy. Use the same rules for a BUY trade – but in reverse.
2h
EOSIOEOS/USD show us good short-call to the 6$. Two similar pennants with calculations in Fibonacci lvls.
MONERO: second wave XMR/USD
Be careful, see at zone of 250$. First must hit 260$.
Target
300$ (~20% profit from now)
AUDCAD : BUYTRADE PARAMETERS
Pick Date : 03/21/18
Entry : 0.9980
Stop : 0.9960
Target : 0.0180
TRADE STRATEGY
Income Type : Swing
ENTRY
0.9980 is a newly formed 2H demand zone on zone. Will be doing a set and forget limit order. Price will need to have a strong move into the zone.
STOP
0.9960 is 20PIPs right outside of the low for some protection
TARGET
0.0180 is the same weekly supply zone.
A 4H supply zone was formed, will be hard to break the first test.
NOTES
A second re-entry is possible maybe more probable too lower.
Entry : 0.9950
Stop : 0.9930
Target : 0.0180
B I T C O I N : new form of the strong patternBTCUSD (2hr)
The formation of the double top, and thus we form a falling wedge
Now expect falling in the wedge to the 77.60-88.60 lvls Fibonacci - 7-6500
BTC/DOLLAR 2H ChartAs we know, BTC is still in a downtrend. Within this downtrend we see a uptrend channel, bitcoin moved up slowly the past two weeks. In my opinion it has to retrace to build some momentum. The yellow ellipse would be a perfect support line. This is around 9700/10000 dollar. If this support line holds it will consolidate around that price. If it breaks downwards next support lines are 8300/8600 and 7800/8000.
Keep an eye on the next couple of days, BTC could hit a double bottom at 6000 or even lower.
This is not financial advice. If you have any feedback or remarks, feel free to leave a comment.
EURUSD 30m Triangle BreakoutTriangle pattern on 4h - 2h - 30m
Watch for a 30m candle closed below bottom trendline
TP will be 4H 100 sma
XRPUSD 2H "W" LONG PATTERNPair failed to make lower low
Possible retrace back to 61.8 % fib and 78.6% fib
Entry shown
Take Profits shown
Zclassic ZCL/USD
Zclassic
Now we are in the flat zone and descending channel the downtrend is leading to strong and risky 78.60% Fibo. There we can buy, make order - my advice.
Soon we come closer to the resistance line and go to the second(for now) strong lvl 38.20%. There we can TP.
USD/CHF - 2H SetupPrice reversed from a daily descending trend line that lined up with a 2H resistance zone, and it broke out of a rising channel.
Will be looking to sell on a break out of the flag pattern.
BTC up up up?It looks like BTC is deaf and blind; it is not paying attention to what is going on out there, nothing about China, North Korea, USA...well, this is its first test when geopolitical issues are not in good shape...IMO
BTCUSD Pattern play Interesting to see the same pattern play out twice, I see BTC following the Gann levels higher. A break of the next level will open up 3000 - 3300, looks short term Bearish under 2500
USDCAD Head and Shoulders Pattern ShortPrice has formed a head and shoulders pattern.
Price broke the neckline
Waiting for retest on lower time frames (2H & 4H) to enter short.
