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Fractal

YOU ONLY NEED 3 TIMEFRAME TO BE PROFITABLE !!!most of the time people on the internet bombard us with so many information when it comes to trading. like use this use that you have to use 5 or 6 timeframes, but in fact using this much could make you even more confused . so in this post I will share the easiest way for you you can to capitalize on timeframe analysis. THE HIGHER TIMEFRAME - for bias which tells us in what way the price is going. ( up, down, range) THE MIDDLE TIMEFRAME - to identify our zone for example if your trading system uses FVG you can locate your zone their. i personally use supply and demand so at this time i zone out my i will draw my supply or demand. THE LOW TIMEFRAME - in this stage use it for entry confirmation. this multi timeframe analysis can work on every time which means you can scalp , day trade or swing trade . for example you can use 1 HOUR FOR BIAS 15 MIN ZONE IDENTIFICATION 5 CONFIRMATION thanks for taking your time and read this post. tell us your thought in the comment.
Education
by ammarzmind
Ultimate guide on Williams Fractals in crypto tradingIn today’s article we will reveal one of the most powerful tools in cryptocurrency trading which often ignored even by top crypto traders. We are talking about fractals. Best crypto traders just use fractal levels to find support and resistance and trade bounces and breakouts. Spoiler - the fractal breakout is a right way to use it, but support and resistances aren’t. A lot of people are using fractals even for their algorithmic trading bots. We remember when encoding our first automated crypto trading bot the fractals were used for support and resistance detection. It’s not surprise that it was not one of the profitable crypto trading strategies. Now we researched a different ways to use fractals and assume that we have the great expertise in it to share our knowledge with you. It’s not a top secret that even Skyrex ai trading bot is using fractals in detecting potential trading opportunities. Please, read this article carefully and you will know build your own cryptocurrency trading strategy or even apply it to automated cryptocurrency trading. Let’s go! Initiating fractal First of all let’s understand what is the fractal and how it looks like. Fractal is not just a sequence of candles like it can seems on the first look. This is the change in behavior of traders on the market. When you see the fractal on the chart, this is the turning point where a lot of traders were too worried that current trend can be stopped here. Technically fractal is very simple. If we talk about upfractal it’s just a consequence of bars where the central bar have the highest high than two preceding and two following bars. On the chart below you can see different fractal’s shapes. Don’t worry about it that much because on the TradingView you can find an indicator which find all fractals. Even if you build automated trading bots you can just copy the code of this indicator. How to trade using fractal Let’s go to the most interesting part of an article. How to execute trades using fractal? You will be surprised but it’s super easy. Let’s take a look at the picture and try to understand the concept of fractal start, signal and stop. Fractal start is the fractal which precedes the another one fractal in the opposite direction Fractal signal is the fractal which follows the fractal in the opposite direction Now when we have this two fractal combination we can place our sell stop one tick below the fractal signal and go short if market reach this level. Now it’s time to place the stop loss. When your trade is open you shall chose the highest fractal from the last two and place stop loss order one tick above. Here you can have two cases A and B. Look carefully and try to find these formations on the real charts. Conclusion Next time we will look inside the fractal and try to understand how to trade during sideways. I think today you could understand that fractal trading is good in trend markets, but it’s not profitable during sideways. Price will hit your order every time and hit stop loss many times before the true trend move. For sure fractal breakout trade guarantees that you will not miss the big trend move, but you will have multiple losing trades in the range bounded market. Next time we will discuss how to avoid it.
Education
by Skyrexio
The ultimate guide on Elliott waves in crypto tradingMost of you have probably heard about Elliott waves and we are sure that you don’t use it in cryptocurrency trading strategy because it’s very complicated and subjective approach. Crypto trading for beginners is very challenging and stressful even without Elliott waves. To be honest when we first time tried to implement it to my crypto trading strategies it was a complete disappointment. We were sure that it does not suit for both trading bot and manual trades. Elliott waves were thrown into a garbage bin for almost two years and we developed our crypto trading algorithm using only linear programming approaches. While we have been trying to invent the best automated trading bot using only indicators and support and resistance levels, best crypto traders have been successfully using Elliott waves in their analysis. Finally we make a decision to have a deep dive in this popular crypto trading tool and studied in details all available literature. As a result we found that Elliott waves will ruin your trading if you use it without special indicators for confirmation. Now we have 2 years of experience in trading with waves and almost one year ago we implemented them into our algorithmic trading bot. Today we prepared the best ultimate guide ever on Elliott waves using best practices and our unique experience how to use them in developing your own profitable crypto trading strategies. Let’s go! Why it’s vital to use Elliott waves? Before answer this question, let me ask another one! Why is important to use map to reach the final destination? I think here is the obvious answer! Talking about Elliott waves it’s almost the same reason. This is the only one approach which gives you a map for a price chart. I think you agree that technical indicators or support and resistance levels will not give you the answer which direction the price will choose. When you have, for example Stochastic Oscillator crossover or RSI oversold area hit you just open long because this is the most common strategy. You buy asset like a blind kitten. We are not criticize this approach, because using proper risk and money management you will earn with almost every strategy, but understanding the Elliott waves concept will dramatically increase your profit even if you combine them with your ordinary strategy. Why it’s happening? The answer is easy, because Elliott waves in the underlying structure of the market. You will be aware when you shall use your signals and when it’s better to skip trade. Now let’s dive into the Elliott waves to understand how to find them on the price chart. In the first part we will give you all needed theory and after that we will show in the real charts how it works. Elliott waves In general, Elliott waves concept is pretty easy. All markets are globally moving up with the five waves formations and then show the pullback with at the reactive waves. On the Bitcoin price chart above you can see the most common picture for Elliott waves. We had the bull run which consists of five waves and then was the bear market represented with the ABC correction. Waves can be divided into two groups: impulsive and reactive. On the bullish phase waves 1, 3 and 5 are impulsive, 2 and 4 reactive. Impulsive waves consists also with five sub waves, while reactive have usually three waves (exception the triangle correction, will be covered later). On the bearish phase we have the opposite situation: waves A and C are impulsive, while wave B is reactive. Now let’s discuss each wave in details. What will stop every wave in 90% of cases? Before we will observe the wave it’s very important to understand what are the early signs that current wave is about to be finished. This is really crucial concept because without it almost impossible to use Elliott waves for profitable trading. We need four tools to make sure that our counting is correct. In this article we will not spend to much time for these indicators, we just show you in practice how to use them. These tools are: Awesome Oscillator, Market Facilitation Index (MFI), Fibonacci retracement and extension and Fractals. These four indicators produce five wave’s end conditions. Divergence with Awesome Oscillator. If you found five sub waves inside any wave and you can see that price set the higher high (or lower low for bearish case), while AO set lower high (or higher low) it’s divergence between wave 3 and 5. This is the most powerful signal that trend is over. Fractal at the top or bottom. When you see the divergence it’s just the first sign of trend weakness, we need confirmation with the fractal forming at the top or bottom. You can easily find this indicator in TradingView, it will show you all fractals. MFI squat bar. We will cover MFI in one of the next educational articles, now you just need to know that it has squat state - the last battle between bulls and bears. One of the three top bars will be the squat in 80% of waves end. You can also find this indicator in TradingView. AO momentum change. Another one confirmation that trend is over is when AO histogram changes color. It’s better to wait three consecutive columns of the other color or when AO will cross back the signal line, 5 period MA of the AO. Target area. Using Fibonacci extension and retracement we can find the area where the reversal is the most likely. We will show you this targets when talking about waves. Now you know the five basic rules and we are ready to discuss every wave using this concept. Wave 1 When the previous trend is over the impulsive wave 1 begins. We can define the wave 1 start only establishing the previous wave end. It could be wave 5, C or E. It does not matter. You just need to apply our five rules: divergence, momentum change, target area, squat bar and fractal. On the chart you can see how in theory wave 1 can be looks like. Wave 1 always consists of five waves. That’s why we can wait for the same five rules to complete between wave 3 and 5 inside the wave 1. When you anticipate the wave 1 finish you have two options: close trade and re-enter at the wave 2 bottom or hold for the entire cycle. Wave 2 When wave 1 ends, you will see pull back in wave 2. It’s important to catch wave 2 bottom because wave 3 will bring you a lot of profit. Wave 2 can be classical ABC zigzag, flat or irregular correction. 70% probability it will be ended inside 0.38 and 0.62 Fibonacci retracement range of wave 1, in rare cases it can ends higher or lower. That’s why it’s better t count waves inside wave 2 and do not miss when all five trend killing conditions are met in wave C inside 2. Wave 3 The most impulsive wave in the entire cycle is obligatory for trading. Here you can have the less risky and the most easy trading. Wave 3 has the great fundamental factors as a price drivers. For example, Bitcoin spot ETF triggered a huge pump recently. Let’s imagine you correctly entered at the wave 2 end. Now we have to define wave 3 targets. The target area using fibonacci extension can be found between 1 and 1.61. This is the most likely case. In crypto it’s very often when waves 3 are extended. To have the most precise target it’s highly recommended to count waves inside wave 3. Found five waves? Check our favorite trend killing rules to exit a trade at the top. We know it sounds fantastic, but we managed to buy the exact bottom and sell at the top many times, but to be honest, we have never caught the top of the extended wave 3. Need more experience for that. Wave 4 Wave 4 can be the most complicated because it has a lot of different variants: zigzag, flat, irregular or even triangle. But at the same time in wave 4 we can have the easiest setup. When you predicted wave 3 top, it’s time to setup the target for the wave 4. The most reliable one is between 0.38 and 0.5. This wave is not so rapid as wave 2 and takes much more time (up to 70% of all cycle). The very important tip here is to look at the price where wave 4 inside wave 3 has been ended. If this level coincides with the 0.38-0.5 zone it can give you much more confidence. We have never made a mistake using this technique. As usual you have to look for the five trend killing rules in wave C inside wave 4 as well. Another one thing we want to point out. You know the axiom, that wave 4 has not overlap wave 1 top. This rule can be slightly violated and we will show you the case. Don’t pay attention that much to this rule. Wave 5 Finally we are in wave 5. This is really vital to define it’s top because bear market will follow this wave and can destroy your deposits. The target area for the wave 5 is defined as the distance between wave 1 bottom and wave 3 top, measured from wave 4 bottom. Area between 0.61 of this distance and 1 Fibonacci level is our target. There you have to find trend killing rules as usual but this time for all cycle, not subwaves. Corrections The most dangerous place for trading is the correction. From our experience only wave C in zigzag is tradable. You would better to skip corrections and try to catch it’s end. We have four types of corrections, but the most important knowledges is that wave C and E are always consists of five waves. It means you can use the rules how to catch wave 5 end inside these waves. Zigzag ABC. If wave A consists of 5 waves the most like we will see zigzag. Wait when wave B reach 0.5-0.61 Fibonacci of wave A and be ready to trade in wave C. Flat. Wave A has 5 waves inside. Waves A, B and C are almost equal to each other. Irregular. Wave B top is higher that the previous impulsive wave. Wave A consists of 3 waves. Triangle. Consists of A, B, C, D and E waves. Wave E consists of five waves. Usually occurs inside waves 4 and B of higher degree. Now you have a theoretical description. It’s time to trade!
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Education
by Skyrexio
19
Trend Trading Strategy for the Heiken Ashi Algo v6Knowing when the RSI and price are in a ranging phase even in the short term can be a difficult process. You are either #Ranging #bullish or #bearish. At least in the Algo v6 you can get a clear vision of exactly whats happening. In this video im going to give you a VERY simple strategy on: 1. How to know if the RSI and price are ranging 2. When do i break away from Ranges 3. Am I trending 4. Im trending but whats my confluence to take a long or short 5. Is my range getting bigger or smaller Enjoy this quick vid and ask questions below. Thanks everyone.
Education
by CoffeeshopCrypto
4
Bitcoin - Probabilistic MapSince traders are literally made of particles, it's vital to know the principles of their behavior in micro scale. Some people even use planetary cycles to implement into charting. But I believe the answer is deep in quantum world of probabilities - the fabric of reality itself. Reference to Quantum Mechanics The universe itself prohibits 100% prediction accuracy. This is called Heisenberg Uncertainty Principle, and it's the fundamental building blocks of Quantum Mechanics. In order to predict particles behavior, all you need are just 2 quantities/data/features: 1) Position of the particle 2) Momentum of the particles. If you know it's position and it's momentum, you can easily predict it's trajectory. So if you have position and momentum data of all particles in the universe, and you have unlimited computational power, you can predict their behavior (interaction, movement, etc.), and basically predict the future (stock market, weather, natural disaster, etc). However, the Heisenberg Uncertainty Principle states that it is impossible to collect information of particles's position and momentum with 100% certainty. The more certain you know about particle's position, the less certain it's momentum" and vice versa. So if somehow with the unlimited computational power you can predict particle's position at time with 100% accuracy, then your prediction error for its velocity will be infinity, which prevent you for making accurate further predictions, rendering your model useless. Hence, it's theoretically impossible to make 100% accurate prediction even with unlimited data and unlimited computational power. So Is The Universe deterministic or probabilistic? 100% prediction accuracy also means the universe is deterministic - there's only one possible outcome of the future. Einstein was on this side, citing "God doesn't play with dice". On the other hand, folks like Heisenberg, Max Born, Schrodinger, Oppenheimer, etc.., the founding fathers of Quantum Mechanics, viewed the future as set of possible outcomes each having it's own probability. Since market couldn't care less about anyone's subjective forecasts, I do predictions solely based on historic price dynamics in macro scale to stay objective and true with the market pulse rather than be bared with my endless interpretations of patterns. I don't need my consciousness to interpret because we already have a data derived from collective consciousnesses to work with. Chart is already a reflection of reality that captures the emotions of participants. In other words, it's a time fractal that exposes the essence of the market across timeframes. In turn the market itself is a function of trading time . These basis justify linking systematic fragments of cycles to work out the capacity of price action. Basically in Fractal Analysis, the question is how can direct metrics of the historic waves geometrically explain current and future price levels. The Fibonacci sequence is a mathematical concept that appears in various aspects of nature. This connection between mathematics and the natural world is a fascinating example of how patterns and structures found in abstract concepts like numbers can manifest in physical reality . Particularly, using Golden Ratio as a key rule that governs order in chaos. In TradingView, the "Fibonacci Channels" is a great tool to capture the waves (domestic certainty) and turn them into a probabilistic interconnected structure that captures the uncertainty of the market - the entanglement of price action. To start with it's vital to use log scale where percentages are equally captured in distances. So a 100% a growth, say a vertical distance from $40 to $80 measures the same distance as from $1000 to $2000. Besides, percentages are what drives people to feel emotions which affect market behavior (collective executions). Finding geometric relationship between waves, the use of log scale is a must. As I've done this before I want to show how market deviates near fibs. A Direction of 2013 HIGH ⇨ 2017 HIGH with bottom of 2011 gives next bottom 2015 at 0.618 after -86% drop. And also predicts the COVID bottom in 2019 after -72% drop as well as current level where price has cooled down locally. We can note that previous ATHs are explained with logarithmic curve. That's why we'd need another fib channel to connect 2017 HIGH ⇨ 2021 HIGH direction with previous bottom of -86% drop in 2015. FC of that direction predicts bottoms of 2018 (-84%) and covid 2019 (-72%) at 0.618 again. Together they produce an interference pattern covers significant historic price changes. To further interpret current levels though the chart itself, we can use line with angle of direction connecting 2021 double tops: This shows the capacity of how high the market might still grow before next significant correction, if the local fib to the price hasn't yet dimmed the bullish incentive. Another straight line can be used to connect 2019 COVID LOW (-72%) with 2022 LOW, because we might probably never see such price levels in the nearest future as price has broken out with high rate of change. Now it needs more time and bearish capacity to go there. This line can indicate the bottom of hypothetical correction, if it happens now. Other than that it's a clear trendline with almost 4Y wavelength. Since straight lines doesn't exist in nature, I didn't extend them to the right. Now we need a more adaptive version of it to connect recent local bottoms of the trend. That would be a logarithmic trendline, in other words curves to mimic the function of exponential growth. Therefore falling below it, might indicate a possibility of correction and even reversal. Each day if it fails to grow with the curve, the bears will get depleted. A cross below the logarithmic curve of spreading information would be a confirmation of new bearish incentive. This is simply done to work out boundaries as limits of the function that explains the market. Corrective wave has a timing of 15 days in respect to its domestic volatility properties, before it becomes bearish impulsive or continues the impulsive bullish wave. Curves as a function of trading time explain pretty much all historic bullrun growths. As if there is some kind of gravity that governs the trend or it's the PriceTime that curves with the emerging trend. Individual cycles can be too curved accordingly. So the more the price fails to break out that function, the more predictive curve becomes.
BITSTAMP:BTCUSDEducation
by fract
3
ICT Unicorn Model - The powerful ModelThe Unicorn entry model in the ICT method combines the concepts of the Breaker Block and the Fair Value Gap, providing a unique approach to identifying trade opportunities. This combination highlights a future area of support/resistance. A Bullish Unicorn Pattern consists out of: A Lower Low (LL), followed by a Higher High (HH) A Fair Value Gap (FVG), overlapping the established Breaker Block A successful re-test of the FVG which confirms the pattern. A Bearish Unicorn Pattern consists of: A Higher High (HH), followed by a Lower Low (LL) A Fair Value Gap (FVG), overlapping the established Breaker Block A successful re-test of the FVG which confirms the pattern In this trading idea, I would combine the movement of DXY and GU/EU to explain the correlation and divergence (ICT SMT). Futhermore, I want to share how powerful the ICT Unicorn Entry Model is.
TVC:DXYEducation
by MrTuanDoan
ICT Kill Zones Time Asia London New YorkIn the fast-paced world of forex trading, timing is everything. While the forex market operates 24 hours a day, not all hours offer the same trading opportunities. That’s where ICT Kill Zones Times come into play. Forex kill zones are the time when high probability trading setup formed These strategic time frames can open up a world of possibilities for traders who know how to leverage them. In this post, we’ll explore the concept of ICT Kill Zones ‘ times and how they can lead to high-probability trade setups and potential profits. The ICT Asian Kill Zone Times: The Dawn of Opportunities The Asian Kill Zone is the first of the strategic periods in the forex market. It is particularly relevant for traders dealing with the Australian dollar, New Zealand dollar, and Japanese yen pairs, as these markets are most active during this time. What makes the Asian Kill Zone special is its volatility, driven by economic news releases that occur during this session. Traders who keep an eye on these news releases and their impact on the market can make the most of this period. Main Characteristics of Asian Kill Zone -During the Asian Kill Zone, traders can often find optimal trade entry patterns, offering potential gains of 15 to 20 pips for scalp trades. -NZD, and JPY pairs are ideal for this time of the day. -The Asian Open can sometimes set up an Optimal Trade Entry Pattern that can offer a 15 – 20 pip scalp. -The Higher frame bias is helpful here – but short-term retracements in either Bull or Bear -Markets can offer similar OTE Setups. Asian Kill Zone Time ICT Asian Kill Zone Times lies in between 8:00 PM Eastern to10:00 PM Eastern ICT London Kill Zone Time The ICT London Kill Zone takes center stage during the London trading session, witnessing the highest volume of order execution compared to other sessions. It is an opportune time for those trading the EUR and GBP pairs. Notably, the London Open often presents opportunities for traders to enter positions with the potential for gains ranging from 25 to 50 pips. Main Characteristics of London Kill Zone One of the distinctive characteristics of the London Kill Zone is its tendency to create the low of the day in bullish markets and the high of the day in bearish markets. Time of ICT London Kill Zone London Kill Zone of ICT lies between 2:00 AM to 5:00 AM Eastern Time Traders should monitor the key times between 2:00 AM to 5:00 AM New York time to capitalize on the price action during the London session. The New York Kill Zone Time: The Land of Opportunities For traders dealing with major pairs coupled with the dollar index, the New York Kill Zone is an essential timeframe to watch. Similar to other Kill Zones, this period often sets up optimal trade entry patterns, providing potential gains of 20 to 30 pips for scalp trades. Time of New York Kill Zone The New York Kill Zone occurs between 8:00 AM to 11:00 AM Eastern Time. This time is favorable for major pairs and benefits from the overlap with the London session, making it a golden opportunity for traders. New York Kill Zone lies between 8:00 AM to 1:00 AM Eastern Time The London Close Kill Zone: The Final Countdown The London Close Kill Zone is a specific time frame that can create continuation points for swings that extend well into New York afternoon hours. It’s the last chance for traders to make their moves before the market closes for the day, making accurate predictions during this period potentially profitable. Between approximately 8:00 AM to 9:00 AM Eastern Time (adjusted for daylight savings) , traders can find optimal trade entry patterns, offering opportunities for 10 to 20 pips of profit on scalp trades. Monitoring the key times from 10:00 AM to Noon NY time can yield valuable insights during the London Close Kill Zone. ICT Kill Zone on During Daylight Saving Time (DST) Now, let’s talk about Daylight Saving Time (DST), which starts on the second Sunday in March and ends on the first Sunday in November. During this period, Eastern Time is shifted one hour ahead to Eastern Daylight Time (EDT), which is UTC-4. For example, let’s consider April 10th, and the time is 11:30 AM in Eastern Time (ET) during Daylight Saving Time. To convert this to Coordinated Universal Time (UTC), you add 4 hours to the local time: 11:30 AM ET (UTC-4) + 4 hours = 3:30 PM UTC During Daylight Saving Time, the clocks are adjusted forward by one hour, giving us an extra hour of daylight in the evenings. When Daylight Saving Time ends, we set the clocks back by one hour to return to Eastern Standard Time. ICT Kill Zone Setting on Trading View On the TradingView chart, you’ll find the time zone option at the bottom right corner. To set the correct time zone, click on it, and choose “UTC-5” during regular days (Standard Time) and “UTC-4” during daylight saving time, which typically occurs from the second Sunday in March to the first Sunday in November. ICT Kill Zones Indicator Trading view & MT4 A number of indicator are available on the trading view that automatically highlights the ICT kill zones on your chart. ICT Kill Zone LuxAlgo is one of the best indicators available on trading view. To Add ICT Kill Zone indicator you adopt the following steps: Step1:Click on the indicator icon on top of the trading view Step2 write LuxAlgo ICT Kill Zone Understanding and effectively utilizing ICT Kill Zones can significantly enhance a trader’s success in the forex market. Each Kill Zone represents a unique opportunity with its own set of potential gains.
Education
by Golden_Star1994
Wyckoff simplified + entries & exitsI'm going to explain Wyckoff to you in a simplified manner and show you how you can use it for entries & exits. What is Wyckoff? Large market orders by huge entities come in gradually. If the market only consisted of buying and selling, it would be too easy to make money as it would be too predictable. So instead, orders are injected into the market via an accumulation process (i.e. Wyckoff schematic) Basically, the big players of the market try to take out the retail traders’ stoplosses by injecting orders into the market (to move price toward the stoplosses and hit them). They inject these orders gradually (to avoid being predictable and to trick the retail traders). Basic Wyckoff schematic This is a bearish Wyckoff schematic: Let’s break this down. BC - This stands for Buying Climax. The Buying Climax marks the end of buying and is confirmed by an Automatic Rally. AR - This stands for Automatic Rally. This is when price goes in the opposite direction of the climax. In this case, the AR was to the downside. This confirms that it is the end of buying because it shoots straight down (indicating strong selling pressure). This confirms the Buying Climax by going into the Discount level (bottom 25%) and by being bigger than all the other downward pullbacks which happened before. Test - Price goes close to the Climax point and re-tests it. Then, traders take sells because they think that because of the AR, price would go down. The traders think that price went up for the last time and will finally go down. Because of their sell orders, price falls a little. Purge - The big players try to take out the traders’ sell orders by moving price up to the Climax point. They push price a little higher than the Climax point to take out all the stoplosses. RTO - This stands for Return to Origin. Because of the purge, traders think that price broke structure to the upside. So, they buy which makes price form the RTO. They’re trying to make price revisit the Climax point. Then, price moves lower and they get stopped out again. SOW - This stands for Sign of Weakness. When structure breaks to the downside after the RTO, this shows that selling pressure is coming in. LPS - Last Point of Support. This is the consolidation which must happen before price breaks out of the consolidation to convince you that price is bearish and no longer bullish. Here is how a bullish Wyckoff structure looks like: Let me explain this once more so that you understand it. The main trend was a down trend on the left side of the chart. Then, price had a strong bull move up (the AR) which means that there were buy trades (i.e. Automatic Rally). That confirms that there was a Selling Climax (i.e. SC) and that it’s the end of selling (because if it wasn't the end of selling, the AR wouldn't go so high) After that, price came down to re-test the Selling Climax zone (which is called the Test). Then, traders took a buy because they thought that because of the AR, price would be going up. Then the big players pushed price down a little lower than the Selling Climax to hit the buy orders' stoplosses which forms the Purge. After that, because the Purge happened, it made traders think that price broke structure to the downside which led them to sell. Then, price went down because of those sell orders (forming the RTO) and rejected from the Selling Climax (price went up). Price rejected from that level because there were buy orders from the big players which made price go up. Since price went up, those sell trades got taken out. Because price went up, it formed an SOS (i.e. Sign of Strength). It means that the selling pressure had weakened, and the buying pressure had strengthened. Finally, price formed a consolidation (i.e. LPS) which tricked traders again into thinking that price will go down. The traders sold and the big players pushed prices up to hit their stoplosses one last time. This is a basic Wyckoff pattern in a nutshell. You’ll be more likely to predict the Wyckoff pattern in its later stages when some parts of it have formed. The earlier it is, the riskier it’ll be. Advanced Wyckoff schematic Let’s talk about the 2nd variation of the Wyckoff pattern. This is the same as the basic Wyckoff schematic except that the Test will go beyond the BC/SC. It will look like a purge, but it won’t be. It will be a fake purge. Then, after the Test, the actual Purge will happen. This is to trick most of the Smart Money Concept traders into thinking that the purge has already happened and that price will form an RTO and go lower (in case of a bearish schematic). The traders will then sell. The big players will then push price up to break the Test and form the actual Purge. All the traders will get wiped out because price has hit their stoplosses. In case of a bullish schematic, the traders will think that the purge has already happened and that price will form an RTO and go higher. They’ll buy. The big players will then push price down to form the actual Purge and take out the buy orders. Here is how it looks like: Structures Before I explain how you can use this to trade, let’s first understand market structures. There are 2 types of market structures which I’ll be talking about: Support & Resistance and Supply & Demand. There’s also 1 more thing to understand: ranges. A range is the area between the latest swing high and swing low. 👉 Supply & Demand Structure This is when price forms a new range by forming a new high or a new low. Then, it comes back into the old range. When price comes back into the range, it finds more buy orders to push it up again. When price comes back into the range, it finds more sell orders to push it down again. 👉 Support & Resistance Structure This is the same thing as the Supply and Demand structure except that price will not come back into the range but instead bounce off of the highs/lows. Let’s see how we can use structures with Wyckoff to take entries and exits. We’re first going to use the Supply & Demand structure. Then, we’ll see how we can use the Support & Resistance structure. Supply & Demand Entry We’re going to take entries using the Supply & Demand structure. This strategy uses 2 timeframes to take entries (Macro & Micro). We’re going to look at a buy example. For a sell, simply use the opposite logic. The main idea is to trade with the trend. So, first go to a higher timeframe and find a Supply & Demand structure. Then, look for when price forms a new low/high. We can see that, in this case, price formed the first lower low. Now, we know that because this is a Supply & Demand structure, price will go back up into the range. So, to take advantage of this up move, we can take a buy. We first have to know where to buy. So, go down to a lower timeframe. Then, look for a bullish Wyckoff schematic. Look for the Selling Climax (i.e. SC). This means that it is the end of the downtrend. Then, wait for price to form the AR, Test, Purge and RTO. You can buy when the RTO or LPS happens. You can exit when you see a bearish schematic. This bearish schematic has to reach the Premium level. First, find the Premium level by going back to the higher timeframe and taking the upper 25% of the down leg. Then wait for price to form a bearish schematic and reach that premium level. The Premium level will be reached when price forms a Purge (during a bearish schematic). We can see (in the picture below) that during the bearish schematic, price did Purge and break into the Premium level. Exit your buy here. There’s also another way you can take a trade (look at the picture below). You can sell during the bearish schematic. Sell when you see the RTO or LPS (during the bearish schematic). You can exit at the Purge of the next bullish schematic. It is more preferable to sell than to buy, in this case, because the larger trend on the higher timeframe is a bearish Supply & Demand structure. So, price is going down on the larger trend. When you trade with the trend, the probability of your trade giving profits is higher. This was in case of a sell. If the larger trend was bullish, a buy would’ve been taken at the RTO or LPS of a bullish schematic. Then it can be exited at the Purge of the next bearish schematic. Support & Resistance Entry To trade a Support & Resistance structure, we do the exact same things we did for the Supply and Demand structure. The only difference is that instead of looking for a Purge near the upper 25%/bottom 25%, look for it where price will react (near the red line). After you’ve found it, you can enter your trade when the RTO, SOW or LPS comes. This is in case of a buy. For a sell, use the opposite logic. Like I’ve said before, you can also take a sell to trade with the trend on the higher timeframe. You can sell during the bearish schematic. Sell when you see the RTO or LPS (during the bearish schematic). You can exit at the Purge of the next bullish schematic. If the larger trend was bullish, a buy would’ve been taken at the RTO or LPS of a bullish schematic. Then it can be exited at the Purge of the next bearish schematic. I hope you found this useful!
Education
by SamaaraDas
SP500 Entanglement of Price Action IIThe price touched the line with specific angle that covers ATH and (current) Lower High. I consider it as a point of reference because current observable price can be explained with that vector. The line separates 2 outcomes: Continuation of the uptrend Rejection Significant reversals that caused the structure to look the way it looks are: "ATH" 4 JAN'22 13 OCT'22 Lowest (> 2 years) 27 JUL'23 Lower High Those dates initiated longer term movements, hence defining the entanglement. The angle of general direction can be defined by the Fibonacci Channels of macro-fractal which emerged from Covid Low: It kinda exposes their domestic "spin to the side". Another example: Since the angle of -27.47% drop (ATH and Lowest >2yrs) are more perpendicular to the direction of time scale, the derived fibonacci would define periods of waves. Matches angle of -10.93% drop from 27 JUL'23 to 0.382 fib of the domestic structure. But, since after such drop, it didn't fall further but in reverse grew back, it must be defined with upward direction vector, the fibs of which would cover that low with cold colors. The fact of growing at higher levels after just 10% drop, deserve to get filtered with upward fibs. In respect to 31% growth the current price resides at 0.618. Further interconnectedness of points: 1.236 fib confirms that price is indeed at crossroad and in case of violating it, the price would set its tendency to move to next (1.382) fib line and reverse there under heavier pressure. Currently price is still under pressure because the market has grown to levels of domestic resistance. The curve shows mathematical function that mimics highs before reversing. Hence, it can be used to refer deviation where the price can end up after escaping ATH-LH-Current_Price vector. Otherwise, with failing to breakout now, it might go for correction in short-term perspective as soon as players notice that market is at already saturated levels.
AMEX:SPYEducation
by fract
INTRODUCTION TO TOP-DOWN ANALYSIS Top-down analysis is a comprehensive strategy that begins with a broad picture of the market and progressively focuses in on details. It incorporates a number of time frames, economic indicators, and analytical tools to give traders a comprehensive grasp of the market environment. In my few years of trading the financial markets, I have found that trading is one of the most inclusive career of all. When I say inclusive, I am not talking about it's absorption in terms of gender or race. I am talking about the strategies traders use. The strategies I have seen in my life, both profitable and unprofitable, are so many that I almost drowned because I wanted to learn every single one of them. Now let's dive deeper and get an understanding of what top down analysis encompasses. 1. Weekly and Monthly chart (Long term analysis) The weekly and monthly charts, which offer a macro view of the market, are at the top of the analysis pyramid. Significant price patterns, important support and resistance levels, and big trends are all easier to spot on these longer time frames for traders. 2. Daily and 4 hr chart (Medium term analysis) As you proceed down the pyramid, traders examine daily and 4-hour charts in greater detail to learn more about the intermediate-term dynamics of the market. Here, you can spot possible patterns like trend line breaks or head and shoulders formations that could indicate a reversal or continuation. 3. 1 hr to 5 min chart ( Short term analysis) The last level of top-down analysis looks at charts with shorter time frames, like the one-hour and five-minute charts. Traders can determine exact entry and exit points for their trades with this fine-grained view which helps to increase the accuracy of your entries. Top-down Analysis and the fractal nature of price In the context of forex trading, the term "fractals" refers to the recurrence of similar price patterns over different time frames. This fractal nature is articulately shown by top-down analysis, which shows how patterns found on higher time frames repeat themselves on lower ones. A weekly chart showing a double top formation, for example, could also show up as a lower time frame double top on a 4-hour chart and a smaller version on a 5-minute chart. In conclusion: Top-down analysis is a great tool which reveals the fractal nature of price movements and offers an in-depth view of the market. Traders can make well-informed decisions that take into account both the short-term dynamics and the broader market trends by integrating insights from weekly to 5-minute charts. Gaining insight into how these various time frames interact improves a trader's flexibility in the face of shifting market conditions and raises the probability of profitable trades. N/B: The chart image shows a EUR/USD chart outlining High time frame and Low time frame levels that would be utilized as you branch out/narrow down. PS: The next release in this series will be out soon.
Education
by stevemut1949
SP500 Entanglement of Price ActionFibonacci interconnectedness of impulsive and corrective waves. Impulsive. Since Time is taken into account in terms of angles, the Fibonacci channels derived from multi fractals simulate phenomenon of the order in chaotic price action. More like projection of Levels of Probability like in QM, where Interference Pattern derived from waves of probability in Double Slit Experiment. Nevertheless, I would never accept that price unfolds because of the very act of measurement that assumably collapses the wave function and makes it behave accordingly. I'm implying that price formation just like fabric of reality itself is not deterministic but probabilistic. In charts, the fabric of PriceTime is continuously curved by the price action itself. That's why even after dramatic rise of volatility the price would end up at certain random levels but distinctive to domestic chaos and frequency of reversals.
AMEX:SPYEducation
by fract
1
How To Find Strongest Altcoins : TutorialNavigating the world of cryptocurrencies can be like embarking on a treasure hunt, and today, we'll discuss the art of finding robust altcoins. AVAX and INJ serve as excellent examples of how to identify strong performers. Comparing AVAX with Bitcoin: When searching for strong altcoins, it's crucial to compare their performance against the market leader, Bitcoin. A compelling example is AVAX, which, during a specific period, saw a decline of 21% while Bitcoin surged by 108%. This discrepancy highlights AVAX's relative weakness during that time. INJ's Remarkable Ascent: On the other hand, INJ paints a different picture. When we compare its performance with Bitcoin, we witness an incredible 973% increase. INJ not only kept pace with Bitcoin but outpaced it significantly. This type of performance makes INJ a prime candidate for those seeking strong altcoins. The Takeaway: When hunting for strong altcoins, it's crucial to perform relative strength assessments against Bitcoin. While Bitcoin remains the benchmark, the altcoins that can surpass it or at least keep up with its pace are often the ones to watch. Trading Strategy: Comparison is Key: Continually compare altcoins with Bitcoin and monitor their relative strength over time. Risk Management: Implement sound risk management practices, especially when dealing with the crypto market's volatility. Stay Informed: Stay updated on the fundamentals and developments related to the altcoins you're considering. Conclusion: The cryptocurrency market is a dynamic landscape filled with opportunities, and identifying strong altcoins is a skill worth honing. The performance of altcoins concerning Bitcoin can provide valuable insights into their potential. As you embark on your quest for strong altcoins, remember that the crypto world is ever-evolving. Stay informed, trade wisely, and may your search lead to success. ❗️Get my 3 crypto trading indicators for FREE! Link below🔑
INDEX:BTCUSDEducation
by AlexWhale
1
KOG - JACKSON HOLE Part 1Jackson Hole Symposium: What is the Jackson Hole Symposium? The Jackson Hole symposium (Economic Policy Symposium) is held in Jackson Hole, Wyoming USA. It is an event attended by the worlds top financial professionals including ministers, bankers and academics. It is a closed event so no press are allowed access to the meetings or talks. Instead, press conferences are held throughout the event where any comments from financial professionals usually move the markets and cause extreme volatility. This is not the usual analysis we provide. Instead, what we wanted to show you is the last 3-4yrs of market data illustrated on the charts, giving you an idea of what this event can do and cause on the markets. In this example, on Gold. So, lets start with last year, 2021. We can see the price was at a similar price point to where we are today, just slightly higher at around the 1780 level. The early sessions were quiet, however, after a retest of the low look at the aggressive move to the upside! Price started at 1780 and the move completed at 1836. 500+ pip move in a matter of days. Lets look at the top right chart, 2020. Again, look at the choppy price action, the whipsaw up and down, then the rested of the low before an aggressive move to the upside. Price started at 1904 and the move completed at 1994. 900pip movement in a matter of days. Now 2019, a slow start in the early sessions, all of a sudden, a rested on the low and then another aggressive move to the upside. Price started at 1491 and completed the move 1557. Over 500pip movement in a matter of days! What we’re trying to show you here is that its going to be a very difficult event to trade for new traders. Its going to be choppy, its going to be volatile, its going to whipsaw and its likely to move. If you’re caught the wrong side of it its going to kill your account. Best practice here is to let the market make the moves it wants to, wait for the price to settle in whatever level they want to drive it to, once this has happened then look for the setup to get in to the trade. Hope this helps. As always, trade safe. KOG
FOREXCOM:XAUUSDEducation
by KnightsofGold
32
Understanding the Learning CurveWelcome to @Vestinda new article about Learning Curve! We are delighted to share this insightful piece with our valued community on @TradingView ! At Vestinda, we believe in empowering traders with knowledge and tools to navigate the cryptocurrencies and futures trading. In this article, we will explore the concept of the learning curve and its relevance to the trading journey. Whether you are a novice trader or a seasoned professional, understanding the learning curve can be instrumental in your path to success. If you focus and invest time into a subject, you will eventually reach a level of mastery. The actual level clearly depends on the amount of invested time and to a significant extent on your inherent abilities to acquire the specific knowledge. I could probably spend a decade on quantum physics and not progress beyond the level of ‘enthusiastic beginner'. However, attaining mastery is seldom a smooth and linear journey. It is more like a curve in the mathematical sense, characterized by uneven ups and downs, reflecting the usual 'bumps in the road' that we all experience when dealing with challenging topics. There is a pattern in the process of learning something new (knowledge, skills, etc.), which was formulated by the American psychologist Albert Bandura. This pattern is depicted in the form of a graph known as the Bandura curve. The graph demonstrates the relationship between time (number of attempts), the level of human competence in what they are studying, and their expectations. If you have ever enthusiastically started a new training, holding high hopes for it, and then quietly gave up, blaming others or anything else, then you are not alone. To avoid repeating this in the future, it's important to understand how human psychology and the system work, and that each of us is part of this system. Below, we will provide recommendations on what to pay attention to. So, the Bandura curve shows the stages a person goes through when beginning to learn something new. 1. Clueless (You don't know what you don't know) When you first venture into trading cryptocurrencies and futures, you are essentially clueless about the intricacies of the market. The concepts, strategies, and tools may seem foreign and overwhelming. It's like staring at a vast landscape without a map, unsure of where to even begin. 2. Naively confident (You think you know, but still don't know what you don't know) As you begin your learning journey, you might gain some basic knowledge and techniques. This newfound understanding might lead to a sense of naively confident. You believe you have a handle on things, but in reality, there's a lot you're still unaware of, and the market can surprise you with unexpected turns. 3. Discouragingly realistic (You know what you don't know) With more experience, you come to a point of realization that there is much more to learn. The challenges and complexities of trading become evident, and you may face setbacks that test your resolve. It can be a discouraging phase as you grapple with the reality of how much you still need to learn. 4. Mastery achieved (You know it) Through persistence and a commitment to learning, you gradually achieve mastery in trading cryptocurrencies and futures. You've gained a comprehensive understanding of the market dynamics, developed effective strategies, and learned how to manage risks. You can now navigate the market with confidence and consistently make informed decisions. Remember: The learning curve in trading is a natural part of the process, and each stage brings its own valuable lessons. Don't be disheartened by challenges or setbacks; they are opportunities to grow and improve your trading skills. WHAT TO DO? ✅ Embrace the journey of learning and growth, recognizing that mastery takes time. ✅ Stay humble and open-minded, acknowledging that there is always more to learn. ✅ Be patient with yourself during the challenging phases and use them as motivation to improve. ✅ Keep refining your strategies and adapting to the ever-changing market conditions. Can you identify which stage you are currently in your cryptocurrency and futures trading journey? Remember, each stage brings you closer to becoming a proficient trader. We hope you found this article on understanding the learning curve in trading cryptocurrencies and futures helpful! If you have any thoughts, questions, or personal experiences related to the topic, we'd love to hear from you. Please share your feedback in the comments below. Your input is valuable to us and can help us create more content that resonates with your interests and needs. Thank you for being part of our community!
INDEX:ETHUSDEducation
by Vestinda
3
Market Makers Buy And Sell ModelThe market Makers' Buy and Sell Model is a strategy that reveals the market maker algorithm model for price delivery. Basically, there are 3 things market makers' algorithms do with price in every trading session, day, week, and month Those 3 things are; Accumulation, Manipulation, and Distribution. AMD: A: Accumulation M: Manipulation D: Distribution 1. Accumulation: They accumulate liquidity through the delivery of a ranging market. The purpose of delivering a ranging market is to induce both buyers and sellers to enter the market thinking that price will go in their direction. How to Identify a Ranging Market: You know price is in a ranging market when you see obvious relative equal highs and lows price range. In a ranging market, price swing points have relatively equal highs and lows, that is, the price is neither delivering a higher high nor a higher low. 2. Manipulation: After accumulating both buy and sell orders, they then manipulate the market to further induce another set of traders which are breakout traders. But, that particular manipulation move is not their intended direction for the day. They only use it to gather liquidity, Which will then lead them to the next action which is to move and distribute prices in their real direction for the day. Usually, when price breaks out of a ranging market, the break-out is a manipulation to further induce a new set of traders to enter the market, further proving liquidity for market makers' real intended direction. 3. Distribution: After manipulating the price to a particular direction different from their plan, they then distribute the price to their original intended direction. e.g to buy, they will first sell the market and then buy at the discount price level. You know a price distribution through clean candles that left imbalances behind and then break market structure away from the previous manipulation move structure high or low to form a new structure. Example of Market Makers Buy and Sell Model as described on the chart. AMD: A: Accumulation M: Manipulation D: Distribution Accumulation: Price range for some time, accumulating liquidity on both sides of long and shorts. Manipulation: Price broke the high of the accumulation to take out Buyside liquidity and then create a new higher high and higher low. But it's a manipulation move. Distribution: Price moves away from the FVG leading to a shift in market structure, plus a short pullback, follow by a massive move to the downside to take out sell-side liquidity below. Entry: Your entry should be inside the FVG created by price before the shift in market structure, you can set a limit order inside the fvg and place your stop loss at the high of the swing high created prior to the fvg and shift in market structure. The same thing applies to a bullish market. Basically, Marker makers push prices higher so they can sell the market at a premium, while they sell the market to lower prices so they can buy that market at very discount prices This strategy can be used in any time frame and all markets including forex, crypto, stocks, future etc. Follow me for more updates. Feel free to ask me any questions in the comment.
Education
by Elijahenoch7
ELLIOTT WAVE STRUCTURE BASICShere is some basic principles to discern between Corrective and Impulse. For corrective waves, it helps contextually to have a wave prior to measure the timing and retracement to. A simple way to tell the two apart is their retracements either do or do not intersect each other. A trending impulse wave will never have wave 4 enter wave 1's territory, and never surpasses 2. Otherwise the wave count is incorrect. The left-most corrective waves (ABC) are generally classed as 2nd wave structures, and the corrective waves on the right (ABCDE) are generally wave 4s. important to actually do the homework and chart the waves, and the waves within the waves. With many revisions, will notice that waves in whole are congruent within the structures within, and so forth. aka fractals.
BITSTAMP:BTCUSDEducation
by jjbuttersnaps
USDJPY Order Flow: Let The Structure Be The North StarHey traders, Once again we are letting the power of the OFA script dictate the dominant structure. Let me showcase a neat example in the USDJPY. As one can observe, the daily chart has been predominantly buyers as per the circles outline. For position buyers, it is as easy as to go long or short when the structure suggets so. For those wanting to engage in swing or scalps, then keep reading... How can you find an entry if you fall under the category of 'swing' or 'scalp' trading? By reading the market structures and the subsequent entry signals (diamonds and circles) that the OFA script fires in the lower timeframes in line with this daily chart. Remember the two key main features of the OFA indicator: Magnitude: A major clue that will help determine the health of a trend is the type of progress by the dominant side in control of the trend. We need to ask the following question: Are the new legs in the active buy-sell side campaign as identified by the script increasing or decreasing in magnitude? Velocity: When it comes to the distance the price moves, the magnitude is only ½ the equation. The other ½ has to do with the velocity of the move or the speed. Was the new leg created after a fast and impulsive move? Or did price make a new low or high with the movement being sluggish, compressive and taking too long to form? A good rule of thumb is to count the number of candles it took to achieve a new leg. DISCLAIMER: This post contains commentary published solely for educational and informational purposes. This post's content (and any content available through links in this post) and its views do not constitute financial advice or an investment or trading recommendation, and they do not account for readers' personal financial circumstances, or their investing or trading objectives, time frame, and risk tolerance. Readers should perform their own due diligence, and consult a qualified financial adviser or other investment / financial professional before entering any trade, investment or other transaction.
Education
by FlowState
The Ultimate Guide To Fractal TradingIn the seemingly chaotic world of the financial markets, a beacon of structure and predictability shines through in the form of fractal patterns. Bill Williams, the godfather of fractal theory, elegantly stated, "The market's chaotic nature can be first tamed and then mastered by understanding its underlying structure, revealed by Fractals, which are the building blocks of the market, highlighting key turning points and potential opportunities." Understanding Fractals Fractals are repetitive, self-similar patterns that can be observed across nature and, quite remarkably, within the realms of finance as well. In trading, a fractal is a pattern that can be split into parts, each of which is a reduced-scale copy of the whole. They are typically composed of five consecutive bars or candles and can provide insightful information regarding market direction and potential turning points. Power of Fractals in Trading Fractals allow traders to comprehend the complicated, chaotic nature of the markets. By identifying key patterns in market data, they help to predict potential price movements and enhance trading strategies. Using fractals, traders can spot emerging trends, identify trend reversal points, and highlight potential market opportunities. Magnitude and Velocity: The Two Pillars of Fractal Trading When utilizing fractals in trading, it's crucial to understand two fundamental aspects: Magnitude and Velocity. Magnitude refers to the degree of progress by the dominant side in control of the trend. The question to be asked is, "Are the new legs in the ongoing buy-sell side campaign increasing or decreasing in magnitude?" This gives an insight into the health of the trend and its potential longevity. Velocity, meanwhile, represents the speed of the price movement. It's about how quickly a new leg is formed after a price shift. Is the movement fast and impulsive? Or is it sluggish and slow to form? Counting the number of candles it took to achieve a new leg can provide a deeper understanding of the market's direction. Mastering the Market with Fractals Despite its seemingly chaotic behavior, the market hides within its fluctuations a rich and decipherable fractal structure. Fractal trading empowers traders to harness the hidden order within this chaos, transforming apparent randomness into tangible trading opportunities. By integrating fractal patterns into their trading strategies, traders can recognize and exploit recurrent patterns in the market, predict potential price movements, and subsequently enhance the effectiveness of their strategies. It's a potent approach that adds a layer of precision and structure to trading, tempering the market's inherent volatility. To quote Bill Williams once more, the market's chaos can indeed be tamed and mastered through understanding its fractal nature. Through the lens of fractal trading, the market's complexity becomes its own roadmap, revealing pathways to strategic decisions and profitable opportunities.
COMEX:GC1!Education
by FlowState
QQQ Order Flow - Selling Exhaustion Leads To Explosive GainsHey traders, QQQ is in an explosive uptrend as the AI narrative reaches fever pitch. However, as traders, all we care about is to look for long opportunities each and every time there is exhaustion by the sell-side. These exhaustions, signaled via the DIAMOND pattern, offer an incredible risk-reward... (10% gains on the first print and 5% so far). With the bullish structure in our favor as indicated via the OFA script, all we need is to wait for the entry trigger as new structures are formed. Be reminded, when using the OFA script, it comes with highly accurate signals that, at its core, apply 2 main areas of study: Magnitude: A major clue that will help determine the health of a trend is the type of progress by the dominant side in control of the trend. We need to ask the following question: Are the new legs in the active buy-sell side campaign as identified by the script increasing or decreasing in magnitude? Velocity: When it comes to the distance the price moves, the magnitude is only ½ the equation. The other ½ has to do with the velocity of the move or the speed. Was the new leg created after a fast and impulsive move? Or did price make a new low or high with the movement being sluggish, compressive and taking too long to form? A good rule of thumb is to count the number of candles it took to achieve a new leg. DISCLAIMER: This post contains commentary published solely for educational and informational purposes. This post's content (and any content available through links in this post) and its views do not constitute financial advice or an investment or trading recommendation, and they do not account for readers' personal financial circumstances, or their investing or trading objectives, time frame, and risk tolerance. Readers should perform their own due diligence, and consult a qualified financial adviser or other investment / financial professional before entering any trade, investment or other transaction.
NASDAQ:QQQEducation
by FlowState
Bitcoin Fractal Dimensions II% 🕘 Fibonacci Reversal Zones give awareness about interconnectedness of historic patterns all the way to current candle. Projecting how one wave can be relative to the other using various Golden Ratios derived from waves of notable cycles. Application of chaos theory behind the nature of the market in Fractal Geometry. Long-term alertness for Violet Area: Why? Because Bitstamp doesn't show candles before 2012. those crucial fluctuations when price was encountering levels. BLX shows data before 2012 and covered with violet fib area from 1 to 1.618 Fractal Spit Up (Timing): General Fibonacci Channel responsible for LT Reversals (Price+Time related fib line) Vertical axis of Critical points of the Wavelength = Price related line Since market has its own way despite of our perception on price formation, this way we keep neutrality for Long-term strategic aspect. FREMA Levels: Curve mimicking lows of price expansion against time scale. Mind 2024 bitcoin halving period. If it really falls after reaching those hot short-term angled levels, that would be pre "assumed bullrun" period fueled by 2024 halving narrative. That's why relevant to our case fib levels are shown short length. Just like in quantum world particles arrear and disappear or be both, here the levels have their own limited time for the price to be reaching them. The sooner the price reaches them the more crucial reason for presence they have. Since wave frequency right there is high, it applies also to corrective waves. And Since corrective waves would have relatively same momentum measured as angles forming quantum world of possibilities - multi-universe fractal's critical points scaled in unfolding the market. Pretty much all opinions people do classical TA are summarized in terms of the market itself without without actually caring about the news background. Market has its own way and we know that external variable such as news, reports have positive or negative fundamentals already priced in as unfolding pattern to current candles. Odd chaotic movements of the market can be explained through this system of Fibonacci Channels. That's why subjective opinion is way too overrated since market as fractal system of unfolding patterns is more objective than opinions backed by classic TA at specific point of time. After all we care about reversal targets which can be justified by golden ratio rule governing the limits of waves and cycles. Angles are important because they have time cycle properties within it because market is nothing but a curvature in PriceTime blocks covering variable rates of change of fluctuations.
BITSTAMP:BTCUSDEducation
by fract
4