BTC: identified the bottom with VOLUME PROFILE! How to use it?
As we expected, Bitcoin tested the $37800-39600 zone. But how could you predict this? You have to use the volume profile.
A volume profile is close to horizontal volumes (bottom panel), but using them, you can indicate:
1. value areas(support and resistance)
2. liquidity gaps
This indicator is easy to apply, it is in the left sidebar in the "Prediction and Measurement Tools". You can use it to indicate the value zones in ANY crypto/stocks/currency.
Why does it work? The volume profile is a real value data and that's why the price reacts to it most of the time. Similarly, you can use the DOM and Footprint in real time to track the value zones and reversal points for price. If you have questions about it, write in comments or to the DM!
Right now we expect an upward move on Bitcoin:
1. The price has started to squeeze under the $41400-42700 value zone, which shows buyer strength.
2. Volumes have also increased. BIG VOLUMES=BIG PLAYERS.
3. Short traders who opened trades on the fall will be the FUEL for the upward movement.
Friends, press the "like" button, write comments and share with your friends - it will be the best THANK YOU.
P.S. Personally, I open an entry if the price shows it according to my strategy.
Always do your analysis before making a trade.
Supply and Demand
Bitcoin: 2 trading tips for BEGGINERS!Bitcoin has been in a $30,000 to $67,000 global consolidation for more than a YEAR. You can see on the chart that Bitcoin was down -31%, -36%, -58%, -25%, -52%, -19%. If you use a leverage larger than x2, you could be liquidated multiple times!
Do you want to increase your deposit? Use risk and money management! These are simple rules that help to calculate the risk of your position and the amount of money to buy CRYPTO.
For example, Bitcoin price is $40k and you see a sqeeze under the trend line. Knowing that 60% (6/10) of the time such trend lines break UP, you can divide your capital into 10 parts and buy Bitcoin for 20% of your money with a target of +25% to $50k. That way, the chance of losing your money is minimal (-1-2%) and the profit will be +5% to capital. If you have $10,000, you will earn +$500 per trade. Not bad, don't you think?
In addition, you can also use the short positions, it means to earn on the falls. To do this you:
1. have to understand the basics of trading
2. need to have a desire to study and earnr
This is a short and basic description of risk and money management principles. Trading is easy, but knowing the basics is essential.
If you still have questions how to use the RISK and MONEY management to increase your profitability - write in the comments or to the DM .
Friends, push the like button, write a comment, and share with your mates - that would be the best THANK YOU.
P.S. Always make your analysis before a trade.
AXS, how to trade using KEY LEVELS? FREE education!Key Level. How can a common tool help you to earn more? Let's take Axie Infinity (AXS) as an example!
A key level is a local minimum or maximum. It can be clearly marked after a BIG price movement up or down (points of extremum). Key levels are often the price of 1, 10, 50, 100 dollars, because many traders pay attention to this numbers.
On the chart we have marked two key levels:
1. lower (for longs) - $44.68
2. upper (for shorts) - $72
When to open a trade:
1. on a test of the key level as support or resistance;
2. on false breakdown of the level.
IMPORTANT: IN BOTH CASES, VOLUMES MUST INCREASE! It`s an indicator that a big player opens a trade too!
Using the KEY LEVELS you could earn: +62%, +62%, +38%. Risk to reward for these trades from 1:7 to 1:14(!). It's a good statistic, right?
If you still have questions how to use the key level and what tools can be used to increase your profitability - write in the comments or to the DM.
Friends, push the like button, write a comment, and share with your mates - that would be the best THANK YOU.
P.S. I personally will open entry if the price will show it according to my strategy.
Always make your analysis before a trade.
The Market is NOT the EconomyGood day, Traders! This week I came across the following headline from a major newspaper: "Stocks Suffer Worst Quarter in 2 Years Amid War, Inflation." It was a surprise to me, because, the majority of the traders that I know didn't miss a beat... March was a great month for trading, just as February was a great month, and so was January! Why is that?
Simply put, the Market is NOT the Economy .
It doesn't matter is there is a pandemic,
it doesn't matter if there is a recession,
it doesn't matter if there is a war,
it doesn't matter if the tech oligarchs are censoring free speech,
it doesn't matter who slaps who at some celebrity event.
The market is composed of people , groups , and institutions trading products in a market whose prices are governed by Supply and Demand .
Oil is at all time highs? Doesn't matter to us traders because we'll find opportunities to both buy and sell based on price action.
"The Euro is losing value?" they say? Again it doesn't matter to us traders because we will find opportunities to go both long and short when our system tells us to do so.
Should you Short the DOW because you think American Industrial companies are going to suffer the repercussions of the last 2 years of lockdowns? Again, it just doesn't matter to the experienced Trader - when the opportunity to go long or short presents itself, just like that proverbial fork in the road, we take it!
"But Captain, you Magnificent Maven of Market Manipulation" you say, "It's impossible to predict market movement. I might as well visit my local casino and go all in on Red on the Roulette Wheel!"
That's what the so-called "experts" want us all to think - Give the "experts" your money and you will be taken care of in your retirement, right? How many professionally managed funds routinely beat the market? According to the New York Times, ZERO. According to a recent report by Business Insider, 90% of actively managed funds failed to beat the market.
If these Ivy League "professionals" spending their entire day trying to beat the market consistently FAIL, Why is it that consistently profitable traders succeed? Because we traders are following those who MOVE the market.
When we traders follow a system that works , and we then develop the ability to "work the system" we get to do what very few people get to do: consistently generate reliable income in the market regardless of economic conditions, regardless of who is in the White House, regardless of what society tells you can or cannot do based on your age, race, or economic status... that's the beauty of being a trader... Freedom.
Until we meet again, Trade well!
Sneak peak! Sneak peak at our current project. A quick snippet showing how price levels can be caught using our pivot tool to inform trade ideas based on Support/Resistance and Supply/Demand.
The tool is currently in a preliminary form, but we intend to optimise the level output to create a real eye view of the price action. Our goal is to mimic the price levels a trader would naturally spot and use for their trading, while added an element of sophistication to line filtering that is only possible using code.
BTCvsS&P500! Is volatility the key to SUCCESS?Bitcoin versus the S&P500! Why is volatility so important?
Volatility is always an opportunity for the trader and investor. But what is it?
Volatility is the ability of price to change in % over a period of time. Buying Bitcoin and the S&P500 at the same time close to the lows you would earn +$400 and the S&P500 +$130. The same with short positions. Volatility helps a trader to earn more!
The price of Bitcoin has been very dependent on the S&P500 lately. Bitcoin is down by 52% from its ATH and up by 47%. The S&P500 is down by 14.6% and up by 13%.
Why such different changes in price and how to make money on it? It's all very simple! The total value (capitalization) of the S&P500 is about $40 trillion. The value of all Bitcoins is about $0.9 trillion. Let's imagine that the S&P500 and Bitcoin gained +1 trillion dollars to their value. The S&P500 price would rise by +2.4% ($41 billion) and Bitcoin by more than 100% ($1.9 billion).
I have been in trading for a very long time and I can tell you that your INCOME depend on your skills. If you have a trading strategy, use trading tools, money management and risk management, you can earn more.
Friends, if you still have questions, leave a comment or write to DM!
Friends, press the "like" button and share with your friends - it will be the best THANK YOU.
P.S. Personally, I open an entry if the price shows it according to my strategy.
Always do your analysis before making a trade.
Is SHIB in the ACCUMULATION phase? Identifying the WHALES!Shiba Inu (SHIB) is one of the most popular project of 2021. After the accumulation phase, it rose by about 1000%!
Now the token has dropped by 70% of its ATH and has been consolidating for about 2 months. Could this mean the beginning of a new growth phase?
Accumulation phase is the purchase of cryptocurrency by BIG players to sell higher to the retail investor.
There's not a lot of HYPE around this token right now. Retail traders who have lost 20-50% of their money are starting to sell out in a panic. At this time, the BIG players buy the available tokens from the market to sell higher to new traders who will come on the next HYPE. The same situation as it was in 2021!
It is important to say that if Bitcoin starts its drop, then altcoins will drop too.
Is this really the accumulation phase and we close to RENEW the ATH? We will only know after some time, but we already see the signs of accumulation phase on the chart.
Friends, press the "like" button, write comments and share with your friends - it will be the best THANK YOU.
P.S. Personally, I open an entry if the price shows it according to my strategy.
Always do your analysis before making a trade.
ETHUSDT W Formation LessonWhat happens after a W formation? My preferred trade setup is to identify a W forming within a demand zone and take an aggressive entry off the second peak before the right side of the W has formed. If the W fails to break resistance, it's ok because I can close the trade there and wait for a new setup.
But what happens when you miss the entry? In order for a W to be considered to have played out, it needs to break above the resistance level where the left side started. Once it does that, the next step is a successful retest. This retest doesn't have to stay above the previous resistance but it does need to create a HL as this now creates new bullish market structure. This can also often set up an Elliot Wave with the right side W being wave one - and this is why I love W's! Imagine catching all 5 waves of an EW from wave one.... huge trade.
So if you miss the aggressive entry, the next opportunity is on the retest after the W has completed.
Looking at this chart we can see ETH is yet to confirm a new uptrend as 1. it hasn't broken a W resistance and 2. It hasn't come back to create the HL.
The importance of confirmationsHey Traders,
How many times in your trading career have you had a set up that you are so confident in and is so clean that you just enter it without checking for confirmations? How many times have you seen price retract into a demand or supply area with so much force that you simply think it cannot go wrong? This trade setup right here is a prime example of why it is so important to check for confirmations and ensure that the lower time frames are indicating exactly what you want to see prior to entering a trade and not entering a trade out of fear of missing out and buying as soon as the price dips into a demand zone. Let me know in the comments if this relates to you or you've ever had an issue like this.
The analysis on the four hour had me very confident once we had broken over the recent highs. We indicated after a very long and steady downtrend that we could potentially start seeing a movement to the upside. Once we did get a clear structure break, it was followed by a strong push to the downside in which I like to call The Archers pullback. Price retraced straight back down into our demand area, which means we ticked step one and now we were looking for step 2 and Step 3.
As you can see, looking at the one hour chart, we had a steady downtrend formed prior to having a strong news release which pushed price down into the demand zone. Once we had this trendline formed, what I simply wanted to see was an area of consolidation, potentially a descending channel. Then a break of this trend line followed by a pull back followed by a break of structure down on the 15 minute. But what you can notice is as we have this trendline drawn an we dip into the demand zone, that price didn't break the trend line. It simply went sideways and did form a descending channel, but to the point where we broke the recent demand and set a lower low. In turn, it made this analysis invalid.
It is highly important that with all trade setups like this, especially trading the higher time frames, that we dive into the lower timeframes to ensure that the demand or the supply is entering the market the way we're anticipating so we can trade the distance with confidence. If we do not wait for confirmations then we are sitting blind and entering what you would call FOMO trades. Entering with much higher risk. As we can see here, price can just rip straight through these areas and we must be prepared to not take trades. If we were to enter blindly into these areas, this trade would of resulted in a loss on the account.
Do you find this analysis helpful? Should we chat more about this in the future?
USDJPY LRDER BLOCKSHey❤️, big institutions usually use order-blocks to trade and help them make tons of money.i too sometimes use it. Bearish order-blocks,signifies. Bearish trend is about to happens same with bullish
Order-block best thing is to always trade what you see and never what you think. This indicator can be found on trading view scripts, type “order-block finder by Wugamblo.
Share your thoughts with me about this indicator
Jesus loves you and died for you ❤️
SUPPLY vs DEMAND 📉📉📉✅1) Use longer time frames to identify supply and demand zones
By zooming out, traders are able to get a better view of areas where price had bounced off previously. Be sure to use the appropriate charts when altering the between multiple time frames. Draw a rectangular shape to denote this zone. Demand and supply zones do not necessarily have to appear together - often currency pairs can reveal one or the other.
✅ 2) Identify strong moves off the potential demand/supply zone
Certain price levels offer value to either bullish or bearish traders. Once institutional traders and big banks see this value, they will look to capitalize on it. As a result, price action tends to accelerate relatively quickly until the value has diminished or has been fully realized. Witnessing multiple instances of this at the same price level increases the probability that it is an area of value and therefore, a supply or demand zone.
✅ 3) Use indicators for confirmation of support and demand zones
Traders can incorporate daily or weekly pivot points to identify or confirm supply or demand zones. At DailyFX, we have a dedicated page showing relevant support and resistance levels for all major markets. Traders should look for support and resistance levels to line up with demand and supply zones for higher probability trades.
🏦 Often, a currency pair will climb to an area of resistance called a ‘selling zone’, where sellers perceive there to be great selling potential at a relatively overbought price. The reverse is also true for currency pairs that drop to relatively low levels, ‘demand zone’ where buyers perceive there to be great value to buy.
If you haven’t learned the basics of the supply and demand, or would like a refresher, read our guide on the forces of supply and demand.
🏦 Supply and demand zones are observable areas on a chart where price has approached many times in the past. Unlike lines of support and resistance, these resemble zones more closely than precise lines. Traders can customize charts to identify the demand and supply zones
Do you use this concept ? 🔥
The Level is Good Until it's Not (A Lesson in Supply and Demand)G'day, Traders! Despite wars and rumors of wars there are always opportunities to be had in the financial markets, particularly the Energies markets.
The purpose of today's trade example is to demonstrate that once a level of Supply and Demand are created in the financial markets, the rule of thumb is that a level is "good" until they are not... that is, until all the unfilled orders inside them are processed. No matter how old a level may be, they do not go "stale".
Let's look at a trade which closed in the opening minutes of the market at 6PM EST on Sunday March 27, 2022:
A long opportunity became available to us on the 4-hour chart on Crude Oil Futures in the wee morning hours of Wednesday, March 5 (2:36am to be exact!). That morning (after having the required coffee and bacon as part of one's trading routine) there was plenty of time to evaluate the trade setup using Supply and Demand analysis. When a trade like this appears and meets your rules-based qualification system, you can then give yourself permission to take the trade.
The destination (a.k.a, Target) needs to be an opposing level of qualified Supply. The interesting part, and hence the jist of this article, is that no matter how old a level is, "a level is good until it is not." The level of Supply identified was from July of 2008 – almost 14 years ago! It is treasure chest full of sell orders that was created in 2008 and hasn't been touched since!
As you can see from the chart, price entered that Target level and ricocheted right away like a cat on a hot stove! If you drill down to the 1-minute chart you can see that price stayed at that level for a full two minutes until all the Buy Orders were exhausted and the sellers were back in control, driving price back down.
When trading via Supply and Demand, don't worry about how old a level is... if it meets your criteria of being a quality level, take it!
As always, Trade Well!
How To Use Higher Time Frames To Swing TradeIf you struggle with what timeframes to analyze longer movements before entering trades, this video is for you.
I personally struggled with multiple timeframe analysis. I thought I had to use every timeframe to enter a trade. It wasn't until I got clear on the type of trader I was and stuck to two timeframes at a time is when the market began to become more clear to me. If you can relate this video is for you.
The Power of using NPOCS on your Charts BTC/USDA Naked Point of Control is an untested point of control which is either time based or volume based and exists in the current market structure.
These NPOCS can serve as excellent targets for trades as well as potential areas of support and resistance dependent upon the NPOC's profile distribution.
I have marked this Bitcoin Chart with Daily , Weekly and Monthly NPOCs and using the boxes I have demonstrated how powerful NPOCS can be
when incorporated into a trading strategy for Scalps Daytrades and Swing setups.
I use NPOCS with other confluences mainly Fib levels and order flow and the respect for these levels is well worth noting .
I hope this information helps you define a strategy for your trading as utilizing these correctly will boost your ROI.
Whatever the case thanks for viewing my work and be sure to like and follow .
How to Determine Market Direction Using Multi timeframe AnalysisSo in this video I explain once more how to determine market direction using top down analysis. I think this is the third time someone has requested and its going to be my final time explaining with a video. Hopefully you can learn something from it. Thank you and trade safe
The Simple Thing That Tells You Not To Trend TradeI am a firm believer that when I’m stopped out of a trade it’s for 2 reasons.
Reason 1: a deeper pullback has occurred. This does not mean the trend has changed. Price just pulled back a bit more than expected.
Reason 2: a reversal has occurred. At this point I’m stopped out of the trade and the direction I was once trading in reverses.
In this GBPJPY 1 hour timeframe a reversal. I’ve been the buyer up tip this point. Now that a 1 hour
Lower low has been formed I’ll stop being the buyer. A lower low represents the sellers pushing price past the last higher price buyers(Japan) were willing to buy the base currency which in this case was the Pound.
As a trend trader my goal is to trade with the trend per the timeframe I’m analyzing. So, the buy is invalidate Ted until price begins to trend again. So, I wait for a pullback and evidence price can stay below the higher high and fall again. If it can I begin selling.
If price passes the higher high the lower low will have been a false breakout and I am the buyer again.
Just a simple understanding of when it’s time to not trend trade. Any questions?
Supply and Demand Strategy Explanation (read)Hello Traders. Welcome to this Post about How to properly trade a supply level according to my strategy. In this post first post we will talk about how to draw it. if you can memorize the simple methodology, then you can start applying more advanced theories on top of them! and if you are able to draw and spot it you can find accurate scenarios. Make sure to follow for more content
Frequent Questions :
How to Draw a Supply level ?
When to Know when we have a valid high probability Level? and a low probability level
When a Supply level is invalidated?
When to execute a trade in a valid area?
Where should I take profits?
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okay first thing first
How to Draw it ?
You just need to start with current price on the chart . Then look left and down until you find the origin of a very strong drop in price.That's what we call the origin. Understand that behind every drop and strong mouvement someone is behind leaving a footprint and is able to do whatever he need to protect his position from losing money
Identify the base , order block , origin or whatever you call it and mark it from the messy top of the base and the wick to the extreme bottom or body.
When to Know when we have a valid supply Level?
Rules:
Well it's all about probabilities , there is no certainties in this game.
When you have a very strong bearish monthly structure or macro structure, supply levels tend to be accurate a stronger. In that case we are trading with the market flow and we are following the main direction.
By other side , when you find supply level in a strong bullish structure that's what we call a low probability trade , it might work but remember that you are swimming against the flow of the river.
When to execute a trade in a valid supply area?
→ It is possible that price retest the zone. If that happens , from my experience you need to combine multiple factors. One of the most important is the fundamental. when you have a strong fundamental trend confirmed , then a pullback into a supply level in a strong downtrend structure is valid. By other side when you have valid micro signals in a valid macro sell zone then, probably price will be using the supply level to the downside. Usually a high probability supply level is the one that broke a previous low , in that case we are sure that we are trading with the momentum.
When a Supply level is invalidated?
❗The purpose of Supply levels are to push the price to the downside. in that way a supply level is invalidated when price cross beyond the base . By other side if price consolidate a lot in a strong supply level and slowly start to break the zone keep in mind that the price can slide up and totally invalidate the supply zone . make sure to only trade the first retest of the zone. Never trade MULTIPLE retests. remembers big players that entered in the zone that you sold don't want to see price crossing beyond the area.
❗Watch out for the big time frames trend
I will leave few examples in the update section
I hope this Educational Post was helpful . Make sure to follow and let me know in the comment section if you trade supply and demand ? have a nice day!
Gold (XAUUSD) - Supply & Demand SystemIn this video I show you a very simple, but powerful way to trade Supply & Demand on H4 XAUUSD Charts. You will learn how to identify Supply & demand direction. So you know if you should take Supply, or Demand levels. You also learn some basic rules around AV Reversal , Break of Market Structure (BOS/BMS) , Supply and Demand , Order Blocks
Conservative vs Aggressive Entries - Different ways to enter!There are different ways to enter trades - some opt for an aggressive approach while others opt for a conservative entry. Aggressive entries are taken at the first signs of reversal out of a supply/demand zone while conservative entries wait for more significant larger structure breaks in the trend.
I almost always opt for the conservative take as I want structure to be with me all the way. By getting in with an aggressive entry you can achieve higher risk reward but you will also inevitably run into more losses because you are relying on the short term trend to confirm your higher timeframe intensions.
It comes down to your risk tolerance: Conservative entries require patience and sometimes when they don't give an entry you'll need discipline to avoid getting burned - but they are the wiser option for risk averse traders. Aggressive trades will get you in on nearly every move you have planned but they'll also get you took out a fair amount more than conservative entries. How much pain can you take?
I recommend choosing an approach and sticking to it - being a master of one approach is better than a novice at many!
AUDNZD Trade ReviewHey guys,
As I sat down this morning to do my trade review from yesterday, I figured why not do it on video for you guys to watch and see.
This is a good opportunity to have a look at my initial analysis, how I managed the trade through-out the day and how we finished up.
If you don't already do trade reviews I highly recommend you do, as it can be a great way to familiarise yourself with the emotions you feel through-out your trades.
If you enjoyed the content leave a like, if the feedback is good I will continue to make these!