Re: Ways to identify the bounce ASAP after a significant correction?
Hi,
I’m just wondering what are the best indicators / candlestick patterns / charting TA to look for when a support bounce occurs after a significant dip.
I was in short positions on both Sunday and Monday during the big BTC correction and obviously there were points where they were significantly in profit. However, I held on too long and closed after the bounce. I still took profit but feel I could’ve “taken the meat of the trade” a lot better.
What do you guys look for? I guessing this is perhaps best done using the 1m (or similar short timeframe) and looking for a big green bottom wick with large incoming volume or something?
Thanks
I’m just wondering what are the best indicators / candlestick patterns / charting TA to look for when a support bounce occurs after a significant dip.
I was in short positions on both Sunday and Monday during the big BTC correction and obviously there were points where they were significantly in profit. However, I held on too long and closed after the bounce. I still took profit but feel I could’ve “taken the meat of the trade” a lot better.
What do you guys look for? I guessing this is perhaps best done using the 1m (or similar short timeframe) and looking for a big green bottom wick with large incoming volume or something?
Thanks
Might be connected to forex but they are all just the same because patterns can really be seen when you do make out chartings thats why having some knowledge about TA's
when it comes to reversals or possible trend change then you do have at least the idea.
Here's what it is called:
Double Top
Double Bottom
Head and Shoulders
Inverse Head and Shoulders
Rising Wedge
Falling Wedge
Source
Take note and remember is that Cryptocurrency market can fuck up these TA's that you would make.So always take precaution towards your position.
Shower thought. What if the low-volume, easily-manipulated Cryptocurrency Whale-Cumulators read all these TA chart formations, then manipulate the price to do “what it is not supposed to do”, to make us the plebs do “what we are not supposed to do”.
Pretty simple, that's why you always trade with a lot of strategies and wait for confirmation before entering a Trade, why is that? well, that's because a manipulated market do have a lot of fake outs. A long two consecutive Bullish candle doesn't mean it'll go up in the next candle, sometimes it goes down because of too much selling pressure, that's why confirmations are important after you did some TA, and chartings.
RSI + DIVERGENCE + EMA + CANDLE STICK PATTERNS always work for me.