The Strategy
In this article you will learn how to use the main Bitcoin Indicator strategy. It’s actually really simple!
You will look for an entry zone on Bitcoin Indicator C first and find a sharp entry on Indicator B. You can choose your favorite coin and check different timeframes or stick to one timeframe and check different coins… it’s up to you.
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Indicator C
To be able to find a good entry zone you have to understand how Indicator C works;
Indicator C is the first thing you will check when you look for your entry as it’s the main trend indication tool. It has 3 waves the White, Light and Dark one. As you can see the wave #1 shows the short-term wave #2 shows the medium-term and wave #3 shows the long-term trends on the market.
The best entry zone is where wave #1 is decreasing while waves #2/3 are about to cross each other. In these zones you can except a pullback or sometimes even a trend change.
Step #1
The first thing is looking for cases when the price and waves #1/2 on Indicator C move together. Here is a good example for this on ADAUSDT, 15m chart;
As you can see the price is moving above the main trendline which means we are in an uptrend (2nd trendline and clouds are turned off). The #3 wave (dark wave on Indi C) also shows the strength of the uptrend as it keeps moving on the positive side of the zero line.
So waves #1/2 move exactly the same way as the price itself. What does it mean?
It’s time to look for an entry!
Step #2
As we are moving above the trendline the best choice is waiting for a Long entry, however there are also many Short possibilities on this picture so why would we miss them?
Long entry; we should wait until the price gets close or even crosses the trendline. If that happens just check the waves on Indicator C. If it indicates the Entry Zone (explained above but somewhere right before the dot) we can look for our sharp entry on Indicator B!
Short entry; wait until waves #1/2 are topping somewhere at the same hight as the previous ones and start to decrease. When they get close enough to wave #3 it’s time to look for the entry on Indicator B!
Step #3
Our last steps is to wait for a cross on Indicator B. Obviously we want to see bullish dot below zero line for Longs and bearish dot above zero line for Shorts. There is not much to explain on this step actually. The far the dots are from the zero line the better!
You can also check Money Flow (white wave on Indicator B) as an extra confirmation for your entry . If a divergence line appears that’s even better!
Examples
Let’s see some example on the same chart which we saw before. There are also some more possible entries on this picture. Can you find them?
- If you wonder what are those Trading Signals on the chart feel free to read our Trading Signals article.
- Also if you are not sure what leverage to use and when to realize profit please read Balance Management.
Closing the position
Last but not least you should close your position it maximum profit possible. In the case you run in a Short position you should consider closing it when price goes back down to the trendline or close to it. As shorting is kinda risky in an uptrend you should open it only if the price is far away from the trendline so it has space to go down.
In case of a Long position you can wait until waves #1/2 look like topping on Indicator C. If you catch it from the very bottom and keep it to the very top you can reach insane gains on a single trade with even more than 100% profit!
Are you ready to use the Strategy?
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