This monthly timeframe is only used if you are a long-term holder, right? Does that mean it is not an effective method for short-term traders? If I look at your illustrations, it seems that it is still confusing to implement in the actual trade itself.
It can be used to help in short term trading. Example if daily trend is bearish but the price reaching monthly level of support then you know it will have chance to rebound on than price 
Topic: (CONTINUATION) Price Action Strategies on TRADING Part II (Read 91 times)
This monthly timeframe is only used if you are a long-term holder, right? Does that mean it is not an effective method for short-term traders? If I look at your illustrations, it seems that it is still confusing to implement in the actual trade itself.
In short, this is not short-term trading, though, this is a monthly earnings method for price action to determine how to get earnings. But I will still try to understand it. However,
still thank you for the effort op.
In short, this is not short-term trading, though, this is a monthly earnings method for price action to determine how to get earnings. But I will still try to understand it. However,
still thank you for the effort op.
I don't see any warning about risk of using leverages for Margin trading or Futures trading. It's basic but vital warning because with whatever trading strategy, if people use leverages, and worse high leverages, their trading positions will be under higher risk of liquidations.
You can be right with 90% of your positions but the rest 10%, if bad, will cause you painful loss such as taking out 70% or bigger of your trading capital.
Supports and resistances exist and market manipulators don't care what you are thinking and what methods you are using as well. If you open a bad, risky position, their market manipulation will trigger either Long squeeze or Short squeeze and you will lose money.
You can be right with 90% of your positions but the rest 10%, if bad, will cause you painful loss such as taking out 70% or bigger of your trading capital.
Supports and resistances exist and market manipulators don't care what you are thinking and what methods you are using as well. If you open a bad, risky position, their market manipulation will trigger either Long squeeze or Short squeeze and you will lose money.
It's your assessment that it might be one of your experiences, and that's why you can talk like that, right? Though you're right that when the leverages you set up are high, it's quite dangerous that your fund in the balance wallet can be at risk when you're doing futures trading.
And we also know that there is no perfect prediction or analysis, but even so, we have tools that we use so that we have a basis as to whether it is possible to reach the price we expect. We don't make predictions just to try to make a profit from what we do. It is still up to us if we continue with our prediction of setting up a sale or a purchase.
I don't see any warning about risk of using leverages for Margin trading or Futures trading. It's basic but vital warning because with whatever trading strategy, if people use leverages, and worse high leverages, their trading positions will be under higher risk of liquidations.
You can be right with 90% of your positions but the rest 10%, if bad, will cause you painful loss such as taking out 70% or bigger of your trading capital.
Supports and resistances exist and market manipulators don't care what you are thinking and what methods you are using as well. If you open a bad, risky position, their market manipulation will trigger either Long squeeze or Short squeeze and you will lose money.
You can be right with 90% of your positions but the rest 10%, if bad, will cause you painful loss such as taking out 70% or bigger of your trading capital.
Supports and resistances exist and market manipulators don't care what you are thinking and what methods you are using as well. If you open a bad, risky position, their market manipulation will trigger either Long squeeze or Short squeeze and you will lose money.
- This is another additional piece of reference knowledge for all the communities that study trading here in the crypto industry. This tutorial you made, I hope you don't get tired of giving trading knowledge so that our communities here in the forum can better understand such trading ideas.
Honestly speaking, it is not difficult to understand the illustrations that you show here for each topic that you share. If you did it well, I feel good so that I can apply or implement what you say here correctly. Thanks again, Op.
Honestly speaking, it is not difficult to understand the illustrations that you show here for each topic that you share. If you did it well, I feel good so that I can apply or implement what you say here correctly. Thanks again, Op.
Part 1 - Price action strategies on TRADING: https://bitcointalksearch.org/topic/m.63955493
1. Key resistance levels
2. Key support levels
3. Supply and Demand + Multiple Reversals of Price
Extreme Swing Highs and Swing Lows In relation to the trading period, these are the lowest support levels, which indicate a very cheap price level, and the greatest resistance levels, which indicate a very costly price level..
This reversal point in between the swing high the low are the traditional high key levels
And the absolute higher resistance levels here is the extreme high swing level and the absolute lower support level here is the swing low key level.
Price action Psychology behind extreme swing highs - Short trade set-ups off swing highs are off higher quality, because there is a higher percentage chance of price reversing off the level as price is deemed "VERY" expensive within that time frame.
Higher Time Frame Key Levels Because they take longer to build, these critical levels are of extremely high quality and are apparent and visually evident on the higher time frames, such as the weekly and monthly.
Price thus responds to them frequently.
** Many of the major levels found on the lesser time frames are invisible when using the weekly or monthly time period.
** The levels that are visible and visually obvious on the weekly and monthly(higher tf) as known as "Major key levels"
** The Major Key Levels, are levels where there is a higher probability of price reversing off of them, but not just as slight bounce but a true reversal
that will often move a greater distance.
These are the monthly time frame, this level here that are visible known as your major key level. Because this level are slower to form, they become very key levels
as these are the ones where slower moving large institutions look to unload positions or take on new positions.
Your resistance level as you can see in the image above formed in 2008, still valid at 2010, 2012 and 2018. Now you don't trade in the higher time frames,
But there is a technique... and you can see the technique at the image below,
Label the levels as monthly level, But then again you are mostly spend time on your monthly timeframe.
Long Wick Candlesticks It is where the wick is sticking out, paired with key levels of supports and resistance is one of the best ways to identify high quality price action trade set-ups for killer trade reversal entries.
In an UPTREND illustration image below:
1.
2.
3.
4.
Now in an opposite direction " DOWNTREND "
1.
2.
3.
Reference:
What is Long wick candlestick? https://primexbt.com/for-traders/what-are-long-wick-candles/
How to identify extreme swing highs and swing lows? https://tradingstrategyguides.com/how-to-identifying-swing-high-swing-low/
TO BE CONTINUED>>>>>>>>
1. Key resistance levels
2. Key support levels
3. Supply and Demand + Multiple Reversals of Price
Extreme Swing Highs and Swing Lows In relation to the trading period, these are the lowest support levels, which indicate a very cheap price level, and the greatest resistance levels, which indicate a very costly price level..
This reversal point in between the swing high the low are the traditional high key levels
And the absolute higher resistance levels here is the extreme high swing level and the absolute lower support level here is the swing low key level.
Price action Psychology behind extreme swing highs - Short trade set-ups off swing highs are off higher quality, because there is a higher percentage chance of price reversing off the level as price is deemed "VERY" expensive within that time frame.
Higher Time Frame Key Levels Because they take longer to build, these critical levels are of extremely high quality and are apparent and visually evident on the higher time frames, such as the weekly and monthly.
Price thus responds to them frequently.
** Many of the major levels found on the lesser time frames are invisible when using the weekly or monthly time period.
** The levels that are visible and visually obvious on the weekly and monthly(higher tf) as known as "Major key levels"
** The Major Key Levels, are levels where there is a higher probability of price reversing off of them, but not just as slight bounce but a true reversal
that will often move a greater distance.
These are the monthly time frame, this level here that are visible known as your major key level. Because this level are slower to form, they become very key levels
as these are the ones where slower moving large institutions look to unload positions or take on new positions.
Your resistance level as you can see in the image above formed in 2008, still valid at 2010, 2012 and 2018. Now you don't trade in the higher time frames,
But there is a technique... and you can see the technique at the image below,
Label the levels as monthly level, But then again you are mostly spend time on your monthly timeframe.
Long Wick Candlesticks It is where the wick is sticking out, paired with key levels of supports and resistance is one of the best ways to identify high quality price action trade set-ups for killer trade reversal entries.
In an UPTREND illustration image below:
1.
2.
3.
4.
Now in an opposite direction " DOWNTREND "
1.
2.
3.
Reference:
What is Long wick candlestick? https://primexbt.com/for-traders/what-are-long-wick-candles/
How to identify extreme swing highs and swing lows? https://tradingstrategyguides.com/how-to-identifying-swing-high-swing-low/
TO BE CONTINUED>>>>>>>>
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