Disclaimer: All of this are based on my experiences, if you want to try the strategy do it at your own risk. Always DYOR and TAYOR! I am not financial advisor.
Scalping is collecting small gains despite the market is not making bigger price moves. Scalpers are doing a lot trade volume but not huge gains since we are only catching a few price movements in the market.
The strategy works fine with both BUY LONG and SHORT SELL, but remind you that you have to be quick on your entry and exit since 1m or 5m TF is a very volatile time frame.
BUY LONG POSITION
It is a position where traders believe or predict that the price of the coin will rise in value or trend will be bullish.
EMA Indicator appearance
If you want to scalp in buy long position make sure that EMA indicators look like the photo above. The three EMA's should be distant from each other and the direction will be heading upward. Just look at the arrow I draw above.
MACD Indicator appearance
MACD should appear like the photo above, the yellow line should be on top of the purple line with space not hugging each other like the one below the text on the photo. But it does not appear like that when the coin start going up, just look at the MACD of it is already kissing, and looks like they will cross in the next candle.
RSI Indicator Appearance
RSI should be like MACD the yellow line which is the RSI 13 is on top of the purple line the RSI 50 when you enter a buy long position. RSI works accurately how the candlestick moves than the MACD, so you can use the RSI to look for a nice exit.
Applying all the indicators in a chart
That should be the appearance of all the indicators if you wish to have a BUY position. Make sure that the EMA are distant from each other and heading upward, the reason why they should be distant from each other is the EMA3 will be your stop loss. Make sure that MACD is bullish, the yellow line above the pink line, while RSI 13 is above RSI 50.
The candle was circled above are the candles that are good for an entry position, MACD, and RSI already crossed.
You can make multiple entries as long as the indicators are present in the second chart you can enter twice those I put straight line will be your exit then you can have second entry, make sure that the candle does not touch with the EMA1(20) and the price correction candle did not touch the EMA3(100) then it's good to sign that the price will push another high.
Short SELL Position
A short sell position is an entry that traders believe the coin will drop in value or the trend will be bearish.
EMA Indicator Appearance
If EMA in buy long should head upward, EMA in short sell should be heading downward and also the distance from each other, just refer to the photo above how it looks like.
MACD Appearance
MACD should be like the photo above if you wish to enter a sell position, the pink line should cross or above the yellow line. But sometimes MACD is late but it's accurate, if RSI already below and MACD is just kissing it's already a good indication for price change trends.
RSI Indicator Appearance
RSI is very accurate to the candlestick movement, if you want to enter sell position RSI 13 which is the yellow line should be below the RSI 50 maroon line. RSI is much advance than MACD but sometimes it can lead to fake movements so better wait for MACD confirmation. RSI is best for an exit plan.
Applying all the short sell indicators in a chart
That is how it looks like when all indicators are applied in the chart, always make sure that the candlestick for your entry didn't touch the EMA1(20) anymore, because if you enter with the candle that still touching EMA1 it might be a fake movement and will suddenly rise of fall. Always enter a position in a confirmation candle.
π§ Caution
DON'T EVER ENTER A TRADE when EMA is distorted, even ig the MACD and RSI is showing any indication of what trend it is. Do not gamble, you will end up losing your trade!
For Stoploss and TP
You can set your TP 2x higher or 1.5x higher on your entry price, while stop loss will be EMA3(100) or you can monitor the chart, if you are a scalper always monitor the chart.
Important keys to remember
Always make sure EMA is not distorted and distant from each other
MACD and RSI should coincidence with the trend shown by EMA
Always enter on the confirmation candle
Do not enter a position on a candle that is still touching EMA1(20)
Always stick to the strategy
Do not get FOMO, never enter a trade without the presence of the 3 main indicators
Do not enter when a confirmation candle is big, it will probably change direction after seconds as the buying or selling pressure is high.
Use stop loss and TP.
Strategy is working fine with 1m and 5m but I used 1m for quicker trades.
This is what I earned with the strategy, from $35 it became $213.42 but now it's only $30 left because I withdraw it for personal use and reasons, if you happen to read my noise. cash post. I will start from the beginning again with the strategy.
Related Articles:
Scalp Trading Strategy: Set Up
Things To Consider Before Applying My Scalping Strategy (Advise)
Important notice;
Please backtest, DYOR (do your research), and TAYOR (trade at your own risk). Do not blame me if ever the strategy does not work with you because probably, you missed some indicators to note before you enter a position. Don't ever blame me for your actions, I held no liability for it because I have done all the reminders before I tell you how it works! If the strategy does not work for you, better find another more profitable strategy, dyor, and keep learning!
Welcome to the trading journey!
Hanggang basa n lng muna aq..π