You Can Count On BCH

I am writing my personal overview on technical analysis in this article with a short description of some of the important indicators. Believe me you can count on BCH, it is not going to ruin you. It is going to make you earn a lot profits.

I could say, all wealthy traders use technical analysis but not all technical analysis traders are wealthy although T.A. is the most precise way of trading in crypto or any trading. It’s also useful note that fundamentals play their part in indicating whether a price will move up or down. It gives you the edge over other traders.

I am sure that most of you have listened about the indicators and trading technical analysis. I am just giving an overview of what I have learned. You may disagree.

Technical Analysis is so powerful because of a few reasons

1) It represents numbers. All information and its impact on the market and traders is represented in a currency’s price.

2) It helps to predict trends and the foreign exchange market is very ‘trendy’.

3) Certain chart patterns are consistent, reliable and repeat themselves. Trading Analysis helps us to see them.

Discipline & Emotional Control;

Here’s one way of putting technical analysis into perspective (wish I had a dollar each time I said ‘technical analysis’). We all know that prices move in trends. Research has shown that those that trade ‘with the trend’ greatly improve their chances of making a profitable trade.

Trends help you become aware of the overall market direction and often rescue us from less then profitable entry points. What I learned from a lot of lectures & research is the need for discipline and emotional control. So learning the ‘tools of the trade’ the technical indicators and their applications will help you to diagnose what the market is doing but even then you need to expect ups and down and trade with emotional control.

Keep yourself UP to Date;

You have to keep an eye on market, news and keep reading articles. In this way you will know what is going to happen, weather the price is going up or not. As there was news few days ago when BCH dropped, that they are introducing new companies, that clearly indicated that value is going to increase. Recently in last month BCH/USDT dropped due to some issues as someone. It doesn't mean you become frightened and start selling your BCH assets. Remember in crypto trading, If you can keep than you can earn and make big profits and be rich. Know I told my friends to buy BCH at 490$ as indicators and some articles and research indicated that BCH is going to increase its value to 750$ and they invested a lot in it, believing on me. Know BCH value increased in 600$ to 630$ range. Know they are thanking me for that tip. But point that I am trying to prove is that don't be afraid of any downs in Market. One thing is for sure that BCH will not make your loss.
" The One Who Can Keep, Can Make Profit in CRYPTO "

Stay with the trend, follow the price; Don't Panic

Find the price of the currency pair. If BCH/USDT is 650$ and moves to 600$ then to 490$ as few days ago it dropped to 487$ then the market is in a down trend. Concern yourself only with what the market is doing not what it might do. Listen to the markets and the indicators will backup what they are telling you.

Following are some indicators that I shortly described in easy words so anyone can understand it.

Moving Averages;

Tell you the price at a given point of time over a defined period of intervals. They are called moving because they give you the latest price while calculating the average based on the selected time measure.

They lag the market so to give you an indication of a change in trend, use a shorter average such as a 5 or 10 day moving average. By combining a shorter term and longer term M.A. you can detect a buy signal when the shorter term crosses the longer term moving average in the upward direction. Or a sell signal if it crosses in a downward direction. For example, you could use a 5 day versus a 20 day moving average or a 40 day versus a 200 day moving average.
There are simple moving averages, linearly weighted which gives more importance to the recent prices or exponentially weighted. The latter is a favorite because it considers all prices in a time period but emphasizes the importance of the most recent price changes.

MACD;

Based on moving averages, a MACD plots the difference between a 26 exponential moving average and a 12 day exponential moving average, with a 9 day used as a trigger line. If a MACD turns positive when the market is still plummeting it could be a strong buy signal. The converse also works.

Bollinger Bands; (sounds like an elastic band)

Prices tend to stay between the upper and lower bands. They widen and become more narrow depending on the volatility of the market at the time. A sell signal would be when the moving average is above the Bollinger bands and vice versa for a buy signal. Some traders use it in conjunction with RSI, MACD, CCI and Rate of Change.

Fibonacci Retracement;

Describe cycles found throughout nature and when applied to technical analysis can find shifts in the market trends. After a climb prices often retrace a large portion sometimes all of the original move. Support and resistance levels often occur near the Fibonacci retracement levels.

RSI;

Relative Strength Index measures the market activity to see whether it’s overbought or oversold. This is a leading indicator so helps to indicate what the market is going to do (awesome!). A higher RSI number indicates overbought (so expect a bearish shift) and a lower number indicates oversold.

Conclusion;
Successful traders will generally use 3 or 4 signals to provide a more conclusive signal before entering a trade.

Always remember, “If in doubt, stay out!” . Technical analysis doesn’t factor in political news, a country’s economic profile or fundamental supply and demand.

Technical Analysis helps us figure out how much money to risk on a trade. How and when to enter the market and how to exit the trade for profit or to minimize loss.

I sincerely hope you found this article useful.

@Zainy