Crypto Strategies For Quick Profits
Crypto trading is full of risks and pitfalls. To get long-term benefits from crypto trading, market enthusiasts must develop strategies that make trading fun and safe at the same time. Let’s look at some strategies that you can use to achieve favorable results.
Crypto trading indicators for quick profits
Half Trend Indicator:
A Half-Trend indicator calculates the highest and lowest prices at a given point in time”.
It is a buy and sells indicator with arrow signals as high probability entry and exit levels on the MT5 chart. Many crypto and forex traders employ this Meta Trader indicator in order to detect the market direction.
And it shows when to buy or take a long position, and to sell or take a short position.
How to set up HTI in trading-view?
- Go to the setting of the indicator, and set the amplitude valve 4.
- Disable show channels.
A half trend indicator strategy is an accurate trend following system. The FX system trades all currency pairs of the FX market using all timeframes.
- If a line in a graph becomes blue, then the upward arrow will appear, then we have to take a long position.
- If a line changes its color to red, and downward red color arrow will appear on a graph. Then we will close the long position and open a short position.
Note: Always put a stop loss, while taking a long position or short position and our take profit should be three times the stop loss (3x).
Chaikin Money flow & M.A.C.D
The Chaikin Money Flow is a forward indicator (predictive) that can be directly compared to a security’s price movements. Chaikin Money Flow (CMF) measures Money Flow Volume over a set period of time using technical analysis.
The Money Flow Volume (also created by Marc Chaikin) is a measure of a security’s buying and selling pressure for a single period. In the following step, CMF calculates Money Flow Volume for a period of time that has been determined by the user.
The most popular settings would be 20 or 21 days, however, any look-back period can be used. Chaikin Money Flow’s Value fluctuates between 1 and -1. A CMF can be used to quantify changes in buying and selling pressure and to anticipate future changes and trade opportunities.
How to set up CMF & M.A.C.D?
The MACD indicator can be used above, below, or behind a security’s price plot.
- By putting the MACD “behind” the price graph, we can compare momentum movements with price movements.
- When the indicator is selected from the drop-down menu, the default parameter setting appears.
- If the money flow is above the green line, we can take a long position.
If the money flow is below the middle line, we take a short position.
Finding Entry Setup:
- If the money flow is above the middle line, then MACD will cross above the signal line; now we take a long position.
- If the money flow is below the middle line and MACD crosses below the signal, then we take a short position.
Note: Exit should be 1.5 times of stop loss. (1.5x).
Remember, if we are trading in lower time frames, that means, we are going to take a lot of positions and over time high trading fees could accumulate and hurt our profits.
We need to use a trading platform that offers lower fees while trading.
- Exchanges should have high liquidity in their order books.
- Exchange should have low slippage with low fees.
I am sharing the Crypto trading indicators for knowledge but before investing in “ Do Your Own Research”.
Taking profits is the deliberate act of selling crypto or another security in an effort to lock in gains after a period of appreciation. Unlike HODLing, it often involves regular trading and market participation.
Chaikin Money Flow (CMF), and Half Trend Indicator, are crypto indicator tools for confirming trend direction.