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Crypto Chartbook: How To Stay Ahead

Published 04/07/2020, 07:20 AM
Updated 07/09/2023, 06:31 AM

The simple answer is: Ask quality questions. In conjunction with having cultivated a highly aware community, these questions were answered by many on a principle basis. If you wait in market participation for important news to come out you are chasing a trade. Not an ideal scenario. Now that the dust of initial events has slightly settled … What now? How to stay ahead?

Some of the questions might be

What has to happen for me to:

  • Send my kids back to school (daycare)
  • Visit or invite family and friends
  • Go shopping without a mask
  • Book airline travel
  • Take a vacation

The list is long and some principle-based answers might be vaccination, temperatures above 27 degrees, herd immunity and so forth. We are not trying to figure out what it takes to somewhat feel normal again. Neither are we looking at domino effects on various economic factors that only have been triggered by COVID-19. We are trying to stimulate an internal dialogue to anticipatory ask questions and find answers. Answers that allow, when the news is actually released, to not be surprised or emotionally triggered. Answers to stay in control of your decision-making process. All this prior to news possibly providing answers to subconscious questions that may not be in your best interest. Subsequently might not be principle-based for the individual. Most importantly with one goal: How to stay ahead!

BTC/USDT, Daily Chart, Good Trading:

BTCUSDT Daily Chart

From technical analysis, perspective markets have been extremely stable. We caught the Bitcoin market just right with two main trades. One we closed out today and the main trade from the lows on 3/13/2020 still carries a runner from our entry at US$4,102. Currently, this last runner is up 77%. This illustrates the significance of the recent price bounce.

BTC/USDT, Daily Chart, No Need For Greed – Profit Taking:

BTCUSDT - Daily Chart

In addition, since the highs on February 13th 2020, we posted 136 trades with a hit-rate of 89% and a runner profit average of 32%. Outperforming our own typical averages and this with long trades only in a downward environment. Looking at the chart above where we reached overhead resistance near US$7,600, we have taken substantial profits on our exposure. There is a great confluence of a distribution zone. A 50% retracement of the Fibonacci levels. A strong distribution fractal from previous trading ranges and upward channel resistance. No need for greed. Even more from a timing perspective the reason why we address, that quality questions are in order to be prepared for further action-taking.

Weekly Chart, BTCUSDT, What Now? How To Stay Ahead? :

Weekly Chart BTCUSDT

The larger weekly time frame confirms these concerns of prices possible not immediately advancing from here. With strong overhead, it is a good time to employ our quad strategy and take some off the table. We also have come close to the mean (blue dotted line) which is not an unusual spot for a direction change or stall.

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