Andye81

HVP can't be used for direction - Wrong (BTC)

Short
DERIBIT:BTCPERP   BTC Perpetual Futures Contract
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You may have heard on other platforms and media, so-called experts telling you that Historical Volatility Percentile (HVP) can't be used to tell direction and this is simply just wrong.

Our communities have identified 6 scenarios that accurately predict price action.

Idea Concept

This published idea today, is sharing one scenario in the hope you all see value in joining the revolution of volatility trading, and harnessing the power behind the mighty Historical Volatility Percentile and Correlation with P-Value & Confidence Interval!

1. When volatility is expanding on the Historical Volatility Percentile, while the Correlation is going into significant negative correlation then the price action will always DUMP.
2. Enter when volatility expands above your HVP Moving Average and exit when volatility contracts below the HVP MA

Back test it yourself, you will be amazed. This trade captured a 25% drop in BTC

There are many amazing indicators that volatility traders use on a daily basis, and these indicators simply just work. No longer are you hoping that some magical Moving Average is going to have an impact on price

For this idea, I have used two publicly available indicators from @balipour

Comments

You are the man. :)
+4 Reply
Andye81 mjoforiam
@mjoforiam, Thanks to our amazing communities
+1 Reply
Trading volatility with the HVP+CC is a winning combination
+3 Reply
Andye81 JoeyC_Crypto
@JoeyC_Crypto, It sure is Joey. HVP+CC is the basis for all volatility trading.
+1 Reply
YES my Friend, Volatility can 100% give you the direction of an impending move. I'm Teaching this everyday, Bilbo and Shire Approved!!!!!!
+3 Reply
Andye81 CryptoCYCLOPS
@CryptoCYCLOPS, It is beyond me, why others are not trading volatility. Not sure what everyone is waiting for.
+4 Reply
stepstones Andye81
@Andye81, because voodoo TA is a POWFUL seducer. that's why. well, someone has to lose trades :)
+1 Reply
Fantastic. Thanks for sharing!
+2 Reply
Nicely done!
This is exactly the sort of Published Idea that TradingView *should* be promoting.
It's quite telling that to date, they prefer to promote random shapes and lines and other ridiculous chart art that help no one trade any better.
h/t to @balipour, pig and all the members of the communities trading with these indicators and helping each other learn and practice how best to use them.
+2 Reply
Powerful elucidation
+2 Reply