This is my unique swing trading strategy for buying BTC.
0. Is BTC in a primary macro uptrend, and are you buying a dip based on your trading strategy?
1. Are you buying at the 128 daily SMA, 200 daily EMA, 21 weekly EMA, or 50 weekly EMA?
2. Are you buying at the 0.5, 0.618, or 0.706 Fib retracement level from local high?
3. Is daily RSI oversold or almost oversold (37, 30 or below)?
4. Is this a major area of horizontal support?
5. Is the fear and greed index at extreme fear? Do you feel unsettled taking a trade here?
6. Is there a large volume red candle to downside with long wick being bought up?
0 is valid, we bounced up off the 128 daily SMA, and at a major area of horizontal support. The daily RSI dropped to 37.5 which historically has been a major bounce region and the fear and greed index was at extreme fear and we are getting volume confirmation combined with breaking 21 daily EMA to the upside. Furthermore, the descending wedge on daily RSI is being broken to the upside further bolstering the bullish case. My only concern is that the 21 weekly EMA did not get hit around $9000 but the price came close enough at $9300. Also, the 0.5 fib did not get hit at $8600 so it is possible we get another chance to accumulate one more time, but it seems more and more unlikely. I am not a fan of patterns overall and countertrend patterns in a bull market are even less likely to play out imo.
0. Is BTC in a primary macro uptrend, and are you buying a dip based on your trading strategy?
1. Are you buying at the 128 daily SMA, 200 daily EMA, 21 weekly EMA, or 50 weekly EMA?
2. Are you buying at the 0.5, 0.618, or 0.706 Fib retracement level from local high?
3. Is daily RSI oversold or almost oversold (37, 30 or below)?
4. Is this a major area of horizontal support?
5. Is the fear and greed index at extreme fear? Do you feel unsettled taking a trade here?
6. Is there a large volume red candle to downside with long wick being bought up?
0 is valid, we bounced up off the 128 daily SMA, and at a major area of horizontal support. The daily RSI dropped to 37.5 which historically has been a major bounce region and the fear and greed index was at extreme fear and we are getting volume confirmation combined with breaking 21 daily EMA to the upside. Furthermore, the descending wedge on daily RSI is being broken to the upside further bolstering the bullish case. My only concern is that the 21 weekly EMA did not get hit around $9000 but the price came close enough at $9300. Also, the 0.5 fib did not get hit at $8600 so it is possible we get another chance to accumulate one more time, but it seems more and more unlikely. I am not a fan of patterns overall and countertrend patterns in a bull market are even less likely to play out imo.