Hello traders,
I want to first wish you all a fantastic trading week and send the best of luck to you as you step into quite volatile and uncertain market conditions this upcoming week.
I am not a crypto trader by specialty, but I have recently been intrigued to study crypto currency's price action movement more recently in hopes to potentially add BTC and ETH to the list of names that I trade. Here I have done a simple analysis, using the same methodologies/ strategy that I use for forex pairs and wanted any thoughts or helpful insights to keep in mind, as they pertain to crypto (and in this case BTC).
My rationale is simple, I marked an area of supply as my point-of-interest for a short position in BTC. Along with my supply (demand) strategy w/the combination of SMC (Smart Money Concepts), I also look for areas of liquidity resting somewhere near the areas of supply (demand). Here I see that the area of supply in which I spotted has engineered liquidity resting below it, thus based off of my rules there is a higher probability chance this area of supply will hold. In addition to liquidity, I have finally spotted all of the fair value gaps in the market (a.k.a. imbalances). I believe this is important to note when using supply and demand because in the case that your point-of-interest (supply or demand area) is near a gap in the market, there is a lower probability chance that this will hold.
For anyone wondering, this was a multi-timeframe analysis, where I looked for the previously mentioned areas of interests and key areas in the market so there is no one timeframe in particular that I decided to yield all of my focus. If there area certain timeframes you feel are most effective in trading crypto, please also feel free to share.
Thank you all for taking the time to read and again, if anyone feels as if they have valuable insight to the specifics of crypto currency price action, please feel free to reach out! I And finally, I just wanted to remind everyone that my goal is to create a community where we can all grow and learn from one another, so please believe if you are able to give value to me, I will give my greatest efforts to do the same for you.
Blessings,
Kelly
I want to first wish you all a fantastic trading week and send the best of luck to you as you step into quite volatile and uncertain market conditions this upcoming week.
I am not a crypto trader by specialty, but I have recently been intrigued to study crypto currency's price action movement more recently in hopes to potentially add BTC and ETH to the list of names that I trade. Here I have done a simple analysis, using the same methodologies/ strategy that I use for forex pairs and wanted any thoughts or helpful insights to keep in mind, as they pertain to crypto (and in this case BTC).
My rationale is simple, I marked an area of supply as my point-of-interest for a short position in BTC. Along with my supply (demand) strategy w/the combination of SMC (Smart Money Concepts), I also look for areas of liquidity resting somewhere near the areas of supply (demand). Here I see that the area of supply in which I spotted has engineered liquidity resting below it, thus based off of my rules there is a higher probability chance this area of supply will hold. In addition to liquidity, I have finally spotted all of the fair value gaps in the market (a.k.a. imbalances). I believe this is important to note when using supply and demand because in the case that your point-of-interest (supply or demand area) is near a gap in the market, there is a lower probability chance that this will hold.
For anyone wondering, this was a multi-timeframe analysis, where I looked for the previously mentioned areas of interests and key areas in the market so there is no one timeframe in particular that I decided to yield all of my focus. If there area certain timeframes you feel are most effective in trading crypto, please also feel free to share.
Thank you all for taking the time to read and again, if anyone feels as if they have valuable insight to the specifics of crypto currency price action, please feel free to reach out! I And finally, I just wanted to remind everyone that my goal is to create a community where we can all grow and learn from one another, so please believe if you are able to give value to me, I will give my greatest efforts to do the same for you.
Blessings,
Kelly