Trading a system with set rules and strong risk management takes emotion out of the equation and leads to better trades.
Market looks very bearish all around, but there is a weak bullish TK cross on the 12hr ZRX/BTC chart. And every time it has had a weak bullish TK on the 12hr it was a signal for the start of a bullish run on ZRX. So I am buying. This is a great R:R trade with easy stops if it breaks the lower bullish channel support from 1+years (Lower Teal Support line). A tighter stop could be below the Kijun around 0.000124 if I was being more conservative on this one.
Every time the TK has crossed bullish on ZRX it has risen to the top of this bullish channel in the weeks/months following. I have marked some of my take profit zones on the way up (OBs - red boxes)
Will update along the way
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Price dropped a bit as it touched the Kumo. This is a common reaction, and happened on the previous TK cross on the 12hr. Areas highlighted on this chart:
Stoch RSI is dragging along the bottom, it will turn up soon, taking profit when it reaches the 80+ zone is never a bad idea, you can always reenter if necessary, but at least you have locked in some profit.
This is why Pyramiding orders is always a good strategy. You may miss some of your entries and have a smaller total position, but you get a lower average entry. I added a little more to my position on this drop. We may continue to see sideways action on ZRX until BTC finds a bottom.
IF ZRX drops below that lower support (teal line) it would be a bearish signal for me and I would stop out of my position.
To play this trade conservatively Turn on the 5 and 20 Moving averages and wait until they recross to enter. They previously issued a sell signal and now we are watching them for a buy signal:
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It just got interesting:
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Two take profit targets but, approaching the third, next stop after that is ATH and then potential price discovery.
46% profit in 3 days on this one so far. Coinbase announcement caused this to play out faster than it would have otherwise. I have bought back my profit each time we broke profit zone and successfully retested as support.
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I collected 10% profit on the trade at this level.
ZRX is still in a strong bullish trend, but is facing a significant Resistance level here around 0.00018. If it can break above and turn this level into support, next profit target is previous ATH.
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Momentum is still pointing down. As long as it hold this 4hr cloud and/or this trend, The trade is active. Last time price dropped it did this same pattern essentially - with a drop below the cloud that touched (created actually) the current trend. But keep in mind local trend and momentum is pointing down. Entering here to the trend is your hail-mary knife catch on this one and stopping out if it goes too far below (stop out at break even on trade at the very lowest). If we drop below that trend I might close the rest of my position. Not sure yet. I have been buying the bigger dips on this one for a long time, and they have always paid off for short or long term trades.
It really needs to hold this area though, or it will certainly go sideways/drop back toward the lower trend
I would like to see it pop back up soon and close the daily above that 20ma. The close below is technically an exit signal. But as you can see, it did this same thing before and then popped up.
I collected 10% profit on the trade at this level.
ZRX is still in a strong bullish trend, but is facing a significant Resistance level here around 0.00018. If it can break above and turn this level into support, next profit target is previous ATH.
ZRX is still in a strong bullish trend, but is facing a significant Resistance level here around 0.00018. If it can break above and turn this level into support, next profit target is previous ATH.