SIACOIN CRYPTO STRATEGYSiacoin is a cryptocurrency that is based on sharing hard drive space. In essence, Siacoin provides new opportunities for everyone to deposit files much like Dropbox can store files (video, images, and documents) on the SIA network.
The advantages of Siacoin are that it uses a decentralized user-contributed sharing economy where you can essentially cut the cost of storing files online.
So, to purchase storage capacity, you can just use Siacoin tokens, and you can share your unused hard drive space.
Cryptocurrency Siacoin is currently the 34th most valuable cryptocurrency with more than $750 million in market capital. Current market Siacoin price is a steal at $0.021 per coin value.
Tradingview Indicator DMI includes ADX
The ADX indicator doesn’t tell us whether the market is going up or down, it only measures the strength of the trend. To determine whether the trend is up or down we’re going to use the Plus Directional Index (+DI) and the Minus Directional Index (-DI).
Step #1: The ADX indicator needs to be higher than 30.
The first rule needs the strength trend indicator to show a reading greater than 30.
This is the first signal that we’re about to enter into a trending period and, it is a useful information because we don’t want to enter into a market that’s not in a trend condition.
The ADX indicator will be raising in a strong bullish trend and the higher it moves the stronger the trend becomes.
Step #2: The DI indicator needs to show the +DI line above the –DI line.
The directional movement indicator gives us the direction of the Siacoin trend.
The blue line is the positive DI, while the yellow line is the negative DI. When the +DI line is above the –DI line that’s a sign of a bullish trend. When the +DI line holds above the –DI and if they are also really spread apart, it signals the presence of a strong bullish trend.
So, the reading of the DI indicator also matters, because the higher the +DI line is, the stronger the trend will be. Basically, the strength of the trend is checked twice, first with the ADX indicator and then secondly, with the DMI indicator.
Step #3: How to Buy Siacoin: Buy at the opening of the next candle once the two trading conditions are met.
A buy stop is placed at the opening of the next candle after the first two conditions are satisfied.
Most often when the ADX indicator shows a reading above the 30 level, the directional index will already show a positive trend, so we need to get ready to buy Siacoin straightaway.
Step #4: Place protective Stop Loss below the most recent swing low
The protective stop loss should be placed below the most recent swing low point. If you’re having problems identifying swing market low points simply check when the ADX indicator bottomed. Usually, the ADX indicator offers a much clearer view of the market swing points.
Step #5: Take Profit when the +DI line crosses below the –DI line
When the DMI indicator crosses in the opposite direction, we know the trend is turning bearish and we want to take profits on our Siacoin trade.
The DMI indicator is a great tool to be used for profitable trading because it provides you with fantastic exit points.
I offered 3 different exit points. 1st 1.5 to 1 risk ratio, 2nd 10 candle new low, 3rd +D1 cross below -D1
