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Limitations of Secondary Indicators

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BINANCE:BTCUSDT   Bitcoin / TetherUS
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(BTCUSDT 1W chart)
It rose and closed above 43823.59 for the first time since December 04.

After 5 weeks, it is finally showing signs of upward progress.

Accordingly, if it falls below the 43160.0-43823.59 range and shows resistance, a stop loss is necessary.


The 43823.59 point is the HA-High indicator point on the 1M chart.

Therefore, I think it will be a test of whether it can pass the first hurdle to start a major bull market.


Currently, the HA-High indicator on the 1W chart is formed at 59370.07.

Therefore, in order to pass the second point for the start of a major bull market, the HA-High indicator on the 1W chart must rise or higher.


It is considered normal if the HA-High indicator of the 1W chart and the HA-High indicator of the 1M chart are interchanged, but in fact, the HA-High indicator is an indicator for trading and has nothing to do with normal or reverse arrangement.

Since the HA-High indicator on the 1W chart is at a fairly high price, it would be better to shake it up and down to create a new HA-High indicator, but I don't know that.

Therefore, there is a possibility that it will continue to rise and touch the HA-High indicator of the current 1W chart.


In any case, if the M-Signal indicators on the 1D, 1W, and 1M charts continue to align, the coin market will maintain an upward trend.

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What I want to talk about is the limitations of auxiliary indicators.

Secondary indicators are most effective when prices are moving sideways or have just broken out of a sideways range.

In addition, if the price fluctuates sharply or continues to trend in one direction, the secondary indicator will appear incorrect.

The phenomenon is expressed as divergence.

Therefore, it is recommended to use secondary indicators only when the indicator is in a sideways section or has just exited a sideways section.

After that, you should use the indicators displayed in the price chart section.


In the future, we hope that you will not miss a good opportunity by referring to the movements of secondary indicators when the price falls sharply or deviates from the current box range.


Have a good time.
thank you

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- The big picture
The full-fledged upward trend is expected to begin when the price rises above 29K.

This is the section expected to be touched in the next bull market, 81K-95K.


#BTCUSD 12M
1st: 44234.54
2nd: 61383.23
3rd: 89126.41
101875.70-106275.10 (when overshooting)
4th: 13401.28
151166.97-157451.83 (when overshooting)
5th: 178910.15

These are points that are likely to encounter resistance in the future.
We need to see if we can break through these points upward.

Since it is thought that a new trend can be created in the overshooting area, you should check the movement when this area is touched.


If the general upward trend continues until 2025, it is expected to rise to around 57014.33 and then create a pull back pattern.
1st: 43833.05
2nd: 32992.55

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** All explanations are for reference only and do not guarantee profit or loss in investment.

** Trading volume is displayed as a candle body based on 10EMA.
How to display (in order from darkest to darkest)
More than 3 times the trading volume of 10EMA > 2.5 times > 2.0 times > 1.25 times > Trading volume below 10EMA

** Even if you know other people’s know-how, it takes a considerable amount of time to make it your own.

** This chart was created using my know-how.

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Comment:
(BTCUSDT 1W chart)
After closing above the 43823.59 point, it shows an immediate rise above 46431.50.

Accordingly, the key is whether it can receive support at the 46431.50 point and rise to around 53256.64.

(1D chart)
The key is whether it can rise beyond the second resistance zone.

The next period of volatility will be around January 16th.

If the price rises above the second resistance zone and maintains it, it is expected that an upward movement to the 53256.64-56150.01 zone will begin.


Since it has risen above the HA-HIgh indicator of the 1M chart, if it rises above the HA-High indicator of the 1W chart and maintains the price, it is expected to stand at the starting line for a major bull market.

However, as mentioned in the idea that “the key is whether the 4-year cycle pattern can be continued”, there is a possibility that it will rise after creating a pull back pattern, so you need to think about a plan to respond to this.

Even if a pullback pattern is created, it is highly likely that the price will not fall that much, so I don't think there will be any real way to respond.

At this time, what is important is whether it is supported around 43160.0-43823.59.

If the price falls below this psychological resistance point, a stop loss is required.

The reason a stop loss is necessary is to seize a good opportunity to create a deep pull back pattern.

If you have enough cash, there is no need to stop loss.


Since BTC has risen above the psychological resistance zone, altcoins are expected to rise.

However, if BTC dominance rises, altcoins are likely to move sideways or show a downward trend, so caution is required when trading.

Since it has risen above 46431.50, it should be considered that the mid- to long-term second purchase of altcoins has passed.

However, since there are more altcoins that have recorded a larger decline than expected, it is possible to trade to increase the number of coins (tokens) corresponding to profits due to the fluctuation range.


The time to buy in earnest is when the price rises above the HA-High indicator on the 1D, 1W, and 1D charts and maintains the price.
Comment:

USDC is showing a gap decline.

A falling gap means that funds are flowing out of the coin market.

Therefore, it appears that profits will be realized.


However, the coin market is likely to maintain an upward trend until a gap decline occurs in USDT and the coin market switches to a downward trend.
Comment:
(USDT 1D chart)
USDT continues to generate gaps and maintains a rise.

(USDC 1D chart)
The USDC has fallen gap.

As a result, USDC seems to have leaked funds.


(BTC.D 1M chart)
You need to go up to 56.78-62.47 and check if you can start falling.

In order to start a major rise, it is expected to be able to decline after 61 or more.

(USDT.D 1M chart)
If USDT dominance is maintained below 6.39, the coin market is expected to maintain the rise.


The rise is the rise in which most of the coins (tokens) can update the ATH.

To do this, the BTC Dominations must remain after the rise of 61 or more, and USDT dominance must be maintained at 5.89-6.39 or less.

At the same time, if USDT Dominations begins to fall below 4.97, it is expected that the rise will begin.


(BTCUSDT 1D chart)
For the first time, I tried to break through the second resistance section.

It is necessary to make sure that the secondary resistance section can be exceeded while sideways within the second resistance section.

The next volatility period is around January 16.

Even if it fails to break through the second resistance section, it is expected to rise above the second resistance section around January 31.


If the psychological resistance section falls below 43160.0-43823.59, it sells some of Altcoin, which is expected to lose a large loss, and sells Altcoin, which is a profitable as it is a loss.

In this way, the actual income rate should be matched to 0% or more.

That way, even if the price rises or falls, it will be less regret even if the movement comes out in any direction.
Comment:
USDT's gap has changed to rise, and USDC's gap seems to have fallen further.

Since the trend of the coin market follows that of USDT, if USDT continues to increase its gap, it is expected that the coin market will eventually continue its upward trend.

As USDC's gap decline widens, it appears to be having a short-term impact.
Comment:
(BTCUSDT 1M chart)
If the price holds above the HA-High indicator on the 1M chart, it is expected to begin an upward move to rise above 56950.56.

The 42283.58 point forms an important volume profile section.


(1W chart)
We need to see if that rise can touch the HA-High indicator on the 1W chart.

If the price is maintained above the HA-High indicator on the 1M, 1W, and 1D charts, it is believed that a major bull market is ready to begin.

Therefore, the key is to touch the HA-High indicator on the 1W chart and see what kind of movement it shows.


(1D chart)
If the price rises above the second resistance zone and holds, a rapid rise is expected to occur around 53256.64.

If this rise is maintained, it is expected to touch the HA-High indicator point of 59370.07 on the 1W chart.

If not, it is expected to form a sideways section and cause the HA-High indicator on the 1W chart to fall.

Therefore, we need to check in which direction it deviates from the secondary resistance area around January 16th, during this volatility period.
Comment:
(BTCUSDT 1D chart)
It appears to be breaking upward through the second resistance zone.

We need to check whether today's candle closes above the second resistance zone.

The next period of volatility is around January 16 (January 15-17), so if the price holds above the second resistance zone until then, it is expected to rise above 53256.64.


If the price remains above the secondary resistance zone until the next volatility period, it will be important to see support around 43160.0-43823.59.

There is a possibility that it can touch up to around 42.2K.

This is because an important volume profile section is forming around 42.2K.

Therefore, it is expected to form a strong support zone.
Comment:
USDT continues its upward trend with a rising gap.

USDC is also showing an increasing gap.

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BTC Dominus is showing a decline of more than -5% in 4 days.

It is necessary to check whether the price can be maintained by falling below 51.17.

If BTC dominance falls below 50 and USDT dominance remains below 5.89, an altcoin bull market is expected to begin.

If the USDT dominance falls below 4.97, the altcoin bull market is expected to begin in earnest.
Comment:
After a -10% drop, it is showing signs of rebound.

If the price plummets by more than -10%, aggressive buying is possible.

At this time, the rule is to buy when it is above -10%.

Otherwise, you should not buy when the price rises to -7% or -8%.

This is the method I am talking about, how to buy after excessive declines.

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These excessively falling coins (tokens) must be sold in installments when making a profit to confirm the profit.

When the price falls below the psychological resistance zone, investment in altcoins for daty trading should have been stopped.

Also, in order to adjust the profit/loss ratio among the altcoins you own, you must sell the profit-making altcoins equal to the loss rate of the lost altcoins to set the profit/loss ratio to 0% or higher.

It should have been done even if the price rose again and rose to the psychological resistance range of 43160.0-43823.59.

If you fail to respond in this way, you should wait for a rebound and sell in installments in the same manner as above when resistance appears near the psychological resistance zone.

What are the remaining coins (tokens)?
1st: 37253.81-38531.90
2nd: 32917.17-34110.32
You need to check whether it is supported and rising in the first and second sections above.

In that case, when support appears around the first and second rounds, it is time to buy the split.

The next period of volatility will be around January 16th.

However, the big drop occurred before then, so we'll have to see if it can recover around January 16th.
Comment:
Funds are continuously flowing into the coin market.

I don’t think you can beat FOMO.
Comment:
How you analyze the chart is not really important.

The important thing is how to create a trading strategy and proceed with trading in the support and resistance areas obtained through analysis.


Therefore, before studying chart analysis, you must have an established concept of support and resistance points due to the arrangement of candles and moving average lines.

Otherwise, I don't think any chart analysis technique will work properly.


A trading strategy is like know-how acquired through many transactions.

However, I am constantly telling you the standards for how to create a trading strategy, so I think you will understand it to some extent if you look at my ideas consistently.
Comment:
(BTCUSDT.P 1h)
Although it fails to touch the Fibonacci ratio point of 0.382, if it falls near 0.382 and shows resistance below 0.25, it is highly likely that it will lead to a further decline, so a countermeasure is needed.

If it is supported near 0.25 and rises, it is expected to rise above 0.382 and touch the 5EMA and M-Signal indicators on the 1D chart.

Before that, it is expected to fluctuate as it touches the MS-Signal indicator, but it is expected to eventually decide its direction by touching the 5EMA and M-Signal indicators on the 1D chart.
Comment:
(BTCUSDT.P 1h)
Price Channel indicators have converged.

Accordingly, it is expected that it will soon deviate from the Fibonacci ratio range of 0.25-0.382.

Accordingly, you need to check which direction it deviates from the 42600-43200 range.

[Example of exchange chart setup]

(Binance)
www.tradingview.com/x/S94aDxa8

(Upbit)
www.tradingview.com/x/DF6cGh3G/
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