I'm a big believer in the simple stuff. In my experience simple TA, time and time again, has outperformed the times I've taken a more complicated approach. I've learned that all I need to make an educated decision as to whether to enter, exit, or sit on the side lines is the basic stuff; Volume analysis, basic support & resistance principles and the basic chart patterns (maybe an RSI too). For you new traders out there, it's important to remember that TA never works all the time (the market can and does some crazy things), my conclusions based on TA have failed me and yours will fail you too. This premise won't change, regardless of how many indicators are telling you to buy or sell. What you can do, however, is effectively manage risk! TA puts the odds in your favor, properly managing risk will allow you to become a successful trader.
With all the new traders entering these markets over the past few months, I'm hoping this helps someone obtain the footing they need.
Moving on to DOTUSD...
This pair has had an unsurprisingly strong start to 2021 and I expect things to just be getting started. Currently, we are consolidating within a symmetrical triangle. Volume is decreasing at a health rate and a breakout out of range is fast approaching. There is no bearish divergence appearing on the RSI on the larger, more significant time frames ,and the 20 period MA is holding as support. Generally speaking, healthy consolidating patterns, such as this one, after significant moves tend to breakout in the direction on the previous move.
This analysis will be invalidated if we see a daily close below $15. Let me know your thoughts in the comments!
With all the new traders entering these markets over the past few months, I'm hoping this helps someone obtain the footing they need.
Moving on to DOTUSD...
This pair has had an unsurprisingly strong start to 2021 and I expect things to just be getting started. Currently, we are consolidating within a symmetrical triangle. Volume is decreasing at a health rate and a breakout out of range is fast approaching. There is no bearish divergence appearing on the RSI on the larger, more significant time frames ,and the 20 period MA is holding as support. Generally speaking, healthy consolidating patterns, such as this one, after significant moves tend to breakout in the direction on the previous move.
This analysis will be invalidated if we see a daily close below $15. Let me know your thoughts in the comments!