Thank you, Professor, @stream4u for givin me a lecture again in fourth week Although I have heard of Bitcoin mining and other crypto mining before now, I did not really have a better understanding until I attended your lecture today.
The topics is givin by the professor @stream4u is
Q1. What Is The Meaning Of Support Can Become Resistance & Resistance Become Support, When and Where set Buy trade, Chart Example?
- Market is changing continually and behaves like a living organism, it is not static. For this reason we have to be aware that the Support and Resistance Levels will change as the trends in asset prices move. These levels will vary their function, however they will continue to be levels that we will take as references.
As usual, we start with a well-defined original support and resistance levels. In the case of an upward trend in the price where the resistance is exceeded, we must first extend the resistance line and wait. If the price of the asset continues to rise for a couple of days, we will then notice that the price of the asset will tend to fall to the level of resistance.
Resistance <----> Support. SBD / USD 15min Chart; Taken from Tradingview, March 2nd 2021. Edited by me.
At this point the price will then tend to rise again, turning our original resistance level into our new support, and marking a new resistance level which we will take as a reference for our entry at the point where the Price breakout is generated.
Finally, our original support level will now be our first stoploss.
Q2. What Is A Technical Indicator? (You can explore it as much as you can, like explain its role, show anyone technical indicator from your chart and name of that Indicator.?)
2.A Technical Indicator is a visual pattern that we add on the chart and that provides us with additional information on trends previously studied under mathematical models, thus giving us a fairly reliable forecast of the asset price and allowing us to more clearly visualize the ideal times to buy or sell.
These indicators or mathematical models have been previously developed by experts in the field who have been studying market trends for some time and although they are not infallible, they are an extra help in our analysis.
Technical Indicator Example: RSI / Relative Strength Index (lenght:8). ETH / TRX Chart; Taken from Poloniex, March 2nd 2021. Edited by me.
My selected Technical Indicator is the RSI or Relative Strength Index. I think it is a very simple indicator to understand. Which shows an oscillating value of the asset price between two points (one high and one low), this value simply allows us to foresee changes in the trend in price behavior, indicating, for example, when a price is low and is optimal for the purchase or if on the contrary the price is high and is optimal for sale.
Q3. Provide your view and explore TradingView.
3.What I could observe exploring Tradingview is that it is very intuitive, which is the first thing that attracts me in an application, software, game, etc. In fact, I was able to quickly create a totally free account and almost immediately start viewing charts of different cryptocurrencies.
First Aproach. Picture Taken from Tradingview, March 1st 2021. Edited by me.
Something I liked is that I was able to set the language into my native language, Spanish.
ETH / TRX Chart, Taken from Tradingview, March 1st 2021. Edited by me.
On the contrary, something that was difficult for me was to add the Technical Indicator and set its parameters which seem not to be well calibrated by default, in fact I needed help. However, this may have been due to my inexperience with this topic and perhaps in the future and with more practice I can fully master this wonderful tool.
Some issues, ETH / TRX Chart with MA 50/200 Indicator. Taken from Tradingview, March 1st 2021. Edited by me.
Q4. What is 200 Moving Average, how and when we can trade/invest with the help of 200 Moving Average? Show different price reactions towards 200 Moving Average
200 Moving Average is an indicator which shows us the average closing value (of the last 200 days) of our asset and displays it as a line. The way the candlesticks react or behave around this line will give us an indication of how prices will behave in the future.
It tells us when an asset is in an upward or downward trend, so we can decide how to plan the operation. For example, if the price of the asset is above the 200 MA line and remains above it, then it is concluded that the upward trend of the asset will continue and it is recommended at that point to make our entry.
SBD / USD Chart with MA 200 Indicator. Taken from Tradingview, March 3rd 2021. Edited by me.
If it is the opposite case, that the price is below the line and remains there, then it is concluded that the downward trend will continue.
In the case of short-term investors (one day), we must be attentive to when the price of the asset crosses the 200 MA line, since in this case depending on whether the price crosses below or above, it is predicted with certainty that the asset will suffer a big rise (Bullish) or fall (Bearish)for a day. The crossing point will become our entry or exit indicator; (Bullish Sign for a day = Buy and then sell) OR (Bearish Sign for a day = Sell and then buy.)
Below I present a candlestick chart (ETH / TRX) and its different behavior with respect to the 200 MA line.
Different price reactions towards 200 Moving Average, ETH / TRX Chart with MA 200 Indicator. Taken from Poloniex, March 3rd 2021. Edited by me.
Thank You
Cc:-
@steemitblog
@steemcurator01
@steemcurator02
Hello @chotu1 ,
You have used the wrong tag ! Please correct it as the relevant proff will miss your work !
Thank you
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