Making a BTCUSD CryptoCurrency System That Works
When creating your own bitcoin system, there are a couple of things to keep in mind. Your bitcoin strategy needs to be-able to identify new Bitcoin market trends, while at the same time making sure you do not to get faked out/whipsaw signals. Real trick is, once you have created a bitcoin system that works for you, stick to it. Being disciplined will help you a lot in becoming successful in cryptocurrency.
Before BTCUSD CryptoCurrency on a live btcusd crypto account, you've to figure out what strategy works for you. It's good to know in what crypto time-frame you're going to be working in, & how much you're willing to risk once you begin btcusd bitcoin crypto trading online. All these factors should be factored in, & should be written down within your btcusd plan. A good place to test this bitcoin plan would be on a free practice demo trading account. This is where you test out your bitcoin cryptocurrency trading strategies risk free without investing money to figure out which strategy is best fitted for you.
So, now how can a trader like you come up with a "good bitcoin system" or the "best bitcoin system"?
To create a good trading strategy the first thing to do is to define your aim or goal:
The following examples illustrates a goal and explains the rules of how to achieve that objective
BTC/USD Crypto Trade Goals
1.Identify a new bitcoin trend
Moving average cross-over method bitcoin strategy is the most widely used strategy to identify a new trend. Time to open a long or short trade is determined when 2 moving averages indicators cross over or cross under each other.
2.Confirm the new bitcoin trend
RSI(RSI) Indicator and Stochastic Oscillator Crypto Currency Indicator are the most often used bitcoin indicators to confirm a Bitcoin trend.
Indicator based Strategy
The best type of a bitcoin method is one that is indicator-based. You will find it straight forward to generate the signals & thus less error-prone on your part & this will help you as a trader to avoid market whipsaw signals.
There are several things we want to achieve when creating/developing a BTCUSD system:
- Find entry points as early as possible.
- Find exit points securing maximum gains.
- Avoid fake entry & exit signals.
- Proper BTCUSD Crypto Trade Equity Management Strategies
Accomplishing these four goals will result in a profitable bitcoin strategy that works.
The last piece of info needed, is deciding how aggressive you're going to be when entering and exiting & getting out of a trade. Those traders who are more aggressive would not wait until the chart candle closes and would enter as soon as their crypto indicators match up. But most traders would wait til the btcusd chart candle of the time-frame they are using has closed, to have more stability when entering the bitcoin market.
To get profits out of the btcusd market you need to develop your own profitable trade system: a technique that will generate profitable signals. You need to have your own bitcoin strategy which will help you as a trader achieve your financial goals. Sometimes the best trading systems are the ones which you build on your own. No need for you to keep searching online for the best systems or for btcusd crypto systems that work, this site provides you with all the bitcoin tools required to help you as a trader & lesson you on how to create your own bitcoin systems.
Illustrated Below is an illustration of a Bitcoin trade system based on RSI, MACD & Stochastic.
Bitcoin System - Best MT4 Examples Systems
The trading system example above is comprised of four indicators in total, all of these generate Bitcoin trade signals using different strategies, the MA will generate signals using the MA cross over method shown, the RSI indicator, Stochastic indicator and MACD use different trading analysis to generate the long and short signals such as illustrated in the above exemplification. How to generate these Bitcoin signals is discussed in next lesson (on the sidebar navigation study trading guides menu under key concepts).
For new traders, it's difficult for them to develop their own btcusd strategies since they don't have much knowledge about the bitcoin crypto market. However, this learn bitcoin web site will explain how a beginner bitcoin trader can create their own free bitcoin system in just seven easy guidelines. Best strategy is the one you create yourself & learn how to trade the btcusd market with it.
Main advantage of creating your own free bitcoin systems is that you will know how to make profits by yourself - & not rely on other peoples efforts.
In the next btcusd crypto tutorial located on the sidebar navigation learn tutorials menu below the bitcoin key concepts will show to you how to create a btcusd crypto system like the one above, write it's btcusd crypto rules and how to backtest the system on a practice practice account before using it on a real account.
4 Explanation Examples of Free BTCUSD Systems
Example 1: The MA(Moving Average) Crossover Strategy
The moving average indicator crossover method uses 2 moving averages to generate Bitcoin signals. First MA uses a shorter period and the second is a longer period.
MA Crossover Strategy - MA Cross over Strategy
This above method is referred to as the MA cross over method because btcusd signals get generated when the 2 averages cross above or below each other.
Bitcoin System Example Template - Short and Long signal Generated by Strategy
A buy crypto signal or going long trade is derived and generated when shorter moving average indicator crosses above the longer moving average indicator (Both MAs Going Up).
A sell cryptocurrency signal or a going short trade gets generated when shorter average indicator crosses below longer moving average indicator (Both MAs Going Down).
Example 2: Stochastics Bitcoin Strategy
Stochastic indicator can be combined with other trading indicators to make a system.
- RSI btcusd crypto indicator
- MACD bitcoin cryptocurrency indicator
- Moving Averages btcusd crypto indicators
Systems Example - Best MT4 Examples Systems
Short Signal or Sell Signal
How the short sell Crypto Currency signal was generated
From our bitcoin rules the short signal is generated when:
- Both MAs Moving Averages are heading down
- RSI is below 50
- Stochastic moving downwards
- MACD heading downwards below centerline
Short signal was derived and generated when all the written bitcoin crypto rules were met. The exit signal is derived & generated when a bitcoin signal in the opposite direction gets generated.
The good thing about using such a method is that we're using different types of bitcoin indicators to confirm the signals and avoid as many fake out whipsaw signals as possible in the process.
- Stochastic - btcusd crypto momentum oscillator
- RSI - btcusd crypto momentum oscillator
- MAs Technical Indicator - btcusd crypto trend following technical indicator
- MACD - btcusd crypto trend following oscillator
Based on the crypto chart time frame used - this trading strategy can be used as BTC/USD Crypto scalping system when the minute crypto charts are used or as a Crypto day bitcoin crypto system when hourly cryptocurrency charts are used.
Example 3: System BTC/USD Crypto Example
This system is fully elaborated within the bitcoin plan on the btcusd plan course on this learn bitcoin web site under key concepts section located on the right navigating menu.
Chart Time-Frame
1H bitcoin chart
Trading Technical Indicators that spot a new bitcoin trend
MA Crossover Indicators Strategy
Indicators which confirm the btcusd crypto trend
RSI
STOCHASTIC OSCILLATOR technical indicator
Long Entry - Buy Signal
1. Both Moving Averages(moving averages) moving up
2. RSI is above 50
3. Both stochastic lines going up
Short Entry - Sell Signal
1. Both Moving Average pointing down
2. RSI below 50
3. Both stochastics heading down
Exit Signal
1. Moving Average gives in the opposite trend signal
2. RSI gives and generates in the opposite market trend signal
Money Management in BTCUSD CryptoCurrency Trading
StopLoss - 35 pips
Take Profit BTC/USD Crypto Order - 70 pips
Reward : Risk 2:1
Example 4: New Gann Swing BTCUSD Chartist Plan
The Gann Swing Oscillator Indicator is meant to be used in combination with the Gann HiLo Activator and Gann Trend to form a complete strategy commonly referred to as the - 'New Gann Swing Chartist Plan'. Within this method the Gann Swing Oscillator is used to help identify market swings for trading only within the prevailing market bitcoin trend is shown by Gann Trend.
Displayed Below is examples of New Gann Swing Chartist Trading Plan
Gann Chartist Plan - MetaTrader 4 Template Strategy
More Guides & Courses:
- BTC USD Candles Patterns Trading Indicator
- How to Download MetaTrader 5 BTCUSD Platform/Software for Mac PC
- Trade in MT4 Download BTCUSD Chart Templates
- What Happens in BTC USD Trade after a Trendline is Broken?
- BTC USD Trade Find BTC USD Trend Reversal Patterns in BTC USD Chart
- What Happens in BTC USD Trade after a Hammer Candles?
