Analysis of MA Crypto Indicator
BTCUSD Trend Identification
The trading moving average technical indicator can be used as an indicator for generating signals. A buy or sell crypto signal is generated when bitcoin price either moves above or below the Moving Average, respectively.
If the Moving Average is heading upwards in diagonal manner then the general market trend is upwards.
If the on the other hand the Moving Average is heading downward in diagonal sort of manner then the general price trend is downwards.
Upwards Bitcoin Trend/Bullish Trend
If the Moving Average is heading up, then the bitcoin trend is upward & the signal generated is a buy/bullish bitcoin trade signal.
As long as the bitcoin price is above the moving average then the bitcoin trend will remain as an up-ward trend. The MA will act as a 'support zone' and bitcoin price action of chart candlesticks should not close below the Moving Average.
Buy Signal
When the bitcoin price goes above the Moving Average and closes above the MA, a buy bitcoin trade signal is generated.
BTC/USD Crypto Traders, that want to confirm the bitcoin trade signal before implementing it, should wait until the MA line turns and starts and begins to move in an up-ward bitcoin trend direction. It's always best to wait out for the confirmation signal to reduce odds of a btcusd crypto whipsaw.
How to Day Trade Bitcoin: A Detailed Tutorial to Day Trade Methods
Downward Bitcoin Trend/Bearish Market
If the Moving Average is heading down, then the bitcoin trend is downwards & the signal derived and generated is a sell/short bitcoin trade signal.
As long as the bitcoin price is below the MA then the bitcoin trend will remain as a downward bearish Bitcoin trend. The MA will act as a "resistance level" & bitcoin price action of candlesticks should not close above the Moving Average.
Sell Signal
When the bitcoin price moves below Moving Average and closes below the moving average, a sell bitcoin trade signal is generated.
Those who want to confirm the signal should wait until the MA line turns and begins to move in a downward direction. This will minimize the chance of trading a btcusd crypto currency fake out.
Down-ward Bitcoin Trend - How Do I Day Trade Bitcoin: A Detailed Tutorial to Day Trade Methods
Bitcoin Range Market signals
Range Bitcoin Market signals can also be identified using the MA Bitcoin Indicator.
MA Cross-over Method Strategy
Moving Average crossover method is also another signal generation strategy that is more favored by bitcoin traders compared to the above signal generation strategy method. MA cross-over bitcoin strategy is also the simplest form of a bitcoin system widely used by online traders. This Moving Average crossover method is combined with other indicators to form more complex bitcoin systems & bitcoin strategies.
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