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📖 Day 1 · Quiz (Single Choic
The method I have been using is as follows: go long on pullbacks above the MA240 on the four-hour chart, and short on rebounds below the MA240 on the four-hour chart. The closer you are to the MA240 moving average, the safer it is, if the direction is correct. If a trending market develops, then always use the MA240 moving average as the stop-loss level, whether it's a rise or a fall. Sometimes, you may encounter situations where it keeps oscillating around the MA240; this can be quite bothersome. When faced with such a situation, it's necessary to use the weekly chart to determine the true trend, otherwise, oscillating back and forth can easily wipe out your capital due to stop losses. I haven’t handled this issue well myself, and diversifying accounts doesn’t help avoid emotional impulses. Of course, any Technical Analysis has its drawbacks, and mine are relatively minor. That's all I want to say. I welcome everyone to review historical trends using the MA240 on the four-hour chart as the long/short standard. I have been using it this way; when I feel lost, I will review again. For spot traders, look at the MA240 on the daily chart; this is a buy the dip and escape the peak indicator. This moving average is only effective for BTC, and is not suitable for other coins.