What I learned InTrading - The "quarter-part" tip

in #cryptocurrency6 years ago (edited)


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I call this the "quarter-part" trade tip...

Take a number and divided by 4...

I mean any number...even a decimal like 1.67... 0.67, 0.07

So for the sake of simplicity let's take number 1

1/4=0.25

So now let's illustrate this in a linear form

0 - 0.25 - 0.5 - 0.75 - 1

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now in a circular form

0=1 - 0.25 - 0.5 - 0.75 - 1=0

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What I am trying to demonstrate here is the trading cycles in both downtrend and uptrend markets meaning:
If a coin, in a downtrend, goes to $1 then it can spike from there in an uptrend movement or it can go below the $1 mark and then eventually to 0.75 where it can bounce from it or go below it and so on to 0.5 and 0.25 till the cycle repeats at 0=1

The same goes for an uptrend market... 1 ---> 1.25 ---> 1.5 ---> 1.75 ---> 2....and so on and forth

the key here is to guess the trend of the market first before applying this method...


You can apply this, like I said, on whole number as well as on decimals for example if you take 74 satoshy ..

coin = 0.00000074

First thing we have to see the market trend like I said...

Then if we decide that it is going down then 74 satoshy already broke the 0.75 quarter and it will go eventually to the 50 satoshy or 0.00000050

Instead if we feel that he market is going up then we have to wait and see if it breaks the 75 satoshy to call for the next stop at 100 satoshy...
I am hoping I am making sense here...

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Ok so let's apply this to a real situation, let's take BTC for example...

Here we have a 6,428 BTC in a downtrend market after what it looks to be a big dump in the market...it is moving sideways now and still didn't recuperate from the fall so I assume that we will have a small bounce to 6,450 or higher and now it is time for me to sit back relax as I watch it through the day...
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After almost 12 hours we have a 6,480 BTC price tag surpassing the 6,450 and 6,475 which suggest me that we are going to 6,500 maybe after a small dip to 6,450 again...
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Of course that won't count if we have a single handed big dump from some players which could capitulate the price to as low as 6,300 - 6,250 which could bring us back to the 6K again since the news around the markets aren't even helping much..

Just heard the rejection of 8 ETFs... so...

In the end this is how I maintain my sanity in this mess playing it quarter by quarter and watching the trends and news...

If you wanna know what I personally feel about all this, well, I believe that the attempts to bring BTC down are much higher and the odds of a 3K BTC becomes more and more a possibility each day so I feel and frankly wait for a BTC dump by major players like Mt. Gox and that could happen NOW or NEXT year by this time when he will be able to sell his BTC, by law...assuming that law is active of course because some say he could sell it right away so keep that in mind...

That's why is always wise to keep vigilant and hedge your investment ...

this post is reflecting how I operate inside the markets and in no means should be taken as a sound trading technique or advise

Thank you for reading

ky

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