Steemit Crypto Academy Week 5 Task: SuperTrend Indicator | lecture by @stream4u
I welcome everyone to another Steemit crypto academy week, it’s the
fifth week already that has been so filled with numerous cryptocurrency knowledge that exposes us the more to the world of cryptocurrency. I learned from the crypto professor @stream4u where he lectured about SuperTrend Indicator and I will talking about the task associated with the lecture of the professor.
What is A SuperTrend Indicator?
SuperTrend is a technical indicator used on asset charts which is a simple line indicator that follows the price of an asset on the chart. Also note that most technicalindicators are not always accurate and SuperTrend is one of the simplest indicators which has a good success rate, also slight false error sent sometimes.
SuperTrend line can be seen above or below the current price of an
asset with indicators to buy and sell such that when the SuperTrend line is above the current
price of an asset indicates a Sell position, while, having the line below the current price of the
asset is good position to Buy. The screenshot below shows SuperTrend line on the chart of an
asset.
Uses of SuperTrend Indicator
- Used in intraday time frame (example 5 & 15 mins) to show indications for buy and sell.
- Also used for long term(1 day) indication of buy and sell.
- It gives signals on the chart that tells when to buy or sell.
Show how to set SuperTrend on Chart and what are its settings settings need to configure.(Screenshot Needed)
I will be showing the process of setting up the SuperTrend on the
TradingView Chart and the settings needed with a few steps below;
- Select the chart from the homepage of the TradingView App.
- Click indicators.
- Search for SuperTrend and Click one.
- Now you have SuperTrend on the chart.
How to change settings
- Select settings on SuperTrend.
- Make desired changes and click OK.
How SuperTrend Shows Buy-Sell Indications? (Screenshot Needed)
SuperTrend shows buy when the indicator line is below the current price of an asset and shows sell when the indicator line is above the current price of an asset. I will be showing below how the SuperTrend shows Buy-Sell Indications.
- Buy Signal.
- Sell Signal.
When We can place a Buy Trade with the help of SuperTrend Indicator? (Screenshot Needed)
According to study, buy is done when the SuperTrend line is below
the current price of an asset and this will be shown in the screenshot below;
When we can place exit/square off, sell order with the help of SuperTrend Indicator? (Screenshot Needed)
From the use of the SuperTrend indicator, it sends a signal to sell
when the line is above the current price of an asset as seen in the screenshot below;
How false indications look in SuperTrend Indicator? (Screenshot Needed)
False Indications are sometimes shown on the SuperTrend line, such
that users have to be very careful with decision making. The screenshot below shows the false
indications of SuperTrend line on Chart.
Stoploss
When using the SuperTrend to make decision for buy, assuming you entered a trade buying at a support shown on the SuperTrend line and in the next moment, it indicates sell at the first Support, do not panic to sell but rather wait using the next 2 low to your support of buy. Basically, the next 2 low to your support of buy should be a point to stop loss.
SuperTrend is a very simple and important indicator to make good
Buy or Sell decision, although, it sometimes send false signals but with a good success rate, you should consider laying your hands on this special indicator. Thanks to professor @stream4u for his great lecture and I look forward to learn more subsequently.
Special regards;
Cc: @steemcurator01
Cc: @steemcurator02
Cc: @steemitblog
Cc: @stream4u
Written by; @fredquantum
Hi @fredquantum
Thank you for joining Steemit Crypto Academy and participated in the Homework Task 5.
Please add tag #supercrypto for Homework Task 5
Your Homework task 5 verification has been done by @Stream4u.
Thank You.
@stream4u
Crypto Professors : Steemit Crypto Academy
Thank you professor @stream4u. It's my pleasure learning from you and I look forward to learning more sooner. Thank you for the awesome delivery always.