STEEMIT CRYTPO ACCADEMY S5W3:: HOME WORK POST FOR PROF. @lenomc21:: ON:: |PERFECT ENTRY| USING STOCHASTIC OSCILLATOR + 200 SIMPLE MOVING AVERAGE.

There are several ways of defining/giving meaning to what is known as market strategy. For me, I will start by saying, perfect entry strategy can simply be said to mean well laid down plans of an investor/crypto trader which enables/guides him/her in ways to buy and sell crypto assets which can enable them to meet up with the new and challenging market of the assets.

This on the other hand can be seen as the guidelines set by the trader/investors which gives them the enablement to interact with market prices of the various assets that is been traded at a given period and also, enabling them to meet up with the set aims and objectives of the traders and allowing the with leverages to set up a strong and new relationship with the new market.

Hence, under the perfect entry strategy, there are key terms that are to be considered very important. These are henced discussed in the subsequent paragraphs below.

Trend Determination/Determination of Trend:
The first port of call to fall to or check to effect a successful trading strategy is simply for the trader to be able to run a background check and understand the movements of the trendlines that are present in the market. Therefore it is important for a trader to, first of all, determine/know what type of trend the market is simply having at that very time to know it is a Bullish Trend (if the market is trending Upward) or if it is a Bearish Trend (If the market is trending Downward). This is a very important concept to keep not of. For the bullish trend, it is important to know that the structures formed are a successive combination of the HIgher highs and the Higher Lows. Similarly, the Bearish structures are a successful combination of Lower highs and lower lows.
EXAMPLE 1

[screenshot taken from tradingview]

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Confluence of Japanese Candlestick with 200 moving average:
Only identifying the trend in the market price of an asset is just a page out of the king's note, it does not guarantee 100% success hence there are other methods too which are hence been worked alongside these already identified trendlines.
Once those trendlines have been successfully identified the next place to look at on the chart is to simply put our eyes on the area of confluence where the prices are near the 200 periods moving average.

It would be important to know that the already formed candlesticks at this region of the 200MA (moving average) are very important and have to be watched carefully with keen attention. The nature of the candlestick present for this very experiment is simply a very smallish one which therefore stands to mean that there is no current momentum in the price movement of the asset. This would be illustrated in the chart below.
EXAMPLE 2

[screenshot from trading view]

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There are numerous amount of candlesticks patterns to use while performing a trade for a successful trading strategy. Hence, for this lesson, I will be using the Hallow candlestick pattern. For the trading strategy to be perfect, the candlestick is expected to be smallish in size to be able to touch or form at the 200 periods MA.

[screenshot from trading view]

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Since the candlestick pattern that is expected to form around the 200 MA is a smallish one in nature and hence this will simply be indicated that there is no price movement momentum present at that time. That is to say, the pace at which the buyers and sellers had used to enter the market had depleted.

Hence, with a perfect trading strategy, I will therefore suggest the HALLOW CANDLE STICK PATTERN. The reason has been that this candlestick is smallish and since it has to form a price chart around the 200 MA point this would be the best fit for such an operation. This is best explained in the chart below.

Entering the market can simply be said to mean the act of carrying out the first order of buying or selling circle in a crypto market. The buy order in a crypto market can be seen as the act of buying a crypto asset when the price had just begun to rally up when there is an uptrend in the market price.

Also, a trade that exists can simply be defined as that price in which the trader deem confident in closing a market.
Hence for this section, there are various criteria to note before entering a crypto market or at the exist of The market. All these are explained in the subsequent paragraphs below.

• It would be advisable to enter a market according to the market trend: What should be the first port of call for every trader is simply knowing how trending the market price of that particular asset there wishes to trade. Beena's able to pick the right asset would therefore put them on advantage. This would simply be choosing a plan that has a very long bullish trend and letting the opposite be for the bearish trend (that is a short bearish trend).

• Another very important thing to do is to set a Reasonable target price: The trader should be able to know what he/she wants. This should be set and kept at a constant without fluctuating. Hence with a target goal, it would therefore make the trader work towards achieving it.

• Another very important criterion to be met by a crypto trader for entering and exiting a trading market is simply for the trader or investor, it would be wise to enter the market with a fixed stop loss and also with an existing stopped. This would therefore enable the trader to have at least an insight into how to trade the market. This would simply help the trader to know when the market price is not in his favor and therefore know when to exit the market.

• Buying entry: With all criteria been met, when the chart line (i.e the Hallow candlestick) meets at the 200 MA, the entry should be done immediately at that point. This shows the best time to enter the market.

[SCREENSHOT FROM TRADINGVEIW]

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*For Sell: Since the 200MA is been utilized, it would be wise to take profit immediately from the price of the asset ranges over the 200MA scale. This simply means that the small candles that are been formed from the hallow candlestick pattern indicate resistance in the price of the market so it is, therefore, advisable to sell for the next trendline to come would likely be bearish.

[SCREENSHOT FROM TRADINGVEIW]

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