Analyzing and Demo Trading LINKUSDT using the Red Army strategy

Greetings from Nigeria 🇳🇬,
It's your favorite crypto analyst in the person of @simonnwigwe. It is a pleasure on my part to be here again to share with you all the technical analysis on the pair of LINKUSDT. I hope you will read and learn something new from it.

The crypto market is highly volatile hence to be a successful trader, you must always watch and follow the direction of the market at all times. Checking through the chart and trying to analyze it all the time plays an important role in improving your strategy.

Daily, I try to analyze and monitor the trade which I analyze to see if the market goes in my direction or against my direction. This has made me improve my analysis so well because I learned from past mistakes I may have made analyzing the market.

With that in mind, I want to share with you all an analysis I carried out using the Red Army strategy. As you all know, there are times when you just see the market greenish or reddish and you just jump in because you are certain about the direction.

Looking carefully at the market, I saw that all my watchlist is reddish as you can see from the above screenshot. This implies that the Red Armies have taken complete control of the market.

I didn't do much analysis because I already knew the direction of the market from the whitelist. I waited for the market to break the support level as you can see from the screenshot below.

The above chart shows that the market is in a downtrend and the level of support has also been broken. You can see a very strong bearish candle forming after the break of the support line.

This made me take up the market because the analysis was on a 4H timeframe which means in a lesser timeframe the candle has already closed bearish. Seeing the market in that direction I decided to introduce the sell logo as you can see from the screenshot below.

The sell logo on the chart shows clearly what I was willing to earn from the market if the market went in my direction and what I was ready to lose if the market went against me.

From the chart, you will notice that the risk-reward ratio of the trade is around 2:10 which is a proper market or trade any trader could ever think of. There are two profit levels on the trade which are the key support levels.

Seeing the potential movement of the market, I decided to demo trade the market to keep complete track of the market and see what I would be earning if I entered a line trade. The screenshot below carries the required information.

From the above chart, you will notice that if the market goes as predicted, I will be earning a total of 53.98 USD and if the market goes against me I will be losing a total of 6.11 USD which is a very good trade for anyone can take.

Finally, I also took a screenshot of the position that I opened for the trade as it contains all the information you need to know about the trade I took. The screenshot below shows the open position.

From the screenshot above, you will notice that the side is short (sell), the quantity is 10, the average fill price is 15.870, the take profit level is at 10.477, the stop loss is at 16.480 and lastly the P&L at the moment is +0.10, that is all about the open order.

After about 30M of taking the trade, I decided to monitor and see if my prediction was going well because as I said earlier, the market is very volatile and can change direction at any time.

From the above image, you will notice that the market is moving in the predicted direction and I have already made a profit of about +2.80 USD. This means that the analysis I have done on this pair is respected.

Conclusion

Most times you may not need to do much analysis before going into the market especially when you can identify red armies and green armies I.e know when the bulls and the bear are trading.

Seeing the market today, I knew the bear had it hence to maximize my profit, I just waited for the market to go below the support level and then I entered the trade. With such an entry as you can see from the above screenshot, I have already made some profit.

Remember also that trading is like meditation, patience is the key. Always wait for the market to come to you and not for you to go to the market. Learn to identify your key support and resistance level and also trade with the trend and in that way, you will be a successful trader.

Finally, I want to thank you all for reading through my post today. If you have any questions or contributions, please do well to use the comment section of this post. See you all in my next publication.

Disclaimer: ^{This post is made as an education and not investment advice. Digital asset prices are subject to change. All forms of crypto investment have a high risk. I am not a financial advisor, before jumping to any conclusions in this matter please do your research and consult a financial advisor.}

NB: All images except otherwise stated are mine and taken from tradingview.com website