On 001-IOTUSD trade idea, I was looking to go long but kept my eyes off the ball after it broke to the downside on July 24th. Then I posted again about IOTUSD when I missed the massive spike on my trade journal. The classic and most basic setup I was looking for is to enter at the retracement (shown in the orange zone)
To say the least, if you are not decisive, then you miss it. I won't record this in my next journal post as I am moving on to the next IOT USD trade opportunity:
Anticipating the Break Out of the Daily Resistance
Unfortunately Tradingview does not chart Volume Profile on IOTUSD going as far as the Bitfinex trading platform does. So I am missing some info, but by looking at the daily, I can pretty much tell there's thin air above 0.31. This time, I will setup an alert on the chart when it touches this level. I do too have a 9-5 job, can't always be trading :). I tend to update each trade idea on this same post; if you'd like me to keep you updated on this idea as it develops, please let me know (say keep me updated in the comments) and when I post, I will mention you in the post so you can follow the trade.
This scenario looks for the rejection lower, at the top of the spike. If it happens, it won't linger around there for long, so I need to be decisive in that moment. Enter at the base of the green arrow, if missed can try to enter at the next green arrow.
Break of the top of the wedge, wait until it retest broken resistance and enter at the bounce.
My Own Mental Notes:
- Look at Volume. If entering for long at this areas, it needs to be convincing. Beware of fake-outs.
- Before entering (preferably scaling in if possible), look at BTCUSD chart. Assess trading environment
- Always use Stop Loss.
Thanks for reading this post, if you have any questions or comments send them my way. Until my next post & Happy Thursday.