Making a BTCUSD Crypto System That Works
When creating your own bitcoin system, there are a couple of things to keep in mind. Your bitcoin strategy needs to be-able to identify new Bitcoin market trends, while at the same time making sure you do not to get faked out/whipsaws. Real trick is, once you have created a bitcoin system that works for you, stick to it. Being disciplined will help you a lot in becoming successful in cryptocurrency.
Before trading BTCUSD Crypto on a live btcusd crypto account, you've to determine what strategy works for you. It is good to know in what crypto time frame you're going to be working in, and how much you are willing to risk once you start btcusd crypto trading online. All these factors should be factored in, & should be written down within your btcusd plan. A good place to test this bitcoin plan would be on a free demo trading account. This is where you test out your bitcoin crypto currency trading strategies risk free without investing money to determine which strategy is best suited for you.
So, now how can a trader like you come up with a "good bitcoin system" or the "best bitcoin system"?
To create a good trading strategy the first thing to do is to define your aim or goal:
The following examples illustrates a goal and explains the rules of how to achieve that goal
BTCUSD Crypto Trade Goals
1.Identify a new bitcoin trend
Moving average cross-over method bitcoin strategy is the most widely used strategy to identify a new trend. Time to open a long or short trade is determined when 2 moving averages indicators cross over or cross under each other.
2.Confirm the new bitcoin trend
RSI(RSI) Indicator and Stochastic Oscillator Cryptocurrency Indicator are the most commonly used bitcoin indicators to confirm a Bitcoin trend.
Indicator based Strategy
The best type of a bitcoin method is one that is indicator-based. You'll find it straight forward to generate the signals and thus less error-prone on your part and this will help you to avoid market whipsaws.
There are several things we want to achieve when creating a BTCUSD system:
- Find entry points as early as possible.
- Find exit points securing maximum gains.
- Avoid fake entry and exit signals.
- Proper BTCUSD Crypto Trade Equity Management Rules
Accomplishing these four goals will result in a profitable bitcoin crypto currency strategy that works.
The last piece of info needed, is deciding how aggressive you are going to be when entering and exiting a trade. Those traders who are more aggressive would not wait until the chart candle closes and would enter as soon as their crypto indicators match up. But most traders would wait til the btcusd chart candlestick of the time-frame they are using has closed, to have more stability when entering the btcusd market.
To get profits out of the btcusd market you need to develop your own profitable trade system: a technique that will generate profitable signals. You need to have your own bitcoin strategy that will help you achieve your financial goals. Sometimes the best systems are the ones which you build on your own. No need to keep searching online for the best systems or for btcusd crypto systems which work, this site provides you with all the bitcoin tools required to help you & lesson you on how to create your own bitcoin systems.
Illustrated Below is an example of a Bitcoin trade system based on RSI, MACD & Stochastic.
Bitcoin System - Best MT4 Examples Systems
The system example above is comprised of four trading indicators in total, all of these generate Bitcoin trade signals using different strategies, the MA will generate trade signals using the MA cross over method shown, the RSI indicator, Stochastic indicator and MACD indicator use different trading analysis to generate the long and short signals as illustrated in the above example. How to generate these Bitcoin signals is discussed in next lesson (on the sidebar navigation study trading tutorials menu under key concepts).
For new traders, it's difficult for them to create their own btcusd strategies since they do not have much knowledge about the bitcoin crypto market. However, this learn bitcoin web site will explain how a beginner bitcoin trader can create their own free bitcoin system in just seven easy guidelines. Best strategy is the one you create yourself & learn how to trade the btcusd market with it.
The main advantage of creating your own free bitcoin systems is that you'll know how to make profits by yourself - & not rely on other peoples efforts.
In the next btcusd crypto course located at the sidebar navigation learn tutorials menu below the bitcoin key concepts will show to you how to create a btcusd crypto system like the one above, write it's btcusd crypto rules and how to backtest the system on a practice practice trading account before using it on a real account.
4 Examples of Free BTCUSD Systems
Example 1: The MA Crossover Strategy
The moving average indicator crossover method uses two moving averages to generate Bitcoin Crypto Currency signals. First Moving average uses a shorter period & the second is a longer period.
MA Crossover Strategy - MA Cross-over Strategy
This above method is referred to as the MA cross over method because btcusd signals get generated when the 2 averages cross above or below each other.
Bitcoin System Example Template - Short & Long signal Generated by Strategy
A buy crypto signal or going long trade is generated when the shorter moving average indicator crosses above the longer moving average technical indicator (Both MAs Going Up).
A sell cryptocurrency signal or a going short trade is generated when the shorter average indicator crosses below longer moving average indicator (Both Moving Averages Going Down).
Example 2: Stochastics Bitcoin Strategy
Stochastic technical indicator can be combined with other trading indicators to make a system.
- RSI btcusd crypto indicator
- MACD bitcoin crypto currency indicator
- Moving Averages btcusd crypto indicators
Trading Systems Example - Best MT4 Examples Systems
Short Signal or Sell Trading Signal
How the short sell Cryptocurrency signal was generated
From our bitcoin crypto currency rules the short signal is generated when:
- Both Moving Averages are heading down
- RSI is below 50
- Stochastic heading downwards
- MACD heading downward below center line
Short signal was generated when all the written bitcoin crypto rules were met. The exit signal is generated when a bitcoin signal in opposite direction gets generated.
Good thing about using such a method is that we are using different types of bitcoin indicators to confirm the signals and avoid as many whipsaws as possible in the process.
- Stochastic - btcusd crypto momentum oscillator
- RSI - btcusd crypto momentum oscillator
- MAs Technical Indicator - btcusd crypto trend following technical indicator
- MACD - btcusd crypto trend following oscillator
Based on the crypto chart time frame used - this trading strategy can be used as BTCUSD Crypto scalping system when the minute crypto charts are used or as a Bitcoin Crypto Currency day bitcoin crypto currency system when hourly cryptocurrency charts are used.
Example 3: System BTC/USD Crypto Example
This system is fully described within the bitcoin plan on the btcusd plan tutorial on this learn bitcoin web site under the key concepts section located on the right navigating menu.
Chart Time-Frame
1H bitcoin crypto currency chart
Trading Technical Indicators that spot a new bitcoin trend
MA Cross-over Trading Indicators Strategy
Trading Indicators which confirm the btcusd crypto trend
RSI
STOCHASTIC OSCILLATOR technical indicator
Long Entry - Buy Trading Signal
1. Both MAs(moving averages) moving up
2. RSI above 50
3. Both stochastics going up
Short Entry - Sell Trading Signal
1. Both Moving Average pointing down
2. RSI below 50
3. Both stochastics going down
Exit Trading Signal
1. Moving Average Indicator gives opposite signal
2. RSI gives opposite signal
Money Management in Bitcoin Crypto Trading
Stop Loss - 35 pips
Take Profit BTCUSD Crypto Order - 70 pips
Reward to Risk 2:1
Example 4: New Gann Swing BTCUSD Chartist Plan
The Gann Swing Oscillator Technical Indicator is meant to be used in combination with the Gann HiLo Activator and Gann Trend to form a complete strategy commonly referred to as the - 'New Gann Swing Chartist Plan'. Within this methodology the Gann Swing Oscillator is used to help determine market swings for trading only within the prevailing market bitcoin trend is shown by Gann Trend.
Shown Below is examples of New Gann Swing Chartist Plan
Gann Chartist Plan - MetaTrader 4 Template Strategy
More Tutorials & Lessons:
- BTC USD Candlesticks Patterns Trading Indicator
- How to Download MT5 BTCUSD Platform Software for Mac PC
- Trade in MetaTrader 4 Download BTCUSD Chart Templates
- What Happens in BTC USD Trade after a Trendline is Broken?
- BTC USD Trade Find BTC USD Trend Reversal Patterns in BTC USD Chart
- What Happens in BTC USD Trade after a Hammer Candles?
