Ultimate Oscillator Bitcoin Trading Analysis and Ultimate Oscillator Bitcoin Trading Signals

Originally developed and used to trade stocks and commodities markets.

This oscillator aims at striking a balance between leading signals and lagging signals given by the common indicators.

• Leading - some indicators lead the btcusd trading market and give signals earlier than the optimum time
• Lagging - some indicators lag the btcusd trading market so far that half of the move is over before a signal is generated.

This is the balance that the oscillator aims to strike, not to lead too much or lag too much - this way the oscillator will always give a signal at the ultimate time, thus its name.

This btcusd indicator uses 3 different n-number of candlesticks and calculates the combined weighted sums of btcusd price action from these candlesticks and plots these values a scale ranging from 0 to 100. Values of above 70 are considered to be overbought levels while values of below 30 are considered to be oversold levels.

The time periods used to calculate the ultimate oscillator are 7 periods (short term trend), 14 periods (intermediate term trend) and 28 periods (long term trend).

Bitcoin Trading Analysis and Generating Bitcoin Trading Signals

This Bitcoin technical indicator can be used in generating buy and sell cryptocurrency signals using various methods.

Center line Crossover Signal

Buy Bitcoin Trading Signal - values above 50 center line level

Sell Bitcoin Trading Signal - values below 50 center line level

Center line Crossover Signal

Overbought/Oversold Levels

Overbought - levels above 70 - sell bitcoin trading signal

Oversold - levels below 30 - buy bitcoin trading signal

Divergence Bitcoin Trading

The oscillator can also be used to trade divergence cryptocurrency trading signals, below is an example of a classic bearish divergence signal.

Technical Analysis