Bitcoin has been on a nice run that looks like it is starting to top out on the longer term time frames like the daily. But according to the Logical Trading Indicator V.1, we are still in an uptrend.
My trading rules that I set for myself states that I am only looking at LONG opportunities on the short term time frames when the larger trend is still in an uptrend. Basically don't trade against the trend, or the other old saying, the trend is your friend.
I am closely watching as well as have alerts set on the daily time frame to let me know when the trend changes. This lets me know to change my directional strategy when looking at my shorter term trading on the 5min and 15min charts.
So until we get the daily candle closes below the basis line of the bollinger band and we get a sell signal flashing, this confirms the new trend. That means the my short term trading goes from LONG only to SHORT only.
When I am in a LONG trend, I look at the BUY signal as my entry and SELL signal as my absolute stop loss and position exit. And when I am in a SHORT trend, I look at the SELL signal as my entry and a BUY signal the as the stop loss or position exit. The Logical Trading Indicator V.1 works on a trailing stop loss strategy to try and pull out as much profit from a move as possible.
Good luck out there and this is by no means financial advice. This is just the way I work my trading plan and how I use my tools to do it!
My trading rules that I set for myself states that I am only looking at LONG opportunities on the short term time frames when the larger trend is still in an uptrend. Basically don't trade against the trend, or the other old saying, the trend is your friend.
I am closely watching as well as have alerts set on the daily time frame to let me know when the trend changes. This lets me know to change my directional strategy when looking at my shorter term trading on the 5min and 15min charts.
So until we get the daily candle closes below the basis line of the bollinger band and we get a sell signal flashing, this confirms the new trend. That means the my short term trading goes from LONG only to SHORT only.
When I am in a LONG trend, I look at the BUY signal as my entry and SELL signal as my absolute stop loss and position exit. And when I am in a SHORT trend, I look at the SELL signal as my entry and a BUY signal the as the stop loss or position exit. The Logical Trading Indicator V.1 works on a trailing stop loss strategy to try and pull out as much profit from a move as possible.
Good luck out there and this is by no means financial advice. This is just the way I work my trading plan and how I use my tools to do it!