Making money by only trading ONE pattern in crypto

Seems to be going well!

What sort of volume are you trading at when you sell on a trade making 0.6%? Normally I get pressured into selling big chunks of my portfolio at once because otherwise the fees really start to add up.

NotSoAverageJoe said:

I shorted that dump and made somewhere around 200% profit from that. To celebrate I bought a new keyboard for my computer, did I mention I bought it with BTC?

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How are you able to do so well with shorting? I've always looked at shorting as just selling the alts that I have and buying them back at the lowest point, but to earn 200% it would have to go down 66.6%, right?

I know in real trading people often borrow stocks to short, is that the same concept in BTC?

Are the fees not too high to scalp bitcoin? I used to scalp sports markets but not looked at doing it with bitcoin yet

Update #6:
Last couple days I've been trying to scalp BTC, with some success but also a lot of failure. My biggest issue is selling too early while scalping, I do short trades with 50x leverage. Now when I think about I think I sell too early because I'm playing with too much money. Even a $10 difference can feel a lot when you're constantly watching the price (especially on leverage), that's when you get emotional and stop trusting your TA and sell at a loss.

Just today I placed a 50x leverage short on BTC, it went up $10, I sold. What happened in the next minutes? Price went down and I missed out on a opportunity to make 86% profit. I know hindsight is 20/20, but I'm starting to see this pattern on most of my trades. This is something I have to overcome, I just don't know how. Let me know if you have any tips.

In other news, I managed to trade BCH a couple of days ago and gained a quick 3% in a matter of minutes.

Trade update:
Total: 6
Successful: 5
Failed: 1
Profit: 6.21%

As I understand, the triangle method is about looking for periods of price consolidation (tendency to stick around a certain level) and then movement outside that price that indicate a tendency towards a future different price level. You can hopefully jump into the movement to the new level before it gets there.

Are you happy with the volume of trades in all currencies, such that one participant can't influence the market price too much? Price volatility because of low volumes would be something I would worry about.

Over what period are you looking at price movements, such that you're happy a level is reached?

Good luck in your journey.

Unreliable Witness said:

As I understand, the triangle method is about looking for periods of price consolidation (tendency to stick around a certain level) and then movement outside that price that indicate a tendency towards a future different price level. You can hopefully jump into the movement to the new level before it gets there.

Are you happy with the volume of trades in all currencies, such that one participant can't influence the market price too much? Price volatility because of low volumes would be something I would worry about.

Over what period are you looking at price movements, such that you're happy a level is reached?

Good luck in your journey.

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Yo man!

I'm not gonna lie, I have a hard time understanding what you mean. But I'll do my best to answer your questions.

The triangle method is simple, it looks at how price moves. Imagine that you were to throw the price into a funnel which gradually gets smaller, at the end the price is so packed it has to explode somewhere. This explosion usually leads to an upward movement, but there are of course times where this patterns fails by dropping or going sideways. The best way I've found so far is to spot the pattern early and buy near support levels.

I try to trade cryptos that have a bigger volume, not only because it's harder to manipulate, but also because it's easier to get orders filled. If there's too little volume, you might get stuck in a trade because no one wants to buy your order.

The triangle works on all time frames, but the bigger the triangle, the bigger the movement (usually).

Update #8:
Had no clue what to look for really today, so jumped onto http://coinmarketcal.com/ and checked news. Saw that LSK was getting some news today, checked the pattern and there it was, the symmetrical triangle. I jumped in near the bottom and sure enough it spiked up about 10%, i sold at about 7.6%. I expected it to higher due to the upcoming news, maybe it will moon during the conference. Eiether way I'm happy with my trade.

Trade update:
Total: 8
Successful: 7
Failed: 1
Profit: 19.81%

Gl with this journey, cryptos is a damn wild ride lool. I think its still in its infancy so now is a good time to jump in. I like that your sticking to a plan and a proper pattern to trade. Too many times I see people full of indicators on their charts not knowing what they mean its alarming.

NotSoAverageJoe said:

The triangle method is simple, it looks at how price moves. Imagine that you were to throw the price into a funnel which gradually gets smaller, at the end the price is so packed it has to explode somewhere. This explosion usually leads to an upward movement, but there are of course times where this patterns fails by dropping or going sideways. The best way I've found so far is to spot the pattern early and buy near support levels.

I try to trade cryptos that have a bigger volume, not only because it's harder to manipulate, but also because it's easier to get orders filled. If there's too little volume, you might get stuck in a trade because no one wants to buy your order.

The triangle works on all time frames, but the bigger the triangle, the bigger the movement (usually).

Click to expand...

Generally with trading, if there are few people in the market (and there are few transactions - low number of trades), then prices are likely to fluctuate more. The theory on which the triangle method is based is more likely to hold where the commodity is traded by many people.

Time is important because if you're trying to judge whether the price is moving from a stable level, you need enough trades to establish whether any given price is stable. Obviously, the more often the trades, the more quickly you can establish whether the stable level has been reached. You only need three points to draw a triangle, but if you have 2,000 points lying in the lines of the triangle, a stable level is more likely to be appearing.

That's what I was interested in - whether you are using this method only with the more popular coins.

Mmmmmm I like triangles <3 Good luck OP !

Update #9:
Yesterday BTC was forming a triangle on the 15M chart, I bought low and it was starting to look good but then all of a sudden it took a dump on me and triggered my stop loss. A total loss of 1.5%, oh my gosh!

Trade update:
Total: 9
Successful: 7
Failed: 2
Profit: 18.31%

good luck with journey.

Following, good luck!

Great Journey. Who is your broker?