The strategy focuses on achieving a 90% profit margin in Ethereum vs US Dollar trading by leveraging a comprehensive market analysis and technical tools. Initially, traders conduct a detailed market analysis by examining Ethereum's historical price trends and key support and resistance levels on platforms like TradingView. For instance, monitoring Ethereum’s reactions to past economic events helps predict future movements, and tools like the RSI or MACD can indicate overbought conditions.
In implementing a selective trading strategy, traders define specific entry and exit points using technical analysis, like using limit orders and employing a stop-loss to minimize potential losses. Diversifying the portfolio helps hedge risks, and backtesting the strategy ensures its effectiveness before actual trading. For instance, using a risk-reward ratio of at least 1:3 can enhance trade outcomes.
TradingView is used for validating and adjusting strategies. By utilizing advanced analytics tools, traders can update Ethereum charts regularly and configure alerts for trend changes. For example, collaborating with other traders on TradingView forums aids in refining the strategy through diverse insights and community feedback.
The strategies
⛳️ Strategy 1: Conduct detailed market analysis
- Analyse historical price trends of Ethereum using TradingView
- Identify key support and resistance levels on the Ethereum chart
- Study Ethereum’s past responses to market events and economic announcements
- Monitor current market sentiment through news and social media platforms
- Evaluate the impact of macroeconomic factors on Ethereum and the US Dollar
- Set alerts for unusual trading volumes on Ethereum
- Utilise Fibonacci retracement to identify potential price targets
- Review technical indicators like RSI and MACD for overbought or oversold conditions
- Subscribe to expert analysis on cryptocurrency markets
- Review and adjust the analysis weekly to incorporate recent data
⛳️ Strategy 2: Implement a selective trading strategy
- Define entry and exit points based on technical analysis
- Set a stop-loss to minimise potential losses
- Create a diversified portfolio to hedge risks
- Invest primarily during periods of positive market sentiment
- Utilise limit orders to enhance trade entry efficiency
- Schedule regular trading intervals to reduce emotional trading
- Reassess and update trading strategy monthly
- Develop a method for scaling in and out of trades
- Use a risk-reward ratio of at least 1:3 for trades
- Backtest the strategy on historical data to gauge effectiveness
⛳️ Strategy 3: Use TradingView for validation and adjustment
- Set up a TradingView account to access advanced analytics tools
- Regularly update Ethereum charts with recent data and analysis
- Configure alerts on TradingView for price levels and trend changes
- Collaborate with other traders on TradingView to gain diverse insights
- Test trading strategies using the TradingView paper trading feature
- Use TradingView’s scripting tools to customise indicators
- Join TradingView forums for community feedback and learning
- Schedule quarterly reviews of strategy performance on TradingView
- Attend webinars and training sessions available on TradingView
- Document successful and failed trades to refine future strategies
Bringing accountability to your strategy
It's one thing to have a plan, it's another to stick to it. We hope that the examples above will help you get started with your own strategy, but we also know that it's easy to get lost in the day-to-day effort.
That's why we built Tability: to help you track your progress, keep your team aligned, and make sure you're always moving in the right direction.
Give it a try and see how it can help you bring accountability to your strategy.
