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TrendFollower

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Everything posted by TrendFollower

  1. I posted on another Crypto related thread how some of my best returns came over the weekend and low and behold Bitcoin Cash and Litecoin are performing strongly and are over 10% at the time of this post early Saturday evening.
  2. Bitcoin Gold is again leading performance race today. It is up 3.1% at the time of posting and is the best performing Cryptocurrencies available on IG's platform. It seems that there seems to be intense buying focusing on one or two specific Crypto's and it is Bitcoin Gold's turn right now. Some of the potential patterns for consideration are Bitcoin and Ether, Ripple and Stellar, Bitcoin Cash and Litecoin and Bitcoin Gold as a standalone. LOL.
  3. Will Litecoin hit that psychological $100 mark? Even if it does then it will need some serious volume supporting any buying for it to remain above at that level.
  4. I remember trading Bitcoin around two years ago and I recall some of the biggest moves for me personally coming over the weekend where I did not close my position on Friday and come Sunday night the increase in profits were staggering. It may have something to do with the obsession in Asia, I don't know. Right now Bitcoin is above $5k on Saturday afternoon and is trading in the blue so there seems to be support over the weekend. It may also have to do with the Cryptocurrency market being a 24/7 market around the globe.
  5. @1986sn, Effective due diligence will be key here to mitigate any risks. I do not know much about this company but I assume you are referring to this specific company whose website I include below. https://krypteum.exchange For me this is extremely high risk and will not be available to trade. It will be a case of participating in an ICO and acquiring the token. I do not think you will be able to trade or invest in it via a normal broker. You will have to physically purchase the token itself. I would suggest you conduct some serious research to establish how credible this specific company is? How credible the individuals behind this company are? Before you wonder anything spend time and effort conducting some serious due diligence on this whole project. Do not even think about investing until this has been done.
  6. A few of you have messaged me stating you find it difficult to go long when something is continually rising in price. I accept this is difficult and not easy. I have never suggested following 'Trend Following' principles is easy. In fact it tends to go against our normal emotions and psychology. As humans we want to buy something that is reducing in price. Here a trend follower would look too short. When something is rising in price a trend follower would look to go long. If it was easy then all traders try to trend follow would be profitable and this is simply not the case. There is huge 'Execution Risk'. There can be a lot of technical analysis overkill. I tend to keep my trading strategy and system very simple. I do not believe in trying to complicate things as if I cannot understand a trading strategy or system then how can I use it to trade? One must understand their own trading strategy and system and how it works. This is fundamental and where a lot of traders go wrong. They do lots of reading and listen to lots of experts but then simply cannot apply if affectively due to: lack of knowledge lack of experience lack of understanding lack of capital When I am looking to identify trends I never think the prices are going up so I must not go long or the prices have been declining for a while now so I must not go short. Of course ideally one would want to identify the breakouts and trends as early as possible. There is really only one way of doing this. That is to follow the price action and treat it like a religion. Follow the price action of the assets you are interested in and apply time, effort, passion, enthusiasm and dedication, which should lead you to identify potential trends to trade at an earlier stage. I always tell myself the price is never to high to go long and never to low to go short. Those that do find themselves missing some of the best, strongest and profitable trading opportunities both on the long and short side. I remember reading somewhere and I cannot remember where that: Follow the price action and you will be on the path of least resistance Another important thing that I always do is not to set profit targets. I want the highest profits I can achieve and do not want to exit early and make less profit on a strong long term trend than I would have if I had merely stayed and potentially added to my position. I want to stay in the trend for as long as possible. Once I am in a winning position then I set a 'trailing stop' and will exit when this is executed meaning I will always exit a winning position with a profit. I always try to trade the trend rather than any specific asset. So it could be Cryptocurrencies, Commodities, Bonds, Indices, etc. It does not matter what the asset is. It is the trend that is important and that is what I am trying to trade. This will also help me increase my odds of finding more stronger trends to trade rather than concentrating on just say indices or FX. Trend Following is not easy and not every trade will be profitable. In fact it is possible that more trades using this methodology make losses. There are many different ways to trade and many trading styles and principles one could follow. Trend Following suits my personality but if it does not suit your personality then you must find another trading style that does. One must not force a trading style that one does not appreciate, understand or can apply. Trend Following is not for everyone but I think subconsciously everyone is some form of trend follower as you want to make money when the price moves in the direction of your trade and this in its simplicity is trend following whether one accepts it or not. It may be short term trend following but many will be applying some of the principles of trend following without realising.
  7. @Caseynotes, I agree with your assessment on the 'daily'. The 'daily' is always my starting point. I can then zoom in and out as necessary or use shorter / longer timeframes when necessary. It is both an excellent and important point you make.
  8. I think it is feasible that 2019 becomes an accumulation phase for Bitcoin and other Cryptocurrencies. The so called 'Whales' may have started their acquisition programme and this may continue for the rest of this year. If that were to be the case and I do not know that it is then this could be just the beginning of the rally. Now it could be that this is merely a 'hot fluffy' rally that is false. I don't know. The one thing I do know is that Bitcoin has not hit zero like many predicted. It has not even come close to hitting zero. If it were junk and absolute garbage then why has it not failed already and been annihilated? I think there are some really clever and wealthy people who want it to succeed around the world at any cost and will do their utmost to make it work. Where there is a will, there is a way. The will is strong and there is clearly a lot of capital backing it. It is not always the best technology that succeeds. There are times when the technology or concept with the most support and financial backing enters the world market ahead of something that was clearly better but less understood. I think the world will make Bitcoin work in some form or another. Yes, there will be modifications and improvement along the way but the concept and technology will be adapted to suit the future generations and a global standard leader in the Crypto market will emerge. It may be Bitcoin or it may be something else. At the moment though based on price and market cap it seems Bitcoin is the leader of the Cryptocurrency asset class.
  9. As someone who follows Trend Following principles then I through this article was both interesting and relevant to this thread. Trend-Following Quants Taste Comeback Powered by Bonds Mania https://www.bloomberg.com/news/articles/2019-04-02/trend-following-quants-attempt-comeback-powered-by-bond-bonanza?utm_source=google&utm_medium=bd&cmpId=google
  10. @1986sn If you enter it into the search box then you will establish whether it is available on IG's platform. I have just tried it and nothing came up on IG's UK Spread Betting platform so I would have to say no in the UK. So AI and Crypto. Interesting fusion.
  11. Stellar is up 10% at the time of posting. If it's price is going to behave in line with the other alt coins then it has a potential chance to cross its 200 DMA which it has not done so. This would mean Stellar's price going up to around the $14.80 level. Now Ripple too is above 10% at the time of this post and it seems that both Ripple and Stellar are moving together in partnership and tandem. Now if the same potential move is applied to Ripple then it could also move to around the $37.18 level as it too is trading below its 200 DMA. Both Ripple and Stellar seem to be heading in the direction of crossing their 200 DMA's. Whether they do or not on this leg upwards is the question that needs to be answered. If it does then it could attract further speculative capital to them both.
  12. Bitcoin Gold is up a staggering 22% at the time of this post which is 5:50 pm. It has gone above its 200 DMA and also 20, 50 and 100 prior to this. The margin requirement is a minimum £5.00 per point which is currently £46.80. Now add leverage to this and one can begin to see why Bitcoin Gold becomes an attractive trade should it also go up along with the alt coins.
  13. I am getting messages asking me how I decide which trends to trade? It takes a lot of time and price monitoring first and foremost. Then one must apply indicators to establish if certain parameters and criteria are met for further consideration. After this a look at the volume and strength of the trend along with momentum. One could also have a look at the fundamental outlook and see if the technical narrative is in line with the fundamental narrative. There are many occasions when you will see a distinct disconnect between the two. Ideally and this is especially true for Commodities when the fundamental narrative connects with the technical narrative then it can produce some of the best and strongest trends to trade both on the long and short side. Even after all of the above the trade can fail so there simply is not a magic answer. One is merely trying to put the odds and probability of a successful trade in their favour that is all. I do use my feelings and gut instincts based on my experience too. I am not always right of course but there are many factors, information and data one can use to make an informed trading decision. I do not have the perfect answer to this question. I ask myself are the odds and probability in my favour if I place this trade on the 'long' or 'short' side. If the answer is no then I simply do not trade it. Even when the answer has been yes I have failed such as trying to short the S&P 500 though I was initially successful then we witnessed a massive rally and it is back to where it was before the huge drop.
  14. Let me first start by sharing the website for Bitcoin Gold which I should have done at the start of this thread. https://bitcoingold.org/ Bitcoin Gold is today's best performer of all the Cryptocurrencies available on IG's platform. The only exception is that one cannot still trade Bitcoin Gold as explained by posts above from @JamesIG. It is up 15% so seems it is following the other alt coins upwards. I am not really a fan of Bitcoin Gold but the price action is what it is. I am still not convinced with Bitcoin Gold from a fundamental perspective but right now it is the technicals that are getting my attention today.
  15. @kingtrader72, Today's Coffee both Arabica and London are bearish. They seem like they may be travelling to a more downward destination albeit shorter term. It still does not present any reason from a 'Trend Following' perspective to go 'long'. In fact it presents a potential short term 'short' trade opportunity if anything. Golden Rule (Trend Following Style) - Never trade against the trend
  16. Both Ripple and Stellar are leading the way this morning. Ripple - Up over 9% Stellar - Up over 11% This is at 6:52 am.
  17. @kingtrader72, From a 'Trend Following' perspective my thoughts are that the opportunity has not quite presented itself to go long 'Coffee'. Maybe from a 'Value' perspective it may seem enticing. Looking at the 'Daily' then Coffee - London Robusta is trading below its 20, 50, 100 and 200 DMA's. Looking at the 'Daily' then Coffee - New York Arabica has just crept above its 20 DMA but is below its 50, 100 and 200 DMA. The moving averages curves are all sloping downwards which is a bearish signal. Why do you think there is an opportunity to go long here? Is it simply because you think all the downside is priced in? Coffee prices are historical lows. The article below maybe of interest to you. Exclusive: Brazil weighs offering coffee options to support prices - sources https://uk.reuters.com/article/us-brazil-coffee-policy-exclusive/exclusive-brazil-weighs-offering-coffee-options-to-support-prices-sources-idUKKCN1RG2JK
  18. Well Palladium is at an important juncture right now. If it breaks below $1356 then there could be a large move downwards. If it holds this level then we could see some of short term support.
  19. XBT Provider which is a subsidiary of Coinshares (UK) Ltd has now released an Exchange Traded Product (ETP) for Litecoin. https://xbtprovider.com This allows investors to invest in the Cryptocurrency without having to physically acquire it, open a wallet, etc. It also means those who do not want to trade such a volatile and high risk asset class can merely invest (buy and hold) through a normal online broker. The broker I use for my XBT Bitcoin and Ether investments does not offer this Litecoin product yet. Also I am not sure which UK broker does so if anyone knows then please do share with this thread and with the IG Community. It seems XBT launched this in March 2019 prior to the major recent rally and near possible lows so excellent timing from XBT!
  20. I should have done this at the start of this thread but will share Litecoin's website for those who are interested to look at. https://litecoin.org
  21. I thought this was a good opportunity to share Bitcoin Cash's website. https://www.bitcoincash.org I should have actually done this at the start of this thread but only just realised that many may not be aware of the difference between Bitcoin and other alternative Cryptocurrencies.
  22. I think this is a very good article on Forbes in relation to Blockchain and Africa. Blockchain - Africa Rising https://www.forbes.com/sites/tatianakoffman/2019/04/04/blockchain-africa-rising/
  23. The Biggest Winners from April’s Early Crypto Market Rebound https://www.coindesk.com/the-biggest-winners-from-aprils-crypto-market-rebound Which asset class can give you returns like this in such a short space of time? Now add leverage to the mix and one can begin to see the staggering returns on offer.
  24. Of course there is a short term shorting opportunity here depending on if it follows Fibonacci retracements or something else. For anyone wanting to go long they must let the drop occur before entering long. This is the same for any of you who want to add to your positions. As the increase was big, sharp and quick, the drop should respond accordingly. There is always the risk that this was a false rally but time and price action will confirm that in due course. It is important to stay focussed on the price action as taking your eye off could mean you miss some of the best days in the year which make a lot of difference when looking back at overall returns.
  25. The question now is what sort of retracement Bitcoin Cash experiences. Will it adhere to traditional Fibonacci retracements? We are about to find out.
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