The effect of variable heights of red bodies in price prediction. A relatively useful method in short term trading.

[Brushless4500KV 4214]

In this post, I am going to tell you a simple method in trading which I experienced in my trades in Yobit. Predicting prices based on charts is always difficult. Most traders will lose because they enter in wrong positions. As you see on the graph below, there are red bodies which are different in height. Some of them are long and the others are short. According to my observations, when the red bodies are short, they are more likely to be followed by another red body or a Doji sign which means uncertainty. However, when red bodies are long in height, the possibility of being followed by a GREEN body is higher because after long red bodies, the market will usually react with more buys which will increase the prices. I usually set my enter points at the end of these long bodies to make a small profit with the next green body. This method may not be effective 100% in all situations but I think it works most of the times. Please note that this is just a suggestion and I don't guarantee anything.

[bliznec 22267]

It was much better to show Long, thereby more activity in the price of a coin. This line in the candles, most traders want to see on the exchange. 

[DavCrypto 298]

This proposal is quite logical, and it succeeds by a large percentage, but you must understand the currency in which this proposal is followed, if it is a strong currency and has good circulation, then surely after the long decline there will be an acceptable rise, because as you said you people will start buying this currency which will lead to its gradual rise So make a simple profit.

[Brushless4500KV 4214]

14 hours ago, DavCrypto said:

This proposal is quite logical, and it succeeds by a large percentage, but you must understand the currency in which this proposal is followed, if it is a strong currency and has good circulation, then surely after the long decline there will be an acceptable rise, because as you said you people will start buying this currency which will lead to its gradual rise So make a simple profit.

Of course, I suggested this method only for strong and high rank coins like bitcoin and litecoin. Low volume coins are very hard to predict because they are not liquid and their graphs have lots of steady lines. The height of bodies works based on price resistance rule. When there is a long red one, the market will resist against collapsing with successive green ones (more buys). This is usually a normal behavior because holders don't want to lose their assets. The opposite can be true too. When there is long green one, some will sell because they are afraid of seeing red ones soon.

[DavCrypto 298]

8 hours ago, Brushless4500KV said:

Of course, I suggested this method only for strong and high rank coins like bitcoin and litecoin. Low volume coins are very hard to predict because they are not liquid and their graphs have lots of steady lines. The height of bodies works based on price resistance rule. When there is a long red one, the market will resist against collapsing with successive green ones (more buys). This is usually a normal behavior because holders don't want to lose their assets. The opposite can be true too. When there is long green one, some will sell because they are afraid of seeing red ones soon.

This is true, as many people wait for the red until it becomes relatively long and then they buy and sell at a certain percentage profit, as you mentioned earlier, this method is the most guarantee for earning a few sums several times a day.

[iloveyobit 6599]

Thank you very much my friend, I was looking for a strategy to trade in Yobit by relying on candles but I did not find, I will try to try this method today .

[Brushless4500KV 4214]

My prediction came true once again. Yesterday, bitcoin experienced the same conditions. If you look at the chart below, you will see that at 11:00, there is a long red body and immediately after that, the price has risen up to 14:00. This is the point (11:00 in this case) that I usually enter the market because most of the time, it is followed by upward movement. This is another proof for my trading strategy. It is a small prediction for what may happen in the next hours later. I use this strategy for other coins too. The opposite of this strategy can be used to predict the time of selling.

 

[koussai999 1986]

There is a book dedicated to Japanese candles and trading with them, you can view them and enhance your entry points according to the Japanese candles on the chart. I think it is worth reading

[Thekingcallme 1975]

The big red candles are proof that the amount of the currency has been sold out in a big way, and there will be a discharge. The large candle is always the beginning of a large decline in the price of cryptocurrencies.

[Shaza Ahmad 1682]

I think that your way of trading is really amazing and you need patience until you get to what you want. Wait a long time until you see a long red candle and then you buy and come out with the first bounce of your profit while many are waiting for prices to rise.

[Smallingcane012 344]

The effects of variable height is so rampant now in so many countries across the worldwide but adjustment can be taken or correction can be taken as soon their realizes.