2 Easy Ways To Trade Crypto Currency?

in #cryptocurrency6 years ago (edited)

Easy or deadly dangerous?
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I'm not sure you can call any method the easy way; but there are probably some strategies better fit for new traders in order to keep things more 'simple to begin with.' But then again simple in trading is not a bad thing; but perfecting technique is just as important.

One of these is trading based of EMA's or exponential moving averages.

THE EMA Strategy

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With the EMA strategy, your trade can be based on moving average price. A famous ema that is used is the 99 ema.

Let's say you the 99 ema and 200 ema setup. One strategy for a long swing trade would be to to enter your trade or buy when the 99 ema crosses over and above the 200 ema. Then you can sell when the 99 ema crosses below the 200 ema.

This would be a longer term swing trade strategy. You can also use the 99 ema's with smaller ema's such as 8, 13,21 for example.

An example of this type of trade would be waiting for the 8, 13, and 21 ema to cross above the 99 ema to enter a trade and waiting for the 8, 13, and 21 ema to cross below the 99 ema to sell on the daily chart.

You can use any time frames if you want to try these methods out.

There is plenty of research you can do about ema and find the best ema strategy that best fits your style. Make sure to practice on previous chart history so you don't end up losing money. No strategy is 100% gauranteed profits; it's up to you to find any flaws and learn to manage your risk.

THE BOLINGER BAND AND RSI STRATEGY

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One of my favorite trading strategies is with using Bolinger Bands. This is a strategy that I combine with RSI.

For example, when the 1 minute rsi is oversold, I buy. When the 1 minute rsi is overbought, I sell. I also match the price with the bolinger band because a price that crosses below the lower bolinger band line, signifies and oversold condition; and a price that crosses above the top bolinger band line signifies and overbought condition.

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Now that you are familiar with the 2 trading methods mentioned above, you can do your own research to expand your knowledge and find out more about how you can use these methods to make profits.

Once you learn and practice on previous chart history or 'paper trading' you may be able to try these methods into real life trading.

Good luck and please upvote so more and more people can get these insights to learn to trade cryptocurrency.

Thank you very much.

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