Mac 🐺 Profile picture
Aug 31, 2022 27 tweets 6 min read Read on X
Are you a swing trader or a mid/long term investor and wondering when is the right time to buy?

There is no need to buy random price levels blindly.

As a trader of 5 years, mainly focusing on Technical Analysis I will teach you how you can maximize your profits 👇🏽
Condition: Trend change/reversal.

Have you heard the popular investor saying: “the trend is your friend?” Well it’s true, actually the trend is your best friend.

Let me explain.
You don’t want to be buying something that just entered a high timeframe bearish trend.

• You want to be buying when the bearish trend flips into a bullish one.

Okay easier said than done.

How can we determine when an asset flips a high timeframe trend? 🤔
Answer is with MAs - short for moving averages.

What are MAs? Shortly and lightly explained MAs are an indicator that follows the price with a delayed line. They are useful to show how an asset is trending.

Let’s slap on some MAs and look at some charts.
MAs can be used in many ways. I will consider doing an in depth tutorial on MAs in the future.

In this tutorial I will only be teaching you how you can spot a trend and a trend reversal.

It’s now you will probably ask, does it matter which length I use on the MAs?
The answer is complicated, so let’s keep it simple. For now I would recommend using the standard SSMA 25, 99, 150 and MA 50, 99, 200 if you are looking at higher time frames for older charts (2D, 3D, 1W +)
more MAs used = more confirmation about the trend and what phase it is in.

It’s important not to overdo it and add too many otherwise you will end up with a chart that has a lot of noise.
Alright let's go!

This is $ETH on a 3D timeframe with SSMA 25 and MA 50.

I will only use 2 moving averages to reduce the noise on the chart.

This is an example of a bullish trend and market structure, click on the chart and read the notes. Image
Let’s now look at a trend reversal from bullish -> bearish.

In this example we see the trend reversing from bullish to bearish. Image
How do we know an asset is trending bearish?

Let’s look at this example of a bearish trend.

This is $ETH on 3D but this time I added two more MAs to demonstrate how they can give us more confirmation. Image
A trend is bearish if price trades under key MAs and the MAs are pushing down on price at an aggressive angle.

MAs will now have to “flatten out” before the price can reclaim them and the trend can reset. Let's see
Trend reversal, bearish -> bullish

We can use MAs to identify when a bearish trend is getting closer to reversal.

We do that by studying the angle of MAs following the price. If the angle the MAs are trending in starts to become flat -> trend is getting closer to reversal. Image
A trend officially reverses when MAs start to turn flat and price starts to trade over them one by one.

The more MAs price retakes and starts trading over the more confirmation of a trend change.
As you have seen, MAs can help us find out when to buy and when to wait and when to get out of the market.

But MAs are often not enough.

As you saw in the last example the market often goes sideways for months before officially bottoming and confirming a reversal.
We can use the knowledge we have about MAs and add another condition to our buy/sell strategy.
Condition 2: Buying at levels of interest combined with our MA strategy.

MAs give a general idea of what stage of a cycle an asset is trading in.

We can combine MAs with levels of interest (support/resistance) to improve our chances at the best possible entry prices.
There are many ways of marking levels of interest.

For the past 3 years I have mostly used custom coded VWAP indicators in my strategy (tutorial for another day).

I will keep this tutorial as simple as possible and teach you how to mark key levels on a naked chart.
How to mark out key levels of interest on a chart (part 1)

When making out levels, understand that they are not supposed to be perfect. I recommend starting out marking levels with boxes instead of lines.

$TLSA on a 1W timeframe! Image
Part 2: In this example I will demonstrate how the resistance we marked out turned into support after price broke above it and how we can use it as an area of interest where we can buy.

You will also learn what to do when a support breaks. Image
Part 3: We continue marking out new support/resistance levels.

Notice how they rotate from being support to resistance and the other way around.

Study how price consolidates under double resistance blast through them, retakes all key MAs and starts a rally ✍🏽 Image
Let’s look at one more example of $BTC on a high timeframe and mark key areas of support/resistance.

Sloppy quick marking of closest support/resistances on a naked 1W $BTC chart. Image
If we now add what we learned about MAs to this chart we can suddenly create a PLAN 🤝

• Market structure is bearish.

• I have marked out support levels and will use 10% of my fiat to buy $BTC when they get retested.

• I will then sell what I bought at resistance levels.
• I will get out of the market if the support levels break as I was wrong.

•I will deploy the majority of my capital when a trend reversal is confirmed by Moving Averages.

•If a full on bullish trend is confirmed I will wait with taking profit till major resistances.
Congratulations you have now learned the absolute Technical Analysis basics.

Hopefully you will use this knowledge to navigate the markets and earn 💸
We can always add additional indicators and analysis such as sentiment/oversold/overbought to further increase our chances of being right.
There is much much more I would love to teach you. If this thread receives good feedback I will create more.

Additionally, I will consider releasing my indicators to my followers for FREE ❤️

• Retweets and shares are appreciated.

- Mac 🐺
Feedback on this been crazy, glad it was useful.

Don't forget to follow @MacnBTC!

I see 50% of you guys retweeting and liking but not following me.

Talk soon 🤝

• • •

Missing some Tweet in this thread? You can try to force a refresh
 

Keep Current with Mac 🐺

Mac 🐺 Profile picture

Stay in touch and get notified when new unrolls are available from this author!

Read all threads

This Thread may be Removed Anytime!

PDF

Twitter may remove this content at anytime! Save it as PDF for later use!

Try unrolling a thread yourself!

how to unroll video
  1. Follow @ThreadReaderApp to mention us!

  2. From a Twitter thread mention us with a keyword "unroll"
@threadreaderapp unroll

Practice here first or read more on our help page!

More from @MacnBTC

Apr 3
Bitcoin and Solana are hot right now,

There is one upcoming project I have my eyes on

If this project is successful in their mission bridging $SOL and $BTC their token will be trading at billions

1/5 $ZEUS 👇🏼
2/ One of the first movers in this space, implementing numerous technological improvements in the EVM for both Solana and Bitcoin, is Zeus Network

Zeus Network connects Bitcoin and Solana through their custom-built network, allowing other DApps to be built on top of them. Image
3/ Technology:

Zeus Network enables developers to build DApps that utilize the capital within the Bitcoin network for their validation needs while employing Solana to process all operations required for the successful functioning of their DApp.

Moreover, Zeus Network is bridgeless, addressing the main concern associated with having an intercommunication protocol.

Their roadmap focuses on the effective implementation of the Zeus Network, including staking and ecosystem growth, with concrete goals.Image
Read 8 tweets
Feb 18
We are on the verge of a super bubble created by AI due to the injection of trillions of dollars to support AI innovation.

Here is a cheat sheet to what projects to look in AI as an investor

1/25 🧵👇🏼
2/ Have your popcorns handy, we are in for a ride.

- Why consider AI for investment?
- What is AI and how does it work?
- Sector wise analysis
- Final thoughts Image
3/ Why should we even consider AI as a sector to invest in?

Increased funding for web3 AI projects as compared to previous years Image
Read 22 tweets
Dec 28, 2023
This is how you find #crypto winners such as:

$MATIC +45,000%,
$SOL +50,000%,
$TIA +700%,
$ORDI +2100%

How I made millions by keeping track of new altcoins and narratives 👇🏼
Before we dive into this thread, I want to begin with a disclaimer: The realm of cryptocurrency offers a multitude of methods for identifying winners and generating profits.

In this thread, I will keep it brief and to the point, focusing on one technique that has consistently yielded positive results for me throughout the years.
It's a well-established fact that people are drawn to new shiny coins.

Newly listed coins, especially those with their primary listing on Binance, hold significant profit potential.

These assets typically come with fresh charts, often featuring staggered unlocks (meaning investors are locked for the initial months of trading), and possess the flexibility to shape new narratives easily.
Read 19 tweets
Dec 6, 2023
Let's break down $BTC, $ETH and alts 👇🏽
1) $BTC

Was targeting $41k, we are now at $44k

Not much to say other than this is definitely not the place to be increasing risk

I'm only in spot bags and haven't taken a leverage position in days


Image
2) $ETH

I got a decent amount of spot $ETH but this bag has been the worst performing out of everything in the portfolio except stablecoins

Below is the best (short term) case scenario I can see for $ETH Image
Read 4 tweets
Dec 5, 2023
I gave u $SOL at $0.6
I gave you $MATIC at $0.003
I gave you $STEPN before it did x10

Now I will give you my top 6 narratives that will x100-1000x in this upcoming crypto bullmarket 👇🏼
1) $BTC ecosystem 👑

Projects that are building around the Bitcoin ecosystem are probably the easiest bet going into 2024.

With the $BTC halvening happening around April I look at:

- $BTC infrastructure,
- BTC/zk tech,
- BTC-Fi,
- ordinals,
- cross chain swaps
- $BTC forks
2) Gaming 🤺

Last cycle provided x100 returns on games and gaming infrastructure.

Games that managed to onboard web2 people and were fun to play made millions $AXS, $STEPN..

Most crypto games are horrible and overvalued. Make your picks wisely.
Read 8 tweets
Dec 4, 2023
In my first #crypto bullrun I turned $5,000 into $1,000,000

I then rode it down back to $20,000

Here are the 10 most important lessons I learned over the past 6.5 years 👇🏼
1) You don't need leverage

Leverage trading is without doubt one of the most common reasons why traders go broke.

Let's say you have the perfect setup and you overleverage

You simply won't be able to handle the PNL swings and are either going to get chopped or close at a loss
2) Don't revenge trade

I used to let my emotions dictate my trades and this has costed me well over 7 figures.

One trade closed at a loss, oh well let's jump straight into another one. Instead of reducing risk a common trait is to risk more.

This is gambling not trading.
Read 12 tweets

Did Thread Reader help you today?

Support us! We are indie developers!


This site is made by just two indie developers on a laptop doing marketing, support and development! Read more about the story.

Become a Premium Member ($3/month or $30/year) and get exclusive features!

Become Premium

Don't want to be a Premium member but still want to support us?

Make a small donation by buying us coffee ($5) or help with server cost ($10)

Donate via Paypal

Or Donate anonymously using crypto!

Ethereum

0xfe58350B80634f60Fa6Dc149a72b4DFbc17D341E copy

Bitcoin

3ATGMxNzCUFzxpMCHL5sWSt4DVtS8UqXpi copy

Thank you for your support!

Follow Us!

:(