🏧Bitcoin Day Trading Strategy for Binance Futures
To achieve consistent 5% daily profits with a 1:3 risk-to-reward ratio, you'll need a disciplined approach to trading, focusing on high-probability setups, and strict risk management.
This strategy is designed to be used during the London and New York trading sessions, which are the most liquid and volatile times for Bitcoin trading.
✅Trading Sessions
London Session: 08:00 - 16:00 GMT
New York Session: 13:00 - 21:00 GMT
Strategy Components
✅Technical Indicators:
Moving Averages (MA): Use a 50-period MA and a 200-period MA to identify trend direction.
Relative Strength Index (RSI): Use a 14-period RSI to identify overbought and oversold conditions.
Volume: Monitor volume to confirm breakout and breakdown signals.
✅Setup:
Trend Identification: Trade in the direction of the trend.
If the 50-period MA is above the 200-period MA, look for long trades. If the 50-period MA is below the 200-period MA, look for short trades.
RSI Confirmation: Enter trades when the RSI is below 30 for longs (indicating oversold conditions) or above 70 for shorts (indicating overbought conditions).
✅Entry:
Long Trade: Enter when price is above the 50-period MA, RSI is below 30, and there is a significant increase in volume.
Short Trade: Enter when price is below the 50-period MA, RSI is above 70, and there is a significant increase in volume.
✅Risk Management:
Risk per Trade: Risk 1% of your trading capital per trade.
Stop Loss: Place stop loss below the recent swing low for long trades and above the recent swing high for short trades.
Take Profit: Set take profit at 3 times the amount risked.
✅Execution Plan
Pre-Market Preparation:
Analyze the market trend using the 50-period and 200-period MAs.
Set alerts for RSI levels and volume spikes.
✅Trading Hours:
Monitor price action and volume during the London and New York sessions.
Execute trades based on the setup criteria and risk management rules.
