A comprehensive topic at the request of readers, which will start from here.
Today we'll talk about the basics and tools we use to build strategies and work with asset charts.
Indicators that help catch the movement:
MACD (Moving Average Convergence Divergence) — The indicator shows the crossing of moving averages and the strength of the trend.
When the MACD and signal line cross from bottom to top — this is a bullish signal for continued growth. If the upward movement is accompanied by an increase in volume — one can prepare for an impulse.
On 4-hour and daily timeframes, MACD particularly accurately indicates changes in sentiment.
📈 RSI (Relative Strength Index) — The Relative Strength Index shows when an asset is overbought or oversold.
Levels below 30 signal that the price is at the bottom and a bounce should be expected. RSI above 70 indicates overbought conditions — a correction is possible.
It is important to track RSI divergences and price charts: this often signals an upcoming reversal.
📥 FVG (Fair Value Gap) — this is a gap between candles that forms after a strong impulse.
The price tends to return and 'close' this zone, which becomes an ideal entry point. After such corrections, the asset often gains new strength to continue moving.
We mark these areas on the chart as 'areas of interest,' where liquidity is concentrated.
What else should we pay attention to??:
Whale movements are large transactions on the blockchain that show where accumulation of volumes or profit taking begins.
Will help:
Etherscan https://etherscan.io,
DEX Screener https://dexscreener.com,
Arkham https://intel.arkm.com
Tracking the open interest of investors also helps — an increase in interest in futures markets often precedes a strong impulse.
News or unexpected positives can strengthen or destroy movement.
To summarize!
The combination of technical indicators with volume movements and the activity of major players creates a complete picture of the market.
I strongly recommend studying technical analysis and the 'Smart Money' strategy.
Every signal is an opportunity.