To operate the current DYDX/USDT scenario on the 4-hour chart, follow the detailed strategies:
1. Operation with Resistance and Support
Use the identified zones to enter and exit operations:
Buy Entry (Long):
If the price respects 1.566 as support, enter close to that level with a target at 1.604 and a stop loss below 1.510.
If the price breaks 1.604 with significant volume, seek positions targeting 1.715 as the next target.
Sell Entry (Short):
If the price tests 1.604 and rejects, enter short with a target at 1.566 and a stop above 1.715.
If you lose 1.566, target the next supports at 1.510 or 1.160.
2. Strategy with Moving Averages and Trend
Buy (Long):
Wait for the price to cross above the moving average (if configured on the chart). This movement will indicate the resumption of the uptrend.
Sell (Short):
If the price is below the moving average, take advantage of lower highs to sell and ride the downtrend.
3. Use of Volume
Increasing Volume on Breakout: Wait for increasing volume to confirm breakouts of important levels, such as 1.604 (resistance) or 1.566 (support).
Decreasing Volume on Corrections: If the price corrects with low volume, it may indicate a continuation of the current trend.
4. Confirmation Strategy by Oscillators
RSI (Relative Strength Index):
If RSI is close to 30, it suggests buying (oversold).
If RSI is close to 70, it suggests selling (overbought).
MACD:
Positive crossover of MACD line and signal indicates buy.
Negative crossover indicates sell.
5. Risk Management
Never risk more than 1-2% of total capital on a single trade.
Always set a stop loss to avoid larger losses.