Ready to learn how to set up a simple, but profitable bot?
Let’s lay the groundwork first.
To read the chart, you must know a bit about candlesticks. To help you out, here’s an image:
- Bullish candle means the price opened lower and close higher.
- Bearish candle means price opened higher and closed lower.
- Wicks (thin lines) show how high and low price got during a given time period.
Now, the candles are the same on every time frame. So if you’re looking at a 5 minute chart, then each candle represents 5 minutes of data. (same for hourly, 4 hour, etc.)
Ok, understand? Good to go? (If not, a quick YouTube video will set you straight)
Now, let’s get into the system:
- Market needs to make a low
- Market then needs to go below that low
- Market then needs to close above the low it previously went below.
When that happens, we now have an opportunity to start our bot. Here’s what it looks like:
This setup is incredibly powerful, yet also extremely simple.
The only thing I would recommend is that you look for this opportunity on higher time frames such as a 4 hour and above.
Using it on a smaller time frame for a bot may not be the best if you’re looking to keep the bot open for a while.
Author
Chris Munch is a professional cryptocurrency and blockchain writer with a background in software businesses, and has been involved in marketing within the cryptocurrency space. With a passion for innovation, Chris brings a unique and insightful perspective to the world of crypto and blockchain. Chris has a deep understanding of the economic, psychological, marketing and financial forces that drive the crypto market, and has made a number of accurate calls of major shifts in market trends. He is constantly researching and studying the latest trends and technologies, ensuring that he is always up-to-date on the latest developments in the industry. Chris’ writing is characterized by his ability to explain complex concepts in a clear and concise manner, making it accessible to a wide audience of readers.
