QFL Crypto Trading Strategy
An easy crypto trading strategy that we're going to discuss here was developed by a crypto YouTuber named Quickfingersluc (so the name for the method), which is Quickfingersluc or QFL Strategy and sometimes also referred to as the Base Strategy.
See also:Shorting Cryptocurrency
How does QFL Crypto Trading Strategy helps?
- First, it allows you to make sense of the red and green lines on the candlestick graphs.
- Second, it gives you a cue at the right time for buying or selling your digital assets.
- Third, it lets you efficiently play your move according to your risk level and targeted profit.
The QFL Trading Strategy, also known as the Base Strategy, is based on the identification of trading bases. This could help determine the purchase and sale action of the trader. It is crucial to understand the key terms associated with the price movement of the candlestick graph when following the basic strategy.
See also: Should you buy Ethereum in 2021?
QFL Crypto Trading Strategy: candlestick graph's price movement key terms
This is also called the Support Level, which is the lowest price level that had reached before the price started turning and increasing again. At the base level, you will notice that buyers of some coins in the crypto market make a strong reaction.
This is observed when the coin price sharply moves upward right after touching the base or support level. Rebound happens because of a strong buyer reaction, which drives the price back up again.
This is the highest coin price level just before the increase stops, and the price starts going down again. At the resistance level, you will notice that panic sales usually happen, which then drags the coin price down.
This event happens when there is a strong ticker pulse movement at a distance from the base level down to the next rebound formation.
If you want to earn Bitcoin or grow your digital assets, it's not enough to sign up for the best crypto trading platform.You also need to know the basics of your chosen strategy. Now that you are aware of the key terms of QFL trading, it is time to discuss the necessary actions that are part of the basic strategy.
QFL Crypto Trading Strategy: Step by Step Actions
- Find cryptocurrency markets with whippy charts.
Finding whippy markets is one of the primary keys to earning cryptocurrency from exchange platforms. But what do we mean by whippy markets? These are cryptocurrency markets with charts that resemble a whip. In essence, it's characterized by unstable coin prices that frequently go up and down. Unlike stable markets, whippy markets offer traders with a lot of opportunities to have profitable entry points.
- Find strong bases with higher rebounds.
Higher rebounds only mean a strong buyer reaction in the market, which can make for a profitable QFL trading action. High rebounds are characterized by significant increases in price from the base or support level.
- Examine the frequency of panic sales and buy when traders are selling in panic.
It is essential to examine how frequent panic sales occur in a particular cryptocurrency market. One of the aspects of QFL trading is buying during panic sales. Determine the probability of having new cracks in the future by checking how panic sales work at the previous base levels at a rebound and by calculating the average size of such panic sales.
To have an idea about how future panic sales would drop the coin price further, you can make an average calculation of the distance between the price during the start of panic and the base level.
To know your entry point based on the crack's length, you can calculate the distance between the previous base levels.
- Set alerts based on your preferred base level and use a reliable crypto market scanning tool.
To be able to monitor the movement of cryptocurrency prices, it is necessary to use an accurate and reliable crypto market scanning software. Crypto Base Scanner by the Altrady cryptocurrency trading platform can help you immediately spot important coin price movements. It has a base alert feature that can notify you of real-time when a coin price drops to your targeted percentage level.
Alerts from Crypto Base Scanner will help you make a compelling analysis of the cryptocurrency chart. Look at the market graph upon receiving the signal and try to spot panic sales for a profitable entry point.
Get a free 14-day subscription from altrady.com now and take advantage of its tools and features that can help you trade using the QFL trading strategy with much ease and convenience.