Pullback in Up / Down Trend
This is a trend following strategy.
Pullbacks can often provide opportunities to jump on an established trend. It’s difficult to catch a trend in early phases and conservative traders prefer to jump in midstream, once a trend is established. Even in an UpTrend, prices never go straight up, day after day. There are times when price consolidates, pulls back, and then resumes an UpTrend. These corrections are opportunities to join a crypto trend. And this applies to DownTrends as well, for those who like to Short Sell.
An UpTrend’s definition is when the price forms Higher Highs (HH) and Higher Lows (HL). DownTrend is the opposite – Lower Highs (LH) and Lower Lows (LL). After running this screen, traders should visually confirm the HH and HL for an UpTrend or LH and LL for a Downtrend, as indicated in the example with THETA.
You can also modify this screen, make it your own, and save it.
Also, check out our blog: https://altfins.com/how-to-buy-coins-that-pulled-back-in-a-strong-uptrend/
Screen definition (for bullish):
- Short Term Trend is Strong Up
- Medium Term Trend is Strong Up
- Long Term Trend is Strong Up
- Oscillator Rating is Neutral (don’t want overbought situations)
- Bullish MACD crossover (MACD is above 100% of MACD Signal Line) – this further confirms our Uptrend signal
- Volume ($) is above 200,000 (need decent liquidity)
- Price Change (%) is below 0% (i.e. price has pulled back in the last 24 hours)