Swing traders are the way a trader trades their crypto assets on the cryptocurrency market, where traders are required to perform analysis to be able to trade with this swing system, traders analyze with Technical analysis and fundamental analysis, usually by becoming a swing trader, traders take times such as 1 day, 1 week, or even 1 month, it is a time period taken for swing traders, this time period is taken for maximum analysis results, because to read the trend movement you have to see the movement in the long term, because here swing traders take the long term. that time to decide when to buy and when to sell the crypto assets they own.
A Crypto asset pair ETH/IDR
Here I took the ETH / IDR pair because ETH is the 2nd coin after Bitcoin, so it makes me want to try to analyze this coin, I will do my best for the sake of good analysis results. This is a screenshot of the ETH / IDR Pair that I took on the Upbit Exchange.
What's your Entry and exit strategy?
I will give a little understanding for friends who may have just become a swing trader, in general, swing traders make decisions through the analysis of market trends that occur, whether the trend is bullish or bearish, after deciding then swing traders can do it. their crypto asset sale and purchase transactions.
As I said in the explanation above, which in general a swing trader makes decisions through trend analysis that is happening, is it an uptrend or a downtrend, is it bullish or bearish, then here I am doing a strategy through trends that occur in markets that are happening. I am reviewing. From the strategy I use, we can determine where we will enter or when the right time will come out, as a swing trade you must be able to make wise decisions from the results of the analysis you are doing, and you must be able to make that decision wisely, so that you can benefit from your crypto trading.
Multiple time frame analysis
As I said in the previous explanation where the time for swing traders uses 1 day, 1 week and 1 month for them to read the chart in that time period, but if you are a day trader the timeframe used to read the chart is in 15 minutes , 1h, 4h, 12h, and 24h, so that's the difference between day traders and swing traders, the only difference is in the length of time they read the chart patterns that appear on the cryptocurrency market.
As in general, swing traders do, they will do analysis using 3 chart patterns with the first chart time, namely weekly, daily and also to have more detailed analysis results using 4-hour charts, to make it visible and for a more definite analysis to see the direction of the trend , so analysis is used on a 4-hour period too, where on a 4-hour chart this is the most crucial point for swing traders, whose final analysis results will determine when they will trade on the cryptocurrency market.
This one week chart is an overview of the direction of the current trend in the cryptocurrency market, so this one week chart is just looking at the pattern that is forming.
In the next chart, we use the daily chart, which is the daily chart to provide more detailed information about trends that occur in the cryptocurrency trading market.
Whereas on this 4-hour chart, it functions to determine the final result of the analysis carried out, and determine traders to make decisions when they should sell and also when they should buy the asset.
Here I also use the 1 hour chart, in general swing traders rarely use this 1 hour chart, but here I use it only as material for more detailed correction regarding current market behavior.
So swing traders usually use analysis of 3 charts with a period of 1 day, 1 week and 4 hours for the correction, but here I am taking the 1 hour chart as an addition to clarify the steps I will take in the future.
Candlestick analysis and use of other relevant supporting indicators for your trade decision.
In the analysis of the first candlestick we will discuss is the weekly candlestick analysis, in this weekly candlestick analysis we will be able to see the chart at the lowest position of ETH / IDR in the previous year, namely the lowest point on March 09, 2020 at IDR 1,877,223. picture below.
While the highest point of the ETH / IDR pair on May 3, 2021 touched the position of IDR 58,479,171, this is the highest number that was successfully held in the ETH / IDR pair, and for now, after experiencing an uptrend, the ETH / IDR pair subsequently experienced a downtrend, this is the case. fair on the cryptocurrency trading market, you can see it as shown below.
Next we will look at the chart within 1 day, on the 1day chart our review is getting wider and here I am trying to re-analyze the current market movement, where on the one-day chart we can see an uptrend which is followed by a downtrend, it can be seen as shown below.
Next we will see the trades that occur on the 4-hour chart, in this 4-hour trade traders can determine their own analysis, on this 4-hour chart is where we do further analysis, but it is more towards seeing market behavior that occurs whether the trend is formed. still the same, if the trend that the 4-hour chart has is the same as that of the previous chart I described above, then that is a good sign for you to start trading. Here is the analysis on the 4-hour chart that I conclude
So here I will also look at the behavior on the 1 hour chart, actually for swing traders this is not necessary, but this is how I check again so that I have a more definite analysis for me to draw conclusions, so here it is more clear where each EMA line crosses then that is a sign of a reversal of the tred state, so it can be seen as in the image below each EMA line that crosses as I marked with no and a circle, on EMA lines 1 and 2 there is a reversal of the trend state every time they cross, on the EMA line to 3 it can be ascertained that the EMA 100 line and the 34 EMA line will cross again, then the trend will change temporarily. Can be seen in the image below
Trade management ( Setting stop loss, trailing stop and take profit)
So the results of the trading market analysis on ETH / IDR I will do a Buy Stop at IDR 29,094,842 and in the next trend I will make a Stop-loss of IDR 25,556,778, and I will take a profit on the position of IDR 43,542,431 and then I will trailing stop-loss at the position of RP31,305,678.
Conclusion
So the conclusion of this task is, we as traders must know the trend movements that occur in the market that we want to trade, if we are a swing trader then we have to analyze the charts 1 day, 1 week and 1 month, if you are a daily trader you must analyzing 1h, 4h and 24h charts, but here I use analysis on 1-day, 1-week, 4-hour and also 1-hour charts, this 1 hour chart is a correction in order to have more definite results, and keep in mind that this cryptocurrency trading has a pattern that is not always the same, so in order to minimize losses you have to make a stop-loss at a certain price in order to secure the assets you have.
