“Support & Resistance Scalping”
Here’s a simple daily trading strategy using Bitcoin (BTC) or Ethereum (ETH)—designed for beginners and suitable for low-risk, short-term trades.
Goal:
Make small, consistent profits from daily price swings using basic technical analysis.
What You’ll Need:
A Binance or TradingView account.
15-min or 1-hour candlestick chart.
Basic understanding of support/resistance.
Step 1: Set Up Your Chart
Open BTC/USDT or ETH/USDT chart or use USDC instead of USDT.
Use 15-minute or 1-hour timeframe for short-term trading.
Add indicators:
RSI (14) – for overbought/oversold signals.
50 EMA (Exponential Moving Average) – for short-term trend.
Optional: MACD for trend confirmation.
Step 2: Identify Key Levels
Use horizontal lines to mark recent support and resistance levels (price zones where price often bounces).
Look for at least two touches to confirm the level.
Step 3: Wait for a Setup
Wait for price to:
Touch support and RSI is below 30 → Potential buy signal.
Touch resistance and RSI is above 70 → Potential sell signal.
Step 4: Enter the Trade
Buy at support, sell at resistance.
Confirm with:
RSI bouncing back.
Candle closing above support or below resistance.
Use limit orders to avoid slippage.
Step 5: Manage Risk
Set Stop-Loss just below support (for buys) or above resistance (for sells).
Set Take-Profit for 1.5x to 2x your risk. (Risk $10 to gain $15–20).
Don’t trade during high-volatility news (like Fed announcements).
Example Trade:
ETH is near $3,000 support.
RSI is 27 (oversold).
Price touches and holds for 2 candles.
You enter a long (buy) at $3,010.
Stop-Loss: $2,980 | Take-Profit: $3,060.
Risk: $30 | Reward: $50.
Bonus Tips:
Trade only 1–2 setups per day to avoid overtrading.
Avoid trading in sideways/choppy markets.
Use a trading journal to track wins, losses, and improve strategy.
