This is information to help beginners. It’s a simple method to determine whether a crypto is a good investment in Spot using only one indicator.
Open the Indicators settings and change the MA (Moving Average) values: one to 200, another to 50, and another to 20.
The flatter the 200 MA is, and the closer together the 50 and 20 MAs are, and the candles or bars are slightly above this cluster of MAs—then the crypto is in an accumulation phase. It’s then only a matter of time for it to break upward, unless there’s some unfavorable event.
Check the chart on the 1D, 4H, and 1H timeframes. In at least 2 of them, there should be a similar compression state to be safer.
By applying this method you reduce risk and increase your chances of making profits. Of course, you should consider other indicators too, but this alone can help you spot a good investment at a glance.
Good luck, Trader
Chart:
$RESOLV 1H
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