Below are important notes when trading in the sideways zone (moving sideways)
⚠️ 1. Clearly identify the sideways zone
The sideways zone is an area where prices fluctuate within a narrow range, showing no clear trend (neither rising nor falling).
Clearly identify peaks and troughs in the zone to avoid noise.
The effective range usually starts from 3% or more to qualify for trading.
⚠️ 2. Suitable strategy: Buy the bottom – Sell the top
Do not expect a breakout without substantial volume or supporting news.
Use RSI, Bollinger Bands, or Volume to confirm short-term reversal points in the zone.
⚠️ 3. Do not use high leverage
Due to the narrow range → easy to get SL swept if entering at the wrong time.
Sideway trading is very risky with Future orders → prioritize Spot or low leverage (<=3x).
⚠️ 4. Avoid trading when the price is in the middle of the zone
This is a neutral zone, lacking advantages → easy to incur losses.
Only enter trades at the upper edge (resistance) or lower edge (support).
⚠️ 5. Control psychology – Do not FOMO
Many people get caught in fake tops/bottoms due to noise signals in the sideways zone.
Must be patient, wait for confirmation before entering trades.
⚠️ 6. Always set Stop Loss
Sideway is often subjected to 'whipsaws' → a SL sweep followed by a return to the zone.
Set SL flexibly, but do not trade without SL.
⚠️ 7. Be cautious of fake breakouts
