Liquidation chart
*Anticipate order entries and exits: Observing liquidation spikes on the chart can reveal moments when there is significant selling or buying pressure in the market. For example, if there is a buying liquidation spike at a certain price, it may indicate potential support. In scalping, you can anticipate that the price will bounce from that level and look for buying opportunities just before it happens.

*Identify trends: If you notice that buying liquidations are predominant and increasing over time on a lower time frame chart (such as 1 minute or 5 minutes), this could reflect a strong bullish trend. In this case, you prepare to enter long positions on pullbacks, as the price is likely to continue rising driven by bullish liquidations.

RSI

*Identify overbought and oversold situations: When the RSI rises above 70, the asset is considered overbought and the price is likely to retrace. In scalping, instead of waiting for the RSI to significantly move away from 70, you can make a quick selling decision upon seeing the RSI approaching this level, even before a clear price retracement occurs. Similarly, an RSI below 30 indicates oversold conditions and a potential upward recovery, giving you a buy signal for scalping.

*Detect divergences: If the price reaches a new high but the RSI fails to surpass its previous high, it is a bearish divergence that may predict a trend change. In scalping, this alerts you to close long positions or even quickly open short positions, as the price is likely to turn downwards.


MACD

  • Line crosses: A bullish cross (MACD Line crosses above the Signal Line) is a buy signal. In scalping, you should act quickly upon seeing this cross, even if the price has not demonstrated a clear trend. The goal is to take advantage of the newly generated upward momentum. Conversely, a bearish cross (MACD Line crosses below the Signal Line) is a sell signal.

  • Histogram: When the histogram starts to grow in height and turns positive, it indicates increasing bullish strength. In scalping, you can enter long positions just at the beginning of this increase. If the histogram decreases and turns negative, it might be time to close long positions or open short positions, as it indicates weakening bullish momentum.