Ever heard of Bitcoin? The rising digital currency is also busy discussed by forex traders. Many think that Bitcoin's sale can only be done manually, where profit can only be obtained from Bitcoin price increase alone. In fact, there are various Bitcoin trading strategies if you trade them via the SimpleFX Broker. An example is the BTC / USD trading strategy with the following Moving Average Indicator which allows you to gain profit, either when Bitcoin rises or falls.
Set-up of BTC / USD Simple Trading Strategy Moving Average is the simplest and most widely used trading indicator to monitor market conditions while finding trading opportunities. The form of a line representing the average reference price of a particular period in the past, stacked above the price graph. Actually there are some types of Moving Average, but here we will use the smoothest line (smooth) in averaging the movement, the Exponential Moving Average (EMA).
Briefly, the BTC / USD trading strategy with the Moving Average indicator is a duo EMA-5 and EMA-20 installed on the BTC / USD timeframe chart 15 minutes (M15). Here are the steps to install the setup:
1. Open the SimpleFX broker site dashboard.
2. Make sure the dashboard is showing the BTC / USD chart. If not, look to the rows of currency pairs on the left side, then grab the BTCUSD symbol, drag and drop above the chart. Set timeframe on M15. Change the price graph from line to candlestick. The option to change the timeframe and change the type of graph is in the position circled orange in the following .
3. Next, look at the button with the f curly f symbol on the menu sequence parallel to the Timeframe option earlier. Click the button. Later will pop-up contains eight choices of technical indicators that you can install on the chart. Select Moving Average.
4. After that, it will pop-up to adjust the Moving Average setting, as in the picture below. Fill in the Period columns with numbers
5. change the Calculation Method with "ema", then click "Add" and close the pop-up window.
Trading Rules BTC / USD With Moving Average
The next BTC / USD trading strategy is pretty easy. You only need to observe crossover points between the EMA-5 (red) and EMA-20 (blue) lines. Rules:
1. If the EMA-5 line crosses the EMA-20 line upwards, it means it is a BUY opportunity.
2. If the EMA-5 line crosses the EMA-20 line downwards, it means it is a SELL (SELL) opportunity.
