[closed] Trading bitcoins using doji's, charts, technical analysis

I am very new to BTC, and I would love to use technical analysis to buy/sell.

Is there a software package/service that lets me trade bitcoins using technical analysis? I used to trade the DOW based on technical charts that I created.

For example I would need candlesticks, the ability to draw s/r lines, moving averages, as well as multiple timeframes ie 5 min, 1 hour, daily, weekly candlesticks. Fibonacci, etc.


asked 19 Mar '13, 21:36 tigeruppercut 18117 tigeruppercut's gravatar image
closed 25 Mar '13, 17:50

I came across this article and thought you might like it:

Technical Analysis: Chart Patterns

(24 Mar '13, 19:09) retouchforbtc retouchforbtc's gravatar image

The question has been closed for the following reason "Montana won 50.00 mBTC for the best answer." by tigeruppercut 25 Mar '13, 17:50

Actually, you really ought to seriously reconsider using traditional chartist methods to attempt to forecast movements in BTC relative to hard currency.

Cryptocurrencies are a fundamentally new creature... a whole new species unlike any other. The only useful thing that traditional charting methods can give you is an idea of what OTHER chartists suppose But there are few of those and they likely are of no consequence to market price. Remember... the whole business of BTC, LTC, and others like them, is predicated ENTIRELY on Community Faith in an Algorithm, and the infrastructure that supports it.

It is a hugely emotional market: all greed and fear. You can expect wild swings, and over time, a steady (averaged, of course) climb upward. Even simple things, like a huge surge in both price and volume together, cannot be safely relied upon as an indicator, especially a short term one.

Here is a fairly safe way to trade other than just buy and hold:

Try to keep half your working capital in BTC, /the other half in currency (dollars, euros, what have you). With the dollars, set a buy price 20% below the current price. With the BTC, set a sell price 20% above the current price. Then just leave them till one triggers, and reset your buy and sell as above.

A more sophisticated version is to have 2 or even 3 graduated buys and sells.

Good luck and keep your eye on LTC as well.

answered 20 Mar '13, 01:37 Montana 8677 Montana's gravatar image

Thanks for the advice. I will try this strategy.

(20 Mar '13, 02:00) tigeruppercut tigeruppercut's gravatar image

I'm not aware of an automated chart based trading software specifically for bitcoin.

However bitcoincharts.com offers a lot of TA displaying options, including candlesticks.

answered 19 Mar '13, 22:22 QQQ 4493 QQQ's gravatar image

Thanks for the link. This is closer to what I am looking for.

I am used to Tradestation. I could get by if I had 3-5 timeframes being shown simultaneously while being able to draw. I prefer day trading/scalping, I would need the charts updating constantly. For longer term, I could probably use the charts in your link (maybe).

This doesn't exist? Nobody has this service offered yet?

(19 Mar '13, 22:42) tigeruppercut tigeruppercut's gravatar image

I'm not aware that anybody has ever offered a chart-based daytrading service like Tradestation for Bitcoin. There used to exist "Bitcoinica", a Bitcoin trading platform which turned out to be a huge fraud scheme - but this also did not offer any real chart-based trading.

Maybe the software in development mentioned by equivalent could fit your needs (partially).

(20 Mar '13, 11:47) QQQ QQQ's gravatar image

If you want to make real money, watch this video and listen to what Jesse Livermore had to say.

Hold (Bitcoin) for the longest time

"After spending many years in Wall Street and after making and losing millions of dollars I want to tell you this: It never was my thinking that made the big money for me. It always was my sitting. Got that? My sitting tight! It is no trick at all to be right on the market. You always find lots of early bulls in bull markets and early bears in bear markets. I've known many men who were right at exactly the right time, and began buying or selling stocks when prices were at the very level which should show the greatest profit. And their experience invariably matched mine that is, they made no real money out of it. Men who can both be right and sit tight are uncommon. I found it one of the hardest things to learn."

answered 23 Mar '13, 17:24 SalvorHardin 7515 SalvorHardin's gravatar image
edited 23 Mar '13, 17:37 paraipan 4.7k11165 paraipan's gravatar image

In my opinion, you're better off avoiding technical analysis to buy/sell (trade) Bitcoin or any other asset. Try looking more at the fundamentals, and if the cost < market value, then consider buying (or working, or mining) Bitcoins.

answered 25 Mar '13, 02:16 statisticool 1212 statisticool's gravatar image

I enjoy using technical analysis. It's me doing my best in understanding the psychgology of the herd. I am basically doing this to brush up on my technical analysis and see if it leads anywhere. very casual.

(25 Mar '13, 03:08) tigeruppercut tigeruppercut's gravatar image

Is this thread any use to you?


answered 20 Mar '13, 01:22 equivalent 1563 equivalent's gravatar image


You've got it!

The software is about to be released. They are beta testing it.

(20 Mar '13, 01:56) tigeruppercut tigeruppercut's gravatar image

Oh, glad I could help! If you pm the op, maybe you could be one of the beta testers?

(20 Mar '13, 02:00) equivalent equivalent's gravatar image

At this point in time, the best way to make money trading Bitcoins seems to be to buy them, wait a while, then sell them when they have rocketed in value.

Alternatively, you could purchase them using a service like BitBargain https://bitbargain.co.uk/buy?thing=BTC&pay_method=UKBT&amount= and then sell them by another ( more expensive for the buyer service ) such as e-Bay or Bcchanger http://bcchanger.com/bitcoin-sell-orders

answered 21 Mar '13, 20:35 joe70 1.2k6 joe70's gravatar image
edited 21 Mar '13, 20:36

The resources I use for guiding my bitcoin trades are:-

http://www.bitcoincharts.com/markets/mtgoxGBP.html and http://www.bitcoinity.org/markets

The first has very good charting tools and the second gives a live feed on prices.

Other than that be aware that the general long term trend is an exponential increase in value due to the ever diminishing increase in supply and the likely ever increasing demand as a small market grows to become a mass market.

answered 24 Mar '13, 17:58 anarchomedia 862 anarchomedia's gravatar image

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