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Wednesday, September 20, 2023

ETHEREUM SCALP TRADING DYNAMICS … PART 1

 

“Money hits market = create waves = potential opportunity = PROFIT!!”



There are only 2 other markets that can compete against Ethereum [ETHUSDT]

@ IQCENT FOR BEST SCALPING / TRADING MARKET in existence … 1) EURUSD,

& 2) Bitcoin [BTCUSDT], both traded @ IQCENT as well … most trading days

see ETH hitting “the sweet spot” over & above both EURUSD & BTC, and being

more consistent in its daily & NY session ranges … liquidity for all 3 are strong,

and while BTC enjoys 1 penny spread as well as ETH, the LP @ IQCENT makes

a better market in ETH than they do for BTC … just cuz BTC goes up/down a

couple of bucks at either Phemex or Coinexx, doesn’t mean or equate to the

same corresponding price move @ IQCENT, where it’s gonna take a move more

than that to get BTC to move … and for that reason, BTC isn’t quite as strong a

scalping market as ETH, it’s better as a day trading market … in addition,

“Trend VIX” is usually weaker in BTC, so ETH enjoys more trading opportunities,

whether you trade it long or short … EURUSD has its advantages, with crazy low

margins and the LOWEST COST TO TRADE OF ANY PAIR OUT THERE

EXCLDUING CRYPTO, but it lacks VIX on far too many days and NY sessions

… yea, when VIX is present and EURUSD is moving somewhere, it’s definitely

worth trading @ IQCENT … other houses not so much cuz the LP’s do

everything in their power to erode scalp gains, mostly via “variable spread

games” and slippage … you just aren’t gonna get the fills you want at the

price you think you should get … that’s how they defeat you! … those problems

don’t exist at IQCENT!


I commented yesterday, that you have to know the “basis” when trading ETH

… meaning, look at the cash ETHUSDT market at Coinexx for an LP based

market price, or large crypto houses like Phemex [or Binance] versus the

ETHUSDT price at IQCENT … they will never be exactly the same cuz they are

different platforms across different exchanges as their main market … each has

its own dynamics and spec order flow, with “arbs” keeping the markets close

to each other … the link to the Phemex ETHUSDT directly below.


https://phemex.com/trade/ETHUSDT


And cuz of this phenomena, price can get “out of line” for a second or two

where you can take advantage … I’ve literally done this many, many times … cuz

while the spec Dopes trading at Phemex get a 1 penny bid/offer spread, they

also pay 0.12% of the notional they trade as a round turn [RT] commission … at

current price of about $1640, that comes to roughly $1.97 … in other words, it

costs them about $2 per 1 lot to trade … at IQCENT, we got the 1 penny spread

and nothing else! … and that means I can scalp ETH for 50 cents, $1, maybe

$1.50 and “ring the register” all day long, while Phemex traders can keep praying

it can go $2 so they can break even … ditto with BTC as well … and with on

average a 420 PIP range in the New York trading day, what the Hell do you want

as a trader looking for scalp opportunities WITHOUT THE HIGH COST OF

TRADING THAT PARTICULAR MARKET? … ONE OF MY MAIN FRUSTRATIONS

AS A TRADER, in this era of central bank manipulation and the crushing of VIX,

is the total & absolute INCONSISTENCY of mainstream markets to keep VIX

levels steady … nowhere is this more evident than in crude oil, dollar FX pairs,

and gold … e.g., one day in EURUSD it moves and has a NY session range of

100+ PIPS, and then it’s followed by multiple days in a row of total bullshit,

where you’re lucky to see a 30 PIP range, and trading action is D.E.A.D.!


There’s no question that crypto pairs have lost that bullish shine they enjoyed

when people FOMO’d the shit out of BTC & ETH a few years ago … those ranges

and trading action most likely gone forever … and while that is surely a negative,

the positive side of things is that we have the ability to trade BTC, ETH, DOGE, &

XRP with the LOWEST COST TO TRADE ANYWHERE @ IQCENT … OK, we have

a new paradigm in crypto, one where trading action is more confined and stable

around lower levels of VIX, but with a 1 penny bid/offer spread and no

commissions, all you need is ANY MOVEMENT AND YOU’RE UP MONEY … quite

frankly, I don’t know why others trade at crypto houses with high “gas fees”

[commissions] and then expect to make money … there’s no way you can scalp

ETH [or BTC] at Phemex and expect to consistently book profits … sure, you

can day trade ‘em, but why would you shovel money to arbs & the house when

you can put it in your pocket? … and I’m not talkin’ small amounts of dinero

either … over the course of a year it’s multiple thousands of dollars!


Today of course, is FED Lounge Lizard day … and that means the entire day up

to 2 PM EST in FX is a pitiful joke … held hostage by politics, central bank

Apparatchiks, and the nature of the FX paradigm where scumbag banks control

everything, the trade this week so far a complete joke … who the fuck wants to

hold a position in EURUSD for multiple minutes, maybe longer, just to scratch

out 1 PIP on a scalp? … screw that, it makes no sense! … maybe gold moves, but

lately it sure hasn’t … I do think my theory where the FED is crushing gold VIX to

cheapen their short calls is valid, cuz price declines ain’t gonna be happening to

the tune the FED needs to get out, and the only other option [no pun intended] is

to bleed volatility out of call premiums and therefore prices of the short strikes

… what the Hell else is there to bail them out?


One of the “norms” of successful crypto trading, especially the “Big Two”, which

are BTC & ETH, is the following “Golden Rule” … “Before “Whales” take price

HIGHER, first they have to convince the collective spec trading community it’s

going LOWER, and before they take price LOWER, first they have to convince

the collective spec trading community it’s going HIGHER” … it’s how very large

traders insure they get the best price for the size of trades they do, by fading

spec buy/sell orders WITHOUT MOVING PRICE THAT WOULD ORDINARILY

HURT THEM … make no mistake, “Whales” in crypto learned from the feet of

the FX masters in how to successfully manipulate a market … the difference is

government manipulators DESTROY VIX, while “Whales” INCREASE VIX cuz

they’re interested in profit … government Apparatchiks don’t even know what

“profit” is! … and we see this every single frickin’ day! … just look at the

trading difference between EURUSD and ETHUSDT and the way each trades

… are you fucking kiddin’ me?


To be sure, both the slimeball rats that make up the LBMA in spot gold, as well

as the scumbag bank LP’s that run FX, use the crypto “Golden Rule” as well to

defeat and rape specs all the time … that’s why you have to be wary of

buying / selling breakouts on traditional trendlines, especially if there’s a large

spike to create the breach … you somehow think the manipulators don’t or

can’t see the m1 charts? … they’re looking for stops to fade.


Yes, sometimes there is news that affects ETH, but it’s gotten to the point

where it’s “few and far between” events … the risk of news that obliterates your

position in FX [long or short] happens far more frequently, and that’s not even

considering all of the political bullshit that goes on with pairs like USDJPY or

EURUSD … for all intents & purposes, ETHUSDT is almost 100% spec based

… there are no scumbag banks … there are no central banksta criminals … there

are “Whales”, but they create volatility which is beneficial … and the one thing

you can absolutely count on with 100% certainty, is that the “Chuckleheads”,

Mrs. Watanabe & Gal Pals, and Newbies that come in by the migrant busload,

will absolutely FOMO & panic and end up buying tops and selling bottoms,

day in day out as long as humans are around to trade, and will fund the 10%

of those who are profitable … and therefore, these human psychological traits

in the collective are INVIOLATE! … and that means, from the long side of the

equation cuz that’s where I trade crypto pairs from, you have to buy before the

spec collective sees the rally, and then seconds later when they see it and panic

bid it higher, you give it back to ‘em and say, “thank you, come again!”

… rinse / repeat and let’s make another 50 - 100 trades today under the EXACT

SAME SET OF CIRCUMSTANCES! … and again, I’ll repeat … “why the Hell do

you think people paid hundreds of thousands of dollars to stand on a trading

floor and in a “pit”, and commuted into shitholes like Murder, Illinois

[a/k/a Chicago] on a daily basis? … cuz they liked shithole third world cities?

… of course, IT WAS TO DO EXACTLY THIS, WHERE THE COSTS TO TRADE

WERE THE BEST IN THE WORLD, AND EVEN THE LOWLIEST 1 LOT POND

SCUM TRADER COULD MAKE 6 DIGITS WITH HIS/HER EYES CLOSED … and

now it’s even better AND CHEAPER! … somebody pinch me or wake me

the fuck up, cuz what’s not to like here!? … cuz right in front of your nose is

the greatest CONSISTENT MONEY MAKER the world has ever seen, with ease

of entry so ridiculously easy a retarded kitten on meth could do it … and yet,

you still got shiploads of people who think $7 / hour for their labor is the only

way … I’ll never understand this in a million years!


And the “dirty little secret” is, anybody can start with ANY AMOUNT of money

and build it from there … IQCENT has a minimum deposit of $20, and people can

trade ETHUSDT starting at 0.10 lots … don’t sit there and tell me what a fuckup

you are and can’t afford $20 to get going [or more, whatever] … that’s a lie and

you know it … quite frankly, other than traveling to your house and dragging your

ass off the couch and making the trades for you, WTF do you want from me?

… I’m about the only professional trader you’re ever gonna meet who is willing

to help you, get you started, and give you the trading algorithm to boot

… FOR FREE! … everything you need is here on the website.


I do think, that ETHUSDT scalpers can use the same algorithm for scalping as

EURUSD … i.e., VIDYA CMO 1.1 with parameter settings at 7, 2, median price

… color AQUA FOR UPTREND, COLOR WHITE FOR DOWNTREND, and at the

bottom a simple stochastic with default MT4 settings of %K = 5, %D = 3,

SLOWING = 3, PRICE FIELD = LOW/HIGH, MA METHOD = SIMPLE,

FIXED MIN = 0, FIXED MAX = 100 … IN “LEVELS”, YELLOW LINES AT 80 &

90 / 10 & 20 … directly below from earlier today, a screenshot of the MT4 m1

from Coinexx of ETHUSDT.


click on chart to enlarge


I concentrate my long scalps 1) when the stochastic is down at the 10 - 20 level

or very close to it, and look for a turnaround, and 2) when VIDYA then turns AQUA

FROM WHITE … I’ll look for small dips in price on the IQCENT PLATFORM and

buy … if for some reason I don’t like the price fill, I’ll immediately get out … when

price spikes up, I’ll sell … sometimes this happens in literal seconds, or it may

take a minute … and if it refuses to cooperate, I exit the trade … with a 1 penny

spread and no commissions, what’s the penalty? … and as you can see just

from this roughly 2 ½ hour period, there are at least 8 scalp opportunities where

the price moved higher … I mentioned before in prior blog posts about “basis”

… i.e., the difference between Coinexx ETH and IQCENT ETH … generally, this

“basis” fluctuates between +$1 HIGHER to -$1 LOWER of the price at IQCENT

relative to the Coinexx LP, who is simply arbing and making a market with a

guaranteed fix for the LP [nice work if you can find it!] … that doesn’t mean it

can’t go higher or lower than that, cuz when SHTF in crypto, all rules go out

the F-ing door “el quicko mucho”! … but for my money, if I’m looking to buy,

no way am I buying that premium and then get disappointed as it comes in and

costs me … in other words, “do your homework!”


And while EURUSD can see “gap pricing” almost anytime, ETHUSDT @ IQCENT

IMHO enjoys smoother trading when both markets are moving … ETHUSDT is a

24/7/365 market that never closes, while EURUSD is very much a session affair,

where currently the latter part of the trading day from 12:00 - 24:00 sees most of

the activity … boil it all down to “dollars & cents” and it becomes mighty tough to

argue with ETH as a scalping market, ESPECIALLY WITH A 1 PENNY SPREAD

… seriously, get real … there just isn’t anything better on a consistent day-in

day-out basis! … and IMHO, ETHUSDT @ IQCENT is approximately 1.2X - 1.3X

MORE VOLATILE than the Coinexx ETHUSDT … A LITTLE BIT MORE ON

RALLIES AND A LITTLE BIT MORE ON BREAKS … the “basis” trade if you will!

… if you find a better  market, please let me know, cuz I don’t see it anywhere

… ETHUSDT throws off as many, if not more, scalps as EURUSD ever thought

of having on a good day!


The betting money is on the FED Lounge Lizards doing nothing today … in

other words, “pausing” … the suspense is in the “dot plot” going forward into

November & December and where they project rates to go … “higher for

longer”? … we’ll see, but markets aren’t buying what the Lounge Lizards are

selling, and that can make for some “bumpy” trading going forward, especially

for EURUSD, where DEPRESSION for the E.U. looks like a slam dunk certainty

… but, we’ll see, and we’ll see how this plays out in gold.


Well, that escalated quickly didn’t it? … no, not the FED … somebody panicked

in gold, and off we go to the upside … seems somebody is convinced the FED

“dot plot” will show dovishness, or they’re just too short with no place to go cuz

gold ain’t going down … in any event, please!, more days like this with a razor

thin spread of 5 - 7 dents per OZ.!


No trades today for the PAMM in gold, as we await the FED at the end of the day

… we’ll see what tomorrow brings … I don’t see how it can be any worse than

what we’ve seen these last weeks in gold, with exceptionally tiny ranges,

diminished VIX, and lackluster trading action … but we’ll see … over at IQCENT,

a supertanker shipload of ETHUSDT trades today on light volumes, and

“The Syndicate” is UP APPROXIMATELY 0.4% … onto tomorrow.


… OUTTA HERE … “The future’s so bright I need 2 pairs of sunglasses 😎😎,

and my own Brinks armored truck” 💓!! … Onward & Upward!!


-vegas

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