One of the most popular questions in cryptocurrency trading is how do traders know the best time to make a profit or cut a loss? Using the 5-3-3 Stochastic and therefore 13 bar, with 3-SD Bollinger Bands along with Ribbon signals on 2-minute charts works well in markets such as mutual funds or Dow Jones Index components.
Trading with the Ribbon strategy is successful when the Stochastic exceeds the oversold level or is below the overbought level. A trader should exit a trade instantly when a scalping indicator on a crypto exchange crosses his position and then rolls against it after a favorable push.
You will see a more accurate time to exit by watching the interaction between the bar and a particular price. You should execute a take profit order if the band’s penetration predicts that the trend will either slow down or turn in the opposite direction, and scalping strategies on the crypto exchange do not work on pullbacks of any type.
In addition, you should temporarily exit the trade if a certain price does not reach the band, and the crypto scalping indicator is at a very high level, signaling you to exit.
Once you learn the workflow and interaction of the technical elements, feel free to readjust the SD higher to 4SD, or even lower to 2SD, to account for changes in daily volatility. Even more, you can overlay additional bars on top of your chart to get a wider variety of different signals.