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Linear Regression Scalper

Unveil the potential of low and medium cap altcoins through the precision of our Linear Regression Bands Scalping Strategy. Tailored for traders who thrive in the fast-paced environment of the cryptocurrency market, this strategy is optimized for scalping on short timeframes, particularly 3 to 5 minutes, though adaptable across a range of trading conditions. You can request a trial for a period of time to see if you want to use the strategy, https://www.tradingview.com/u/rosedenvy/ Warning: past results are not indicative of future gains. Please read the guidelines of the website, we provide tools for you to use, not guaranteed profit.
0/5
(0)
Type: Instruments: ,
Symbols: BLZ/USDT, low to medium cap altcoins
Timeframes: 3 – 5 min, should be used in ranging markets.
Net profit: 132 %
Win Rate: 88.8 %
Profit Factor: 19.42
$ 49.00
$ 19.00

/ month

Description

Description:

Unveil the potential of low and medium cap altcoins through the precision of our Linear Regression Bands Scalping Strategy. Tailored for traders who thrive in the fast-paced environment of the cryptocurrency market, this strategy is optimized for scalping on short timeframes, particularly 3 to 5 minutes, though adaptable across a range of trading conditions.

Leveraging the mathematical prowess of Linear Regression alongside dynamically adjusted Standard Deviation bands, our strategy aims to pinpoint outlier trading opportunities with high precision. The strategy’s core revolves around the concept of standard deviation as a measure of volatility, enabling traders to make informed decisions based on the proximity of price to these critical bands.

Features:

  • Dynamic Entry and Exit Points: Choose from seven different levels for both entry and exit, ranging from the Linear Regression line (Basis) to three Standard Deviation (SD) bands above or below it. This granularity allows for customized strategy tuning to match your risk tolerance and trading style.
  • Adaptive to Market Conditions: Designed for 3-5 minute timeframes, with recommendations for adjusting lengths based on market volatility and timeframe shifts. Suitable for high-frequency trading scenarios common in altcoin markets.
  • Customizable Take Profit and Stop Loss Levels: Initial settings aim to capture outliers, with TP and SL percentages set outside the usual range. Adjust these parameters to fine-tune the strategy’s responsiveness to price movements and secure gains while minimizing risks.
  • Color-Coded Visualization: Quickly assess market conditions with color-coded SD bands – darker colors indicate proximity to the Linear Regression line, while brighter colors signal outliers. This visual cue aids in rapid decision-making during scalping sessions.

Ideal Use Case:

This strategy shines in low to medium cap altcoin markets, where volatility can provide ripe opportunities for scalping. It’s particularly suited for traders who prefer low timeframes and demand a high level of precision in their technical analysis tools.

Configuration Tips:

  • Start with the suggested length of 500-1000 for the Linear Regression calculation on 3-5 min timeframes. Adjust based on the asset and market conditions.
  • The TP and SL percentages are initially set to 99% to encourage trades outside the typical range. Once you’re comfortable with the strategy’s operation, fine-tune these values to optimize for your trading goals.

Visual Aids:

Plots include the basis Linear Regression line and six Standard Deviation bands, each with distinct color for intuitive analysis. These visual aids are designed to help traders quickly identify the price’s position relative to expected volatility and regression trends, essential for making fast, informed scalping decisions.

Warning – so far I’ve had the best results within ranging markets. In a bull run it wont work with default settings, because it tries to short the outlier long candle with the idea that it will regress to the linear regression line, that most likely won’t happen in a bull run. It can work if you completely change entry requirements for bull runs. It is a tool to be fitted to your strategy.

Warning: past results are not indicative of future gains. Please read the guidelines of the website, we provide tools for you to use, not guaranteed profit.

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When they are so profitable why should they sell them? Good question and it’s a valid point, but it can indeed make sense for profitable traders to sell their scripts.

The answer is pretty simple: A second income stream. 

While markets are volatile and no indicator or strategy works perfectly, even top traders have bad times with drawdowns and losses. Selling scripts provide them another income stream that helps them to earn money even in bad market times. 

Also consider that traders normally have a bunch of indicators and strategies, allowing them to sell some of them and keep others.

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Here is a video tutorial with the whole process

“Best” is really subjective and depends on your own trading style.

But in terms of profit the “Relative Strength Trend Strategy” is the most profitable right now.

If you like to trade specific markets and instruments, we have especially optimized strategies for that:

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Our strategies are deeply backtested and optimized, as well as risk adjusted (You can also set your own risk level). The likelihood of losing money long term is very low. 

You can test them yourself deeply on TradingView.

But of course trading is risky and in bad market conditions it can come to drawdowns. Historical results never ensure future profits.

You find all information about the right settings on the details page of the strategy (on pineindicators.com).

Here is a video tutorial how to set up correctly

When you want to change the currency it can come to an error of the script. This happens because some of our strategies use the initial capital to calculate order size (to be more profitable, have less drawdowns and let you set your own risk level), but this changes the value of the ratio between risk multiplier and initial capital and can result in an error.

But here is the solution to it:

  • Change your risk multiplier to more suitable level for your currency value to get it back in the right ratio. (For IDR for example set it to around 0.07)
  • Don’t set your initial capital too low, because the minimum order size in TradingView is 0.1 lots (Which also results in an error)


Here is a video tutorial on how to change currency and get rid of errors

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Don’t worry, this is also easy to fix!

Choose the correct instrument, timeframe and settings for your strategy. You find all information on the details page of the strategy on pineindicators.com

If you change the settings, like the initial capital or currency it can also create an error: Please adjust it correctly by using more initial capital and/or in-/decrease your risk multiplier (For example for IDR try 0.07)

Here is a video tutorial on how to change currency and get rid of errors

Of course not. All strategies are deeply backtested to make sure they are non repainting, giving real time alerts and signals and have build in risk management, so you can just focus on trading and don’t need to worry about any technical stuff.

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