Today, there are many tools to use in the digital currency market that investors use to earn money. Choosing the right tools helps people a lot to achieve more profit. Therefore, always pay attention to what tools you use in your investments, because your choice will help you a lot in achieving or not achieving your profit. One of these prominent tools that most traders use today is Price Action RTM. You might be wondering what RTM price action is? Price Action RTM helps traders to trade digital currencies without the need for specialized knowledge and special techniques. Read the rest of the article to know RTM price action better.
What is RTM price action?
Price action is one of the trading features of the market where investors analyze the market using simple price bands, breakouts, trend lines and fluctuations. In general, price action is one of the trading methods that gives investors a complete view of the digital currency market. One of the most famous price action styles is ICT, RTM. RTM stands for Read The Market, as the name suggests, people can easily predict the market using this method. RTM price action method was invented by a person named If Myante in 2010.
RTM price action has 3 main pillars of price behavior: rally, drop and base, which can be predicted by combining these 3 price behaviors. This method is one of the sub branches of price action that you can learn about price action and its various methods by reading the article What is price action. The RTM price action method gives the investor the ability to make decisions based only on real movements and recent prices without relying on specific indicators, information and knowledge.
RTM price action training
In the RTM method, you should create a behavioral pattern for yourself by examining the charts, the supply and demand sectors that have decreased and increased, the reasons for their occurrence. Also, the order process and liquidity increase should be monitored. This method draws conclusions based on behavior that has occurred in the past, because repetition in digital currencies always occurs. One of the methods that is consistent with this RTM price action method is fundamental analysis. If you know this type of analysis well, you can easily predict the behavior of the cryptocurrency market. In order to become familiar with fundamental analysis, you can purchase the advanced digital currency training course. In this analytical method, the most important part that must be paid attention to is the ending and adding of orders and the downward or upward price trend.
These key areas in the cryptocurrency market are called ingulfs and rejects, which are used to better understand charts and graphs. If you are familiar with price action methods, especially RTM, you can easily increase your profit percentage. In general, price action is considered one of the most important key methods in the fluctuation of digital currency. So, in general, the concepts and issues that you should pay attention to in this method are price history, behavior lines, QM, CP reversal structures and CP, FO, EFO continuation structures.
Price action trading setups
These types of setups related to digital currency markets are formed by identifying weakness in the current movement of prices, and we will name their types in the following and describe each one.
setup (TST)
The TST setup or support and resistance occurs when the price cannot cross the Support and Resistance ranges, because when the price crosses these two ranges, these levels will no longer be maintained, and both of them have no meaning anymore, and there is a chance of success. It is in this context that the price reacts more to the resistance of the time frame.
setup (BOF)
In the failed breakout method, as you can see, the price crosses the support and resistance range and penetrates it. This article means that traders or traders of the digital currency market have entered the transaction when the price has broken and because the market is not able to continue the path, it causes the traders to fall into the trap and when they exit, more pressure is placed in the opposite direction of the failure. will be.
setup (BPB)
In this method, the price creates a weak pullback after crossing the support and resistance framework, which indicates that the pullback is weak in the path and the power to move is new. People or users who are active in this field of digital currencies should pay attention to the fact that to find signs of weakness, they should check the movement of the path and if they see weakness or weakness in the pullback after the failure, find the BPB trading setup. do
setup (PB)
A point that is very significant and important in the analysis of price movements in the digital currency market is that the market always moves in the direction of strength and against the direction of weakness. Therefore, professional and great traders use these weak pullbacks to find traders who have mistakenly moved in the opposite direction of the weakness, or by exiting them, they strengthen the movement in the direction of the main trend.
Also pay attention to this point; By means of candlestick analysis of price movements, you can use it to understand the time of the end of the pullback, which is the high and low of the previous swing, which increases the probability of ending pullbacks.
setup (CPB)
In the CPB setup or complex pullback, it is created in the process of realizing complex pullbacks after entering the transaction because this setup consists of a large number of fluctuations or time correction and erosion. By looking at the weakness in this complex correction, you can use the CPB trading setup. CPB can be motivated by the occurrence of failed PBs that the price has not yet moved on the path.
RTM price action setups
The setups that we want to discuss in the following will help you in this analysis method. In general, RTM becomes efficient and useful when you can use its features properly.
Read more: Training to enter the digital currency market
Can Can setup
There is no specific and complicated definition and explanation for this type of setup, so we will briefly explain it to you dear ones. If you look at the price charts, they have points that can fall or rise suddenly. The main price nodes occur in these places and understanding them will help you to make more profit.
QM setup
This type of method is one of the most powerful methods in price action RTM. This type of setup is related to the amount of supply and demand and usually its form is in the form of a heart tape. In this way, when there is an upward trend, a peak at the beginning of the price and then a price floor. In this case, when the price floor or price ceiling rejects the previous one, the market will take an upward trend shortly after. In the bearish mode, we have the price floor first and then the increase, in this case, after it breaks the price floor, it rises, but after a while, it falls again and the price is lower than its previous price. he does.
Read more: Smart Money training
Diamond setup
Diamond setup appears on the chart when the previous pattern does not work properly. This type of model, in addition to misleading buyers, also misleads sellers. Therefore, most of the exchanges solve their lack of liquidity easily through investors’ capital. As we mentioned, this pattern occurs when the QM pattern does not work properly and as in the picture above, the states of H, L, HH, LL, HHH occur.
RBD setup
The RBD pattern, which stands for Rally Base Drop, is suitable for trading in the above time frames. How to find the RBD area You should look for very sharp dips in the upper frames. Wherever you see this happening, you’ll find the highest point where the drop has started and I’ll consider that. After finding the Drop, we go to find the Rally area, which is always present before a sharp drop. Because there is always a good rise before a sudden fall; This area is known as the rally area. In this area, the buyer and the seller are involved and the volume of digital currency equations increases a lot. The base mode is exactly where the buyer and the seller are fighting, and the seller wins in the end.
Conclusion
Price action is one of the best methods available in the digital currency market, through which you can easily earn money. Now, if you learn the techniques and methods of price action well, you will also increase your profit percentage. Price action methods are very useful for those who are new and don’t know much about the digital currency market. One of the routine and common methods of price action is RTM, which is done by checking charts, price trends, and the things mentioned above. In this article, we explained the price action RTM method for you, and we also tried to answer the question of what is the price action RTM.