BTCUSD (Bitcoin / US Dollar) 1-hour pullback buy signal [RCI 3 lines + BODSOR]

※BODSOR is an indicator developed to improve the entry accuracy when buying on dips or selling on rallies using the RCI3-line.
It is an indicator developed to enhance the accuracy of entries when buying on dips or selling on rallies using the RCI3-line.



RCI3-line and BODSOR utilization examples

One of the features of the RCI3-line (RCI9, RCI26, RCI52) is

“When all three RCIs point in the same direction, price movement in that direction tends to be stronger.”

There is such a tendency.

If RCI26 and RCI52 are rising (falling) while RCI9 is falling (rising),
when RCI9 reverses“the three RCIs align in the same direction”, meaning that the price could move strongly upward.

Therefore, detecting when RCI9 will reverse is very important.

(Case by case, simply waiting for an exact reversal of RCI9 often leads to a large delay.)


Hence, BODSOR was developed to detect as early as possible the timing when the momentum of the rise (fall) of RCI9 weakens.
This is how BODSOR was created.


The figure below shows Bitcoin/U.S. Dollar on a 1-hour chart.


Bitcoin/U.S. Dollar 1-hour chart

Upper: BODSOR
Lower: RCI3-line (Red: RCI9, Light blue: RCI26, Yellow: RCI52)


Dip-buy signal (pink arrow circled)

Among the three RCI lines, only RCI9 is clearly declining.
If RCI9 reverses and rises, all three RCIs may rise together.
In other words, price could rise strongly.

In such a situation,BODSOR signal for dip-buy (pink arrow) lights up.

Subsequently, the price can be seen to gradually rise.


Using the RCI3-line to perform dip buying or selling on rallies to improve entry accuracy
is the purpose for which this indicator was developed


Twitter
https://twitter.com/RCIX3Line

Blog
http://bodsor.blog.fc2.com/

Investment Navigation+
https://fx-on.com/navi/serial/?id=359

YouTube
https://www.youtube.com/channel/UCL-g5uAlesiWVJEDtWlFvGw


Examples of dip-buy and buy-on-dips on the USD/JPY 1-hour chart



※In charts within this article, for convenience of explanation, circles, straight lines, and squares may be drawn.
Please note.