โ๏ธTypes of Settings
Last updated
Last updated
ERKEScan is a versatile tool designed to cater to various trading styles, including scalping, day trading, and swing trading. Understanding the main market trend is crucial when configuring the screener and settings to ensure optimal performance. This article will cover different settings for each trading style and provide comprehensive alert configurations suitable for various market conditions, including both buy and sell settings.
Before diving into the specific settings, it's essential to recognize the importance of understanding the main market trend. Whether the market is bullish, bearish, or ranging can significantly influence the effectiveness of your trading strategy. Always ensure you have a clear understanding of the prevailing market conditions and adjust your settings accordingly.
Scalpers aim to make quick profits by taking advantage of small price movements within very short timeframes. Here are the recommended settings for scalpers:
Open Interest (OI) Change
Parameter: OI Change 5m > 2%
Rationale: A quick increase in open interest suggests immediate market activity and potential buying opportunities.
Volume Delta (Vdelta)
Parameter: Vdelta 5m > $100,000
Rationale: A significant increase in volume indicates strong buying pressure.
Price Change
Parameter: Price Change 5m > 0.5%
Rationale: Quick price movements are essential for scalping strategies.
Ticks
Parameter: Ticks 5m > 500
Rationale: High-frequency trades within a short timeframe suggest active market participation.
Volatility
Parameter: Volatility 5m > 0.02
Rationale: Moderate volatility helps scalpers capitalize on small price swings.
Open Interest (OI) Change
Parameter: OI Change 5m < -2%
Rationale: A quick decrease in open interest suggests immediate market activity and potential selling opportunities.
Volume Delta (Vdelta)
Parameter: Vdelta 5m < -$100,000
Rationale: A significant decrease in volume indicates strong selling pressure.
Price Change
Parameter: Price Change 5m < -0.5%
Rationale: Quick price drops are essential for scalping strategies.
Ticks
Parameter: Ticks 5m > 500
Rationale: High-frequency trades within a short timeframe suggest active market participation.
Volatility
Parameter: Volatility 5m > 0.02
Rationale: Moderate volatility helps scalpers capitalize on small price swings.
Day traders hold positions within a single trading day, looking for significant price movements. Here are the recommended settings for day traders:
Open Interest (OI) Change
Parameter: OI Change 15m > 3%
Rationale: A noticeable increase in open interest over a quarter-hour period indicates active market participation.
Volume Delta (Vdelta)
Parameter: Vdelta 15m > $300,000
Rationale: A large volume change within 15 minutes signals strong market interest.
Price Change
Parameter: Price Change 15m > 1%
Rationale: Significant price movements within 15 minutes are ideal for day trading.
Ticks
Parameter: Ticks 15m > 1,000
Rationale: High trading activity within 15 minutes indicates a liquid market.
Volatility
Parameter: Volatility 15m > 0.05
Rationale: Moderate to high volatility provides ample trading opportunities within the day.
Open Interest (OI) Change
Parameter: OI Change 15m < -3%
Rationale: A noticeable decrease in open interest over a quarter-hour period indicates active market participation.
Volume Delta (Vdelta)
Parameter: Vdelta 15m < -$300,000
Rationale: A large volume change within 15 minutes signals strong market interest.
Price Change
Parameter: Price Change 15m < -1%
Rationale: Significant price movements within 15 minutes are ideal for day trading.
Ticks
Parameter: Ticks 15m > 1,000
Rationale: High trading activity within 15 minutes indicates a liquid market.
Volatility
Parameter: Volatility 15m > 0.05
Rationale: Moderate to high volatility provides ample trading opportunities within the day.
Swing traders hold positions for several days to weeks, aiming to profit from larger price movements. Here are the recommended settings for swing traders:
Open Interest (OI) Change
Parameter: OI Change 1h > 5%
Rationale: A substantial increase in open interest over an hour indicates strong market trends.
Volume Delta (Vdelta)
Parameter: Vdelta 1h > $500,000
Rationale: Significant volume changes within an hour suggest strong buying momentum.
Price Change
Parameter: Price Change 1h > 3%
Rationale: Large price movements within an hour are ideal for identifying swing trading opportunities.
Ticks
Parameter: Ticks 1h > 2,000
Rationale: High trading activity within an hour indicates a liquid and active market.
Volatility
Parameter: Volatility 1h > 0.1
Rationale: High volatility helps swing traders capture substantial price movements over days to weeks.
Open Interest (OI) Change
Parameter: OI Change 1h < -5%
Rationale: A substantial decrease in open interest over an hour indicates strong market trends.
Volume Delta (Vdelta)
Parameter: Vdelta 1h < -$500,000
Rationale: Significant volume changes within an hour suggest strong selling momentum.
Price Change
Parameter: Price Change 1h < -3%
Rationale: Large price movements within an hour are ideal for identifying swing trading opportunities.
Ticks
Parameter: Ticks 1h > 2,000
Rationale: High trading activity within an hour indicates a liquid and active market.
Volatility
Parameter: Volatility 1h > 0.1
Rationale: High volatility helps swing traders capture substantial price movements over days to weeks.
To create a comprehensive alert system that works in both rising and falling markets, consider combining the above configurations into a single strategy.
Rising Markets (Bullish)
Bullish Alert Configuration:
OI Change 1h > 5%
Vdelta 1h > $500,000
Price Change 1h > 3%
Ticks 15m > 1,000
Funding Rate > 0.05%
Volatility 15m > 0.05
Falling Markets (Bearish)
Bearish Alert Configuration:
OI Change 1h < -5%
Vdelta 1h < -$500,000
Price Change 1h < -3%
Ticks 15m > 1,000
Funding Rate < -0.05%
Volatility 15m > 0.05
Create Multiple Alerts:
Set up separate alerts for scalping, day trading, and swing trading using the parameters listed above.
Ensure that each alert is clearly labeled (e.g., "Scalping Alert: OI Increase," "Day Trading Alert: Price Change").
Monitor Key Metrics:
Use the dashboard to track real-time changes in open interest, volume, price, ticks, funding rates, and volatility.
Pay attention to the correlation between these metrics to get a better understanding of market dynamics.
Set Notification Preferences:
Configure notifications to receive alerts via Telegram or email based on your preferences.
Ensure that alerts are set to trigger immediately when the conditions are met to allow timely trading decisions.
By configuring alerts in ERKEScan with the right parameters for scalping, day trading, and swing trading, traders can stay ahead of market movements and make informed trading decisions. Regularly reviewing and adjusting these configurations based on market conditions and trading strategies will ensure optimal performance and profitability. Stay informed and leverage the powerful tools ERKEScan offers to enhance your trading strategies.
