CryptoZeno

In my 9 years trading crypto, this is the most profitable indicator I've used
This is a full guide with real examples, not just theory.
Let's begin:
Lesson 1: Market Conditions
Every strategy has an environment where it thrives and an environment where it bleeds.
A momentum trade in a choppy range gets stopped out.A mean reversion trade in a clean trend gets run over.
The main problem is that “conditions” feel subjective.
After reading this, you will be able to classify any chart as ideal, average, or poor conditions for your trading style.
First, let's understand the tool that enables classification:
Moving Averages
Raw price action is noisy.
Two traders can look at the same chart and disagree about whether it’s trending or choppy.
A moving average solves this by compressing recent price history into a single line.
More specifically, we focus on the 30SMMA.
Why 30 Specifically?
After testing multiple periods, 30 provides the best balance between responsiveness and stability.
Shorter periods (like 7) react too quickly and create noise in the indicator itself.Longer periods (like 100) react too slowly and miss changes in conditions.
The 30MA sits in the middle. It paints a clear picture of when trends start, flatten, and reverse, without overreacting to every candle.
How does the 30SMMA work?
The 30 Smoothed Moving Average (30 SMMA) calculates the average closing price of the last 30 candles.
It takes the close of each of those 30 candles, adds them together, and divides by 30
The result is a single point on the chart.
As each new candle closes, the oldest candle drops off, and the newest one enters the calculation.
This creates a continuously updating line.
The 30MA uses only price data in its formula.
The 30MA is a price-derived indicator.
This distinguishes it from counting indicators like volume or open interest, which measure market activity independent of price.
What the 30MA Shows You
The 30MA filters short-term noise and reveals the general direction of price.
Think of it like viewing a river from a helicopter instead of standing in it:
While standing in the river, every ripple feels significant.From above, you see only the overall direction of flow.The MA smooths out the ripples so you can see where the price is generally heading.
What does the "30" mean?
The “30” means 30 candles, but what those candles represent depends on your chart timeframe.
On a 1-minute chart, the 30MA shows the average price over the last 30 minutes.On a 1-hour chart, the same indicator shows the average price over the last 30 hours.
The calculation is identical, but the timeframe changes what those 30 candles represent.
The Three MA Directions
In its simplest form, the 30MA shows you the smoothed price direction. There are only three possibilities:
Upward: The line slopes up. Price has generally been rising.Sideways: The line is flat or nearly flat. No clear direction.Downward: The line slopes down. Price has generally been falling.
Common mistake: Many traders expect the MA to tell them where price will go next.
It won’t.
The MA only summarises what already happened.
Lesson 2: Setting Up the 30 SMMA and Reading Crossovers
You now understand what the 30MA is and why it matters.
Next, we will cover:
How to configure it correctly on TradingViewHow to count crossovers, the specific measurement you’ll use to classify conditions in Lessons 3 and 4
By the end, you will be able to set up the 30 SMMA with the correct settings and count crossovers on any chart using standardised rules.
Follow these steps exactly for the Setup:
Click the “Indicators” button on TradingView.Search for “SMMA.”Select “Smoothed Moving Average” and add it to your chart.Click the settings gear icon on the indicator.Change “Length” from the default to 30.Verify “Source” is set to Close.Verify “Timeframe” is set to Chart (not a fixed timeframe).Click OK.
Remember: Always verify length = 30 after adding the indicator. This setting is "7" by default, and using this will change your MA.
Now that your MA is setup, let's explore what it's behaviour means:
What Is a Crossover?
A crossover occurs when price moves from one side of the 30MA to the other.
If price is above the MA and moves below it, that’s one crossover.If price then moves back above, that’s another.
Each yellow circle represents one crossover. The total count on this chart is three.
Crossovers matter because they measure how much price is fighting the MA versus respecting it.
A low count means price is staying on one side. One group (buyers or sellers) is in control.A high count means price keeps switching sides. Neither group has control.
That distinction is the foundation of the classification system you’ll learn next.
Cross Counting Rules
These three rules ensure every trader counts crossovers the same way:
Every cross counts, including wicks.
If a candle’s wick pokes through the MA, even briefly, it counts as a cross. Don’t ignore wicks.Dwell time matters.
If price crosses the MA and stays on the other side for 10 or more minutes, count it as a full cross, even if the move looks small.
Brief touches that immediately reverse still count too.Start counting after structure breaks, not during consolidation.
When price is moving sideways in a tight range, it will naturally cross the MA repeatedly. These crosses don’t tell you anything useful.
Begin your count only after price breaks out of the consolidation and starts trending.
Visual Marking System
When analysing charts, use a highlighter tool to mark each crossover point.
This makes your count verifiable and helps you spot patterns. Yellow highlights or circles work well.
Action Step✍️:
Open TradingView and add a moving average.
Watch how the line’s slope changes as you scroll through different periods of price action. Notice how it lags behind actual price turns. That lag is a feature, not a bug. It filters out the noise you don’t need.
2. Practice counting crossovers.
Open a chart and mark each crossover you see with a yellow circle or highlighter, then count them up.
You’ll use that number in the next two lessons:
Lesson 3: Classifying Momentum Conditions
You can now count crossovers and identify MA direction.
Next, let's combine the two to classify whether conditions are ideal, average, or poor for momentum trades.
This will finally let you look at a chart and determine if your momentum strategy will make money on it or not.
The Core Logic🧠
Momentum trading means trading with the trend. You’re betting that price will continue in its current direction.
For this to work, you need two things:
A clear trend (the MA slopes in one direction).Minimal back-and-forth (price stays on one side of the MA).
👉Fewer crossovers means one side (buyers or sellers) is clearly winning.
👉More crossovers mean price keeps switching sides and neither side has control.
Remember: A trending MA confirms that direction exists and a sideways MA means there’s no trend to ride.
The Crossover Count
Your first input is how many times price crossed the 30MA since the last structure break.
This count is only one-half of the classification.
The other half is the direction of the MA.
Look at the 30MA line itself.
Is it:
Trending: Sloping upward or downward. Price is moving directionally.Sideways: Flat or nearly flat. No clear direction.
You need both pieces of information (cross count + MA direction) to classify conditions.
The Momentum Spectrum
Before looking at the full table, understand the spectrum.
Conditions range from best to worst for momentum based on both variables together.
The further right you go, the worse the conditions are for momentum.
Use this spectrum the next time you're trying to "grade" the conditions of your momentum setup.
The Momentum Classification Table
Combine your cross count with the MA direction:
Notice two patterns:
Sideways MA = automatically poor for momentum. If there’s no trend, there’s nothing to ride. It doesn’t matter how few crosses there are.7+ crosses = automatically poor for momentum. Too much back-and-forth means the trend isn’t clean enough to trade with confidence.
Why Each Classification Makes Sense
Ideal (0-3 crosses, trending MA): This looks like a slow, grindy staircase where each leg behaves similarly. Price is staying on one side of the MA while the MA slopes in a clear direction. Momentum trades have the highest probability here✅Average (4-6 crosses, trending MA): There’s a trend, but it’s not perfectly clean. Some back-and-forth is happening. Momentum trades can still work, but expect tighter management✍️Poor (sideways MA or 7+ crosses): Either there’s no trend to ride, or the trend is so choppy that momentum entries will get stopped out repeatedly. Avoid momentum trades in these conditions❌
How to Use This
Before taking any momentum trade:
Add the 30MA to your chart.Identify where the current trend started (structure break from consolidation).Count crossovers from that point to now.Check MA direction (trending or sideways).Classify using the table above.If conditions are poor, skip the trade or look for a different setup.
Momentum Trade Examples
Ideal Conditions:
Price stays predominantly on one side of the 30MA.The MA slopes clearly in one direction.Crossover count is low.
This is where momentum trades thrive✅
Average Conditions:
There’s still a trend, but you can see more interaction with the MA and more crosses.Momentum trades can work here, but require more patience and tighter management.
Poor Conditions:
Price crosses the MA constantly while the MA is flat.Neither buyers nor sellers have control. Momentum trades in these conditions will get chopped up.
Common mistakes to avoid with Momentum trades
Taking momentum trades when the MA is sideways. You might see a “breakout” and jump in, but without a trending MA, you’re trading into range-bound conditions.
Do this instead: Confirm the MA is sloping in your trade direction before entering.Ignoring repeated rejections at highs or lows. If price keeps failing to break through a level, that’s a sign of choppy conditions, even if your cross count looks okay.
Do this instead: Combine cross-counting with visual assessment. Repeated rejections signal mean reversion conditions, not momentum.Forcing momentum trades in 7+ cross environments because you “see a trend.” High cross counts mean the trend isn’t clean. Your edge is diminished.
Do this instead: Accept that some trends aren’t tradable with momentum strategies. Wait for cleaner conditions or switch to mean reversion.
Lesson 4: Classifying Mean Reversion Conditions
Now that you now know how to classify momentum conditions, it's simpler to classify mean reversion conditions.
Mean reversion uses the same two inputs (crossover count and MA direction) but with opposite logic.
The Core Logic🧠
Mean reversion trading means trading against the current move. You’re betting that price will snap back after an extreme push.
For this to work, you need:
Range-bound conditions (price bouncing between levels).Lots of back-and-forth (price crossing the MA repeatedly).
More crossovers mean the price keeps reverting to the mean. It pushes one direction, then snaps back. Pushes the other direction, snaps back again. This is exactly what mean reversion strategies exploit.
A sideways MA confirms there’s no dominant trend:
Price is oscillating around a central point rather than marching in one direction. This is ideal for buying dips and selling rips.
The Mean Reversion Spectrum
The spectrum is the mirror image of momentum.
What was worst for momentum is now best for mean reversion.
What was best for momentum is now worst for mean reversion.
The Mean Reversion Classification Table
Notice how this is the opposite of momentum?
More crosses = better for mean reversion (opposite of momentum).Sideways MA = ideal for mean reversion (opposite of momentum).0-3 crosses = poor for mean reversion regardless of MA direction (ideal for momentum).
Why Each Classification Makes Sense
Ideal (7+ crosses, sideways MA): Price is bouncing back and forth constantly with no directional trend, and every push gets faded.
Mean reversion trades have the highest probability here✅Average (7+ crosses trending, or 4-6 crosses sideways): There’s reversion behaviour, but it’s not perfectly clean.
Either there’s a slight trend making reversions less reliable, or the range isn’t fully established yet✍️Poor (0-3 crosses, or 4-6 with trending MA): Price is trending cleanly. Trying to fade moves in these conditions means fighting the trend.
You’ll get run over❌
The Key Insight: Opposite Conditions
This means the same chart can be classified differently depending on which strategy you’re considering.
A “terrible” momentum chart might be a “perfect” mean reversion chart.
How to Use This
Before taking any mean reversion trade:
Add the 30MA to your chartCount crossovers over the relevant periodCheck MA direction (trending or sideways)Classify using the table aboveIf conditions are poor, skip the trade or look for a different setup
Mean Reversion Trade Examples:
Ideal Conditions (7+ Crosses, Sideways MA):
Price crosses the MA constantly and the MA is flat.Every push in one direction gets faded.
This is where mean reversion trades thrive✅
Average Conditions (7+ Crosses, Trending MA):
There’s reversion behaviour, but the MA direction is trending rather than sideways.Mean reversion can work, but setups need to be higher quality.
Poor Conditions (0-3 Crosses, Trending MA)
Clean trend with few crossovers.Fading moves here means fighting a one-sided market.
This is where mean reversion trades get run over❌
Common Mean Reversion Mistakes
Taking mean reversion trades in clean trending conditions (0-3 crosses, trending MA): You’ll get stopped out repeatedly as the trend continues.
Do this instead: Confirm the MA is sideways or that the cross count is high before fading moves.Applying momentum criteria to mean reversion trades. Thinking “this chart is too choppy” when choppiness is exactly what you want.
Do this instead: Remember, the criteria are opposite. Embrace the chop for mean reversion.Getting frustrated by choppy price action instead of recognising it as your ideal environment.
Do this instead: When you see a mess of crossovers and a flat MA, get excited. That’s your edge.
Next Steps✍️
Now it's your turn to test this article against your strategy:
Add the 30MA to your charts using the setup instructions from Lesson 2.Practice counting crossovers on 5-10 recent charts, marking each cross with a highlighter.Classify each chart twice: once for momentum, once for mean reversion.Before your next trade, run the classification and only proceed if conditions match your strategy type.
If you can do this, you will never make a mistake when aligning the perfect market environment with your strategy.
By the way, the opposite is also true:
When you skip trades that don't fit your strategy, your trading system becomes more profitable💵
Bookmark this article so you can revisit it and master these concepts until you're profitable.
#CryptoZeno #AnthropicIPOValuationDoubts

Support and resistance are simple concepts. The price finds a level that it’s unable to break through, with this level acting as a barrier of some sort. In the case of support, price finds a “floor,” while in the case of resistance, it finds a “ceiling.” Basically, you could think of support as a zone of demand and resistance as a zone of supply.
While more traditionally, support and resistance are indicated as lines, the real world cases are usually not as precise. Bear in mind; the markets aren’t driven by some physical law that prevents them from breaching a specific level. This is why it may be more beneficial to think of support and resistance as areas. You can think of these areas as ranges on a price chart that will likely drive increased activity from traders.
Let’s look at an example of a support level. Note that the price continually entered an area where the asset was bought up. A support range was formed as the area was retested multiple times. And since the bears (sellers) were unable to push the price further down, it eventually bounced potentially starting a new uptrend.
Now let’s look at a resistance level. As we can see, the price was in a downtrend. But after each bounce, it failed to break through the same area multiple times. The resistance level is formed because the bulls (buyers) were unable to gain control of the market and drive the price higher, causing the downtrend to continue.
How traders can use support and resistance levels
Technical analysts use support and resistance levels to identify areas of interest on a price chart. These are the levels where the likelihood of a reversal or a pause in the underlying trend may be higher.
Market psychology plays a huge part in the formation of support and resistance levels. Traders and investors will remember the price levels that previously saw increased interest and trading activity. Since many traders may be looking at the same levels, these areas might bring increased liquidity. This often makes the support and resistance zones ideal for large traders (or whales) to enter or exit positions.
Support and resistance are key concepts when it comes to exercising proper risk management. The ability to consistently identify these zones can present favorable trading opportunities. Typically, two things can happen once the price reaches an area of support or resistance. It either bounces away from the area or breaks through it and continues in the direction of the trend potentially to the next support or resistance area.
Entering a trade near a level of support or resistance area may be a beneficial strategy. Mainly because of the relatively close invalidation point where we usually place a stop-loss order. If the area is breached and the trade is invalidated, traders can cut their loss and exit with a small loss. In this sense, the further the entry is from the zone of supply or demand, the further the invalidation point is.
Something else to consider is how these levels may react to changing context. As a general rule, a broken area of support may turn into an area of resistance when broken. Conversely, if an area of resistance is broken, it may turn into a support level later, when it’s retested. These patterns are sometimes called a support-resistance flip.
The fact that the previous support zone acts as resistance now (or vice versa) confirms the pattern. As such, the retest of the area may be a favorable place to enter a position.
Another thing to consider is the strength of a support or resistance area. Typically, the more times the price drops and retests a support area, the more likely it is to break to the downside. Similarly, the more times the price increases and retests a resistance area, the more likely it is to break to the upside.
So, we’ve gone through how support and resistance works when it comes to price action. But what other types of support and resistance are out there? Let’s go over a few of them.
Psychological support and resistance
The first type we’ll discuss is called psychological support and resistance. These areas don’t necessarily correlate with any technical pattern but exist because of how the human mind tries to make sense of the world.
In case you haven’t noticed, we live in a staggeringly complex place. As such, we inadvertently try to simplify the world around us so we can make more sense of it and this includes rounding numbers up. Have you ever thought to yourself that you have a craving for 0.7648 of an apple? Or asked a merchant for 13,678,254 grains of rice?
A similar effect is at play in the financial markets. It’s especially true for cryptocurrency trading, which involves easily divisible digital units. Buying an asset at $8.0674 and selling it at $9.9765 just isn’t processed the same as buying it at $8 and selling at $10. This is why round numbers can also act as support or resistance on a price chart.
Well, if only it’d be that simple! This phenomenon has become well-known over the years. As such, some traders might try to “frontrun” obvious psychological support or resistance areas. Frontrunning, in this case, means placing orders just above or below an anticipated support or resistance area.
Take a look at the example below. As the DXY approaches 100, some traders place sell orders just below that level to make sure those orders are filled. Because so many traders expect a reversal at 100 and many frontrun the level, the market never reaches it and reverses just before.
Trend line support and resistance
If you’ve read our classical chart patterns article, you’ll know that patterns will also act as barriers for price. In the example below, an ascending triangle keeps the price contained until the pattern breaks to the upside.
You can use these patterns to your advantage and identify areas of support and resistance that coincide with trend lines. They can be especially useful if you manage to spot them early, before the pattern is fully developed.
Moving average support and resistance
Many indicators may also provide support or resistance when they interact with the price.
One of the most straightforward examples of this are moving averages. As a moving average acts as support or resistance for the price, many traders use it as a barometer for the overall health of the market. Moving averages may also be useful when trying to spot trend reversals or pivot points.
Fibonacci support and resistance
Levels outlined by the Fibonacci retracement tool may also act as support and resistance.
In our example below, the 61.8% Fibonacci level acts as support multiple times, while the 23.6% level acts as resistance.
We’ve discussed what support and resistance are, and some of their different types. But what’s the most effective way to build trading strategies around them?
A key thing to understand is a concept called confluence. Confluence is when a combination of multiple strategies are used together to create one strategy. Support and resistance levels tend to be the strongest when they fall into multiple of these categories that we’ve discussed.
Let’s consider this through two examples. Which potential support zone do you think has a higher chance to actually act as support?
Support 1 coincides with:
a previous resistance areaan important moving averagea 61.8% Fibonacci levela round number in the price
Support 2 coincides with:
a previous resistance areaa round number in the price
If you’ve been paying attention, you’ll correctly guess that Support 1 has a higher chance of holding the price. While this may be true, the price could also fly through it. The point here is that the probability of it acting as support is higher than it is for Support 2. With that said, there are no guarantees when it comes to trading. While trading patterns can be helpful, past performance does not imply future performance, so you should be prepared for all possible outcomes.
Historically, the setups that are confirmed by multiple strategies and indicators tend to provide the best opportunities. Some successful confluence traders might be very picky about what setups they enter and it often involves a lot of waiting. However, when they do enter trades, their setups tend to work out with a high probability.
Even so, it’s always essential to manage risk and protect your capital from unfavorable price movements. Even the strongest looking setups with the best entry points have a chance of going the other way. It’s important to consider the possibility of multiple scenarios, so you don’t fall into false breakouts or bull and bear traps.
#CryptoZeno #BinanceReopensWithdrawalsForMoreAssets