Understanding the Trader's Cheat Sheet
The Trader's Cheat Sheet is a powerful tool listing 50 widely used technical indicators, each with projected price levels that will trigger specific trading signals for the next session. Updated daily using settlement prices, it serves two scenarios:
- Active markets: Applies to the current trading session.
- Closed markets: Activates for the next session.
👉 Master Bitcoin trading strategies to leverage these insights effectively.
Key Features
Color-Coded Signals:
- Blue-shaded triggers: Bullish interpretations.
- Red-shaded triggers: Bearish signals.
- Price Ladder: Organized from highest (top) to lowest (bottom) projected prices.
Interpreting the Cheat Sheet
Support/Resistance Legend:
- Blue below current price: Likely support to limit downtrends.
- Red above current price: Probable resistance to cap uptrends.
- Blue above current price: Confirmation of upward momentum.
- Red below current price: Validation of downward moves.
Breakout Potential: Clusters of blue above or red below the current price often signal impending breakouts, where new price levels gain confirmation through sequential triggers.
Technical Indicators Explained
Fibonacci Retracements vs. Moving Averages
- Fibonacci levels have fixed bullish/bearish interpretations.
- Moving average crossovers (e.g., short-term vs. long-term) indicate trend reversals.
Pro Tip: Ignore extreme projections (e.g., 0.00 or distant triggers)—focus on nearby levels for actionable insights.
Stochastic Stalls (14-Day)
%K Stochastic Formula:
Value1 = (3 × %K Stochastic - 2 × Raw Stochastic)Value2 = (14-Day High - 14-Day Low) / 100.0- Stall =
(Value1 × Value2) + 14-Day Low
%D Stochastic Formula:
Value1 = (3 × %D Stochastic - 2 × %K Stochastic)Value2(same as above).- Stall =
(Value1 × Value2) + 14-Day Low
Pivot Points: Intraday Support & Resistance
Calculated using daily High (H), Low (L), and Close (C):
| Level | Formula |
|----------------------|----------------------------------|
| Pivot Point (PP) | (H + L + C) / 3 |
| 1st Resistance (R1) | (2 × PP) - L |
| 2nd Resistance (R2) | PP + (R1 - S1) |
| 3rd Resistance (R3) | H + (2 × (PP - L)) |
| 1st Support (S1) | (2 × PP) - H |
| 2nd Support (S2) | PP - (R1 - S1) |
| 3rd Support (S3) | L - (2 × (H - PP)) |
👉 Optimize your pivot strategy with real-time data.
Volatility & Moving Averages
Standard Deviation: Measuring Volatility
Calculated using 5-day closing prices:
- Average: Sum of last 5 closes ÷ 5.
- Variance: Subtract average from each price, square the result.
- Sum squared variances, multiply by 2 (for SD2) or 3 (for SD3).
- Divide by (data points - 1), then square root.
Interpretation:
- 1 SD: 68% chance price stays within range.
- 2 SD: 95% probability (breaks ~1/month).
- 3 SD: 99.7% likelihood (breaks <1/year).
Moving Averages (9, 18, 40 periods)
Legacy floor-trader favorites indicating momentum shifts.
FAQs
1. How often is the Cheat Sheet updated?
- Daily, using end-of-session settlement prices.
2. Can I export Cheat Sheet data?
- Yes! Barchart members export to Excel or CSV.
3. Why do some signals show 0.00?
- The calculation determined the signal is untriggerable.
4. What’s the minimum trading history needed?
- 5 days of activity to generate a Cheat Sheet.
5. How reliable are pivot points?
- Highly effective for intraday support/resistance but confirm with volume indicators.
6. Do all markets work with the Cheat Sheet?
- Only markets providing settlement data are compatible.
Final Note: Combine the Cheat Sheet with fundamental analysis for robust BTCUSD trading decisions. Always backtest strategies before live execution.