Glossary of Terms for Base Trading, the Base Scanner, and the Crypto Base Scanner

Base: The concept of Bases comes from the QFL (QuickFingersLuc) method of trading, 2017. A Base is drawn at the bottom of a dip, showing a strong recovery (bounce) after a panic sell. QFL evolved as a manual trading process, with Bases drawn by eye on 4hr (or higher) charts. In 2018, Benoist developed an automated method of finding Bases (Crypto Base Scanner), showing them on a chart, and sending signals to buy when a Base is cracked: the Crypto Base Scanner. The automated method necessarily uses a different, proprietary, set of rules to manually drawing bases.

Cracked Base: When the price passes through the Base from above to below, reaches at least -3%, and certain other criteria, the Base is said to be Cracked. The default colour for Cracked Bases is GREEN. (In QFL, a crack is defined by a panic sell candle—representing emotional trading, or possibly cascading stop-losses—dropping below a base. At or below the panic candle is viewed as a safe buying zone.)

Uncracked Base: By default, Uncracked Bases are shown on the chart in GREY/WHITE. The price has either not crossed the Base, or has crossed it but not for a long enough period or enough depth to be considered cracked. Until a Base is Cracked, it is temporary and can be deleted or moved. A Base breached by <3% will be moved down. For the Altrady algorithms (Day Trading, Conservative and Position), uncracked bases are “tidied up” so that they are always at least 2% apart.

Respected Base: After a base has been Cracked, it will be considered respected when the price returns fully to base after the first green Heikin Ashi candle on the corresponding timeframe. The default colour for Respected bases is RED.

Median: The median is a type of average, calculated by ordering a list of numbers and selecting the middle value from the list. Where there are 2 middle values, the mean average of the 2 middle values is used. The median average is preferred when a dataset is likely to have outliers that would skew the mean average.

Median Drop: The Drop is the percentage below the Base the price has fallen. The Median Drop is the median value of the Drops for all Cracked Bases in the last 1000 hours.

Median Bounce: The bounce is the first bounce for which bases are formed. Using Heikin Ashi candles, the bounce is the difference between lowest and highest point of the first green set of candles. The median is based on all bounces in the last 1000 hours.

Success Rate: Calculated using all bases that have cracked and been respected in the last 1000 hours, regardless of the size of the drop. If the Base is currently cracked, it will included in the denominator but not the numerator, so the Success rate will be less than 100%.

QFL: QuickFingersLuc was the originator of the QFL method of trading from which CBS and the Base Scanner were derived.

Base Scanner: The Base Scanner is part of Altrady and can be configured to provide notifications when a Base has been cracked. Currently only manual trading of Bases is available in Altrady. Automated trading is coming soon.

CBS: Crypto Base Scanner is a signals service provided by Altrady, available as part of every subscription plan. CBS signals allow for automated trading by connecting with various integrated bots. The signals use the Base Scanner methodology. Entry signals are sent at the median drop for the Market, and must also meet these criteria:
• Market must have > 1000 hours of price history
• Median Drop >= 3%
• Success Rate >= 50%
• Algorithm = Day Trading, Conservative and/or Position only

Algorithm: Currently Altrady’s Base Scanner offers five algorithms for Bases. Each algorithm is a set of parameters and calculation method for determining the Bases for each Market.

Compare the results for the three Altrady algorithms by drilling into the details of the Monthly Reports for Altrady’s Crypto Base Scanner signals.
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