To be honest, every time I see someone sharing a screenshot of 'doubling overnight', I want to advise: don't just look at the surface glamour, behind it is either incredible luck or hidden pitfalls! As a veteran who has been in the crypto industry for 5 years, the mines I have stepped on and the money I have lost are enough for me to make a down payment in a second-tier city.
Today, let's get real. I'm going to share the 14 trading rules I’ve summarized through hard work, all of which are straightforward 'simple methods' that can be directly implemented. Don’t dismiss them as basic; relying on these, I have raised my trading success rate to a very stable range, at least I no longer have to rely on guessing sizes to get by. Newbies should bookmark this after reading, and veterans can also use it for self-checking to avoid falling into pitfalls again!
Let's be real: there is no 'Holy Grail' in trading; success relies entirely on 'not making mistakes.'
Many people enter this circle thinking they can find a 'one-click money-making' secret. They either chase various rumors or stubbornly stick to complex indicators, and the result is that the more they trade, the more losses they incur. I was the same in my early years, staying up late to monitor the market and study various flashy strategies, only to find that the most useful are the simplest and least error-prone underlying logic.
The following insights correspond to painful lessons I've learned; there's no empty talk, only real lessons from practical experience:
1. If a popular cryptocurrency has been in a continuous decline for 9 days and trading volume gradually shrinks, don't rush to cut your losses; instead, you can try small positions to test the waters. Remember, it's 'testing' not 'all-in'; we seek stability, not gambling.
2. No matter which target it is, as long as it has risen for two consecutive days, even if the momentum is strong, remember to reduce your position a bit. Don't be greedy thinking 'it will rise again'; preserving your existing profits is more important than anything else. This is a lesson I learned from countless 'rollercoaster' experiences.
3. If a certain target rises more than 70% in a short period, don't rush to sell as soon as the market opens the next day. Such strong targets often have momentum, and the next day there is a high probability of further increases. Wait until the momentum weakens before taking action; you can earn a lot more.
4. Those recognized as high-quality targets, often referred to as 'potential leaders,' should never be chased when they surge. Wait until they correct to a suitable level and stabilize in trend before entering; although it takes longer to profit, it is more stable and basically won't lead to 'buying high and getting trapped.'
5. If the targets in your hands have had no fluctuations for three days, like a stagnant pool, don't just hold onto them. Observe for another three days; if there is still no action, quickly switch to a more active one. Time cost is more valuable than anything.
6. If you're making mid-term layouts, don't think that 'putting eggs in multiple baskets' is safe. Instead of spreading your attention across many targets, it’s better to heavily invest in one you've thoroughly researched, then flexibly adjust—reduce your position when the price rises, and add to it at support levels when it falls. This way, your returns are more concentrated.
7. In short-term trading, focus on four core aspects: candlestick patterns, market sentiment, sector heat, and upward speed. Don't get caught up in complex indicators. If you grasp these four points, your winning rate in short-term trading can significantly improve. My recent short-term operation was based on these four points, and I made a small profit.
8. Prioritize selecting targets that have been consolidating at the bottom for a long time and have a solid base. Such targets have a thick safety cushion; even if they don't rise in the short term, they are less likely to experience significant declines, and the margin for error is higher.
9. If you want to make quick money in short-term trading, chase those targets that are accelerating upwards. But remember, when entering during acceleration, also set profit-taking and stop-loss points. If the momentum isn't right, withdraw immediately; don't hold on with a 'gamble mentality.'
10. Many beginners like to stare at various indicator values, but it's actually useless. Divergence in indicators is much more useful than pure values. For example, if the price hits a new high but the indicator doesn't, that's a danger signal, and vice versa. Keep this in mind; it can help you avoid many traps.
11. If you haven't broken even by the second day after buying, or if you incur a loss, don't think 'just hold on and it will pass.' Withdraw quickly; timely loss-cutting is more important than anything else. Don't let small losses turn into big ones.
12. When looking at the top gainers, if any targets have risen for two consecutive days, it's time to prepare to sell. Based on my experience, the fifth day of continuous increases is often a good profit-taking opportunity; don't wait until it drops and then regret it.
13. The relationship between volume and price is absolutely the lifeblood of trading, without exception. When breaking out at low levels with increased volume, it indicates that capital is entering; pay close attention. When at high levels with increased volume but no price increase, that's stagnation, which is a signal to run. Don't hesitate. I lost a lot of money because I didn't notice the stagnation at high levels, and I still feel regret when I think about it now.
14. Only trade targets in an upward trend; don't touch those in a downward trend. By looking at daily, monthly, and quarterly charts, you can judge the big trend of the targets. Following the trend increases your chances of success, and you won't waste time on those 'unrecoverable stocks.'
Lastly, let me speak from the heart: don't let desire ruin your trading.
Actually, these methods are not complicated; they are even a bit 'simple.' But why can't many people do it? Because of greed and fear. When prices rise, they want them to rise even more; when prices fall, they want to hold on, resulting in nothing but wasted effort.
I compile these insights not to encourage everyone to operate exactly as I do to become rich overnight, but to help everyone avoid the pitfalls I encountered back in the day. Trading is a long-term endeavor, not reliant on luck from one or two trades, but on stable logic and strict discipline.
Follow me@男神说币 $BTC #加密市场反弹 $ETH
