Discipline is more important than prediction; systems are better than feelings.
Friends, I am in a great mood today and want to share some real insights with everyone.
I just finished tallying November's earnings, and this month I've once again stabilized at a 70% return rate. This is already the 28th month I've been using this method to profit steadily. What makes me happier is that a small apprentice I mentor, who strictly follows my method, has doubled their account in three months.
Looking back eight years ago, I entered the market with 50,000 yuan, paid seven-digit tuition fees, and had once been liquidated at dawn to the point of sleeplessness. Now, these painful lessons have transformed into this stable profit-making system. Today, I selflessly share this '50% capital guaranteed profit method' with everyone, hoping to help you avoid years of detours.
Core principle: Capital management is essential; being alive means infinite possibilities.
"Never put more money into a single position than you can afford to lose; stop loss should come before profit," this is what I have written on the front page of my trading notebook. The first step in my core method is capital allocation.
I always adhere to a strict rule: under no circumstances should you invest more than 20% of your total capital at once. Imagine dividing your capital into five parts, deploying only one 'vanguard' at a time. This way, even if you make a wrong judgment and have to stop loss once, you only lose a small portion of your total capital (like 2%). If you make five consecutive mistakes, your total capital only loses 10%, and the majority of your principal remains intact, giving you a continuous source of capital to recover.
Many people go all in not because they are confident, but because they lack patience and discipline. Opportunities in the crypto world always exist, but once your capital is lost, no matter how great the opportunity is, it has nothing to do with you. I have seen too many experts die on a single bet; this is even more regrettable than lacking skill.
Step 2: Follow the trend, making money is like sailing with the current.
"Rebounds in a downward trend are traps for the greedy, while pullbacks in an upward trend are golden opportunities." Please engrave this phrase in your mind. I have seen too many people always thinking about bottom fishing, only to end up buying halfway up the mountain, watching the price fall all the way down.
True wisdom is 'only do what is in an upward trend.' How do you judge the trend? Look at the moving averages. If the 5-day line turns upward, it's a short-term opportunity; if the 30-day line moves up, it's a mid-term swing opportunity; once the 84-day line turns upward, the main uptrend is likely coming. My habit is to resolutely avoid cryptocurrencies that have rapidly surged in the short term. Whether mainstream or altcoins, it's extremely difficult for them to continue rising after a short-term surge. When they can’t push up at a high level, they will naturally fall; this is the simplest physical principle, but many people just can't resist the urge to gamble one last time, ending up as bag holders.
Step 3: Find the precise 'trigger' signal.
If you have the right direction, you must also find the right timing. One 'trigger' signal I often use is the MACD indicator.
When the DIF line and DEA line form a golden cross below the zero axis and steadily break through the zero axis, this is usually a relatively stable entry signal. Conversely, when the MACD forms a dead cross above the zero axis and moves downward, I generally view this as a signal to reduce positions or exit. Of course, I never use a single indicator alone. Trading volume is the soul of the crypto world. When the price consolidates at a low level and breaks out with increased volume, this is a great opportunity; while at a high level, increased volume stagnation is mostly the main force offloading, so you should decisively exit.
The most fatal mistake: averaging down when losing money; this is suicidal behavior.
I don’t know who invented the term 'averaging down,' but it has truly harmed too many people! Many people, upon seeing a loss, instinctively want to average down, trying to lower their cost, but end up making the hole bigger and bigger, ultimately unable to extricate themselves.
My principle is exactly the opposite: never average down when losing; instead, increase your position when profitable. Only when you are in profit does it prove that your judgment is correct and the trend is upward, and then adding to your position amplifies your profits. Adding to a losing position is equivalent to continually investing more resources into a direction that has already proven to be wrong, which is the most foolish behavior.
Final advice: Stable profits are achieved by 'living' it out, not by 'gambling' it out.
Every day after the market closes, regardless of profit or loss, I persist in reviewing. I check whether the logic of holding assets has changed and whether the weekly K-line trend is still healthy. This helps me stay calm and adjust my strategy in a timely manner.
The market is never short of opportunities; what is lacking is the capital and stable trading system that can survive in the market for a long time. Don’t envy those who became rich overnight by luck; their outcomes are mostly "losing it all back to strength." The key to stable profits is not how much you can earn at once, but how you can earn continuously and stably, and never let yourself fall into a passive situation.
I hope my '50% capital guaranteed profit method' can inspire you. Remember, in this market, discipline and a system are your best weapons to surpass most people.
Follow Ake to learn more first-hand information and accurate points of cryptocurrency knowledge; become your navigation in the crypto world, because learning is your greatest wealth!
