In Circle B $ICNT
"Stubbornly holding on for ten years is not as good as going with the trend for ten days"
Lazy investment strategy! Slow-paced winning method from 10k to 1 million
People often say, "Stubbornly holding on for ten years is not as good as going with the trend for ten days", I didn't believe it before, until I managed to turn 10k into 1 million in half a year—I didn't predict the trend well, but I was "lazy" enough not to turn trend-following into blind speculation.
Many beginners in trend trading tend to rush in heavily, losing and adding more, earning and adding crazily, and in the end, they end up losing more and more.
My "lazy trend-following technique" goes the opposite way: relying only on floating profits to add positions, setting stop losses to lock in, and never daring to exceed 3x leverage.
The first step is to split the principal: divide the 10k into two parts, lock 5000 in a safe account as a "ballast", and never touch it.
The remaining 5000 goes into the trading account. Even if the platform allows higher leverage, I only open a 10% position—calculated, the actual risk is similar to a conservative allocation.
I will also set the stop loss at 2%, losing a maximum of 100, which only accounts for 1% of the total principal, far from the warning line, making me feel at ease.
The second step is to only grab "certain opportunities".
In May last year, a certain mainstream asset fell for three consecutive days, and panic signals appeared. I entered the market at a low point.
After waiting for three weeks, I resolutely closed out when it reached the target, netting a profit of 35k.
In fact, the key to trend following is to first increase the principal. Once the risk resistance ability is strong, it’s easier to "snowball" later.
The third step is to be even "lazier": only use profits to roll, not touching the principal.
For example, last time a certain popular asset was sideways for 38 days, and the trading volume suddenly increased by 30%, breaking through previous highs, I then used 2x leverage to build a position.
When it rises by 10%, I move the stop loss to the cost price, and when it rises another 10%, I use the floating profit to add to the position, never exceeding 3x leverage. If all goes well, after two rounds, the returns can be quite considerable.
There are also four strict rules that must be followed:
Before opening a position, first set the stop loss, and never change it even if the trend is good.
When profits reach 30%, withdraw 20% to the safe account to secure the gains.
If there are two consecutive losing trades, stop immediately and review for 48 hours.
If monthly losses exceed 10% of the principal, stop trading for that month.
Now the market is becoming less volatile, and relying solely on stubbornness is unlikely to yield significant profits.
In fact, using tools reasonably is not terrifying; what is scary is disordered trading.
Properly dividing risks and only seizing certain opportunities, being "a bit lazy" can actually help the account appreciate slowly.
Those who can survive and make money in the market are never the ones who dare to reach out blindly; they are the ones who "lazily" control risks.
Slower and steadier can actually lead to going further.