📊 $BSB Practical Report: Lightning Fast in 10 Minutes, Bottom Fishing Profits and Strategy Validation
Just completed a seamless short-term operation, taking only about 10 minutes, successfully bottom fishing at $BSB and exiting with profits.
Thought Process and Strategic Game:
Entry: Captured a short-term oversold signal and decisively entered to bottom fish.
Holding: As the price rebounded, a bold hypothesis arose in my mind—could it replicate the brilliance of the previous wave and directly rebound to or even break through the upper Bollinger Band? To validate this strategy, I did not choose to take profits at the peak of the rebound (which was near the highest point before the red K-line in the picture).
Validation Result: Reality quickly provided the answer. After reaching the high point, the price did not break through with increased volume, but instead began to consolidate with reduced volume. Ultimately, I chose to exit after confirming the consolidation trend.
Cost and Gains: At this point, the profit was only about 1/10 of what it was at the high. This is a painful but extremely valuable lesson.
Core Technical Review (Very Important):
This validation reminded me once again: one must pay close attention to the middle line of the Bollinger Band.
1. When the price (like $BSB at this moment) breaks through the middle line, if it is not accompanied by a significant increase in trading volume, it is very likely that it will not form a sustained offensive but will directly turn into a consolidation with reduced volume.
2. In a consolidating market, the attraction of the upper and lower Bollinger Bands will significantly weaken, and the middle line will instead become the axis of price fluctuations.
☕ Practical Summary:
Although this time I ran slow and profits shrank significantly, the experience is far more important than momentary profits. As long as we can summarize the rules from each operation and grasp the 'temperament' of the market, opportunities for trading will always be there, unless the market is stagnant and shows no fluctuations.
Continue to refine, next time, I will choose to exit more precisely when the trading volume shrinks.