There is a dumbest method for trading cryptocurrencies that almost guarantees 100% profit. I made over 20 million using this method.
Along the way, I have summarized six major rules for trading cryptocurrencies, which I will share with you today, hoping to help you avoid detours!
Rule One: Understand market sentiment, trading volume is key
- Increased volume without a drop: If trading volume increases but the price does not drop, it may be a signal of price stabilization.
- Increased volume without a rise: If trading volume increases but the price does not rise, the short-term may have peaked.
- Rising must have sustained volume: During a price increase, trading volume should steadily increase. If there is a sudden decrease in volume or an exceptionally high volume appears, the rise may end.
- Key levels during a drop with increased volume: During a decline, if key levels are broken with increased volume, the downtrend may continue.
Rule Two: Key points determine buying and selling
- Resistance and support levels, trend lines: When the price approaches these levels, act quickly!
- Fibonacci retracement: I use it to predict resistance and support levels, and it works very well.
Rule Three: Monitor multiple time frames
- 1-minute chart: Look for entry and exit opportunities. - 3-minute chart: Monitor the situation after entering a position.
- 30-minute/1-hour chart: Assess intraday trend changes.
Rule Four: Don’t rush to recover after a stop-loss
- Stop-loss = end of the trade: Each trade is a new beginning; don’t let previous operations affect your mindset.
Rule Five: Simple and practical position management method -- three-position method:
1. Buy the first position when the price breaks the 5-day moving average;
2. Buy the second position when it breaks the 15-day moving average;
3. Buy the third position when it breaks the 30-day moving average.
- Strict stop-loss: Sell the first position if it drops below the 5-day moving average; sell the second position if it drops below the 15-day moving average; liquidate if it drops below the 30-day moving average!
Rule Six: There should also be a strategy for selling
- Break below the 5-day moving average at a high position: Sell one position first, observe the subsequent trend.
- Break below the 15-day and 30-day moving averages: Sell all without hesitation!
Xiao Ge only does real trading, no fake stuff. If you want to avoid pitfalls and make profits, don't stumble in the dark alone; keep up with my pace to steadily gain profits. @萧哥带单日记