There is a very simple method of trading cryptocurrencies that made 300 times in 3 months, relying solely on one K-line to determine everything!
Tested method: I have been trading cryptocurrencies for over 10 years, summing up experiences (mindless rolling position method): holding less than 100,000 yuan in principal, achieving 300 times in 3 months, and making nearly 30 million yuan. If you also want to seize a share in the cryptocurrency market, spend a few minutes to read this article carefully, and you will benefit for a lifetime!
Timing for rolling positions
The art of rolling positions cannot be mastered on a whim. It requires the right timing, favorable conditions, and the right people to increase the odds of success. Here are four golden opportunities for rolling positions:
(1) Breakthrough after a long period of sideways movement: When the market has been in a sideways state for a long time, with volatility dropping to a new low, once the market chooses a breakout direction, rolling positions can be considered.
(2) Buying the dip in a bull market: During the waves of a bull market, the market experiences a strong rise followed by a sudden drop. At this point, consider using the rolling position strategy to seize the opportunity to buy the dip.
(3) Weekly chart level breakout: When the market breaks through key resistance or support on the weekly chart, it's like breaking through a solid defense. At this point, rolling positions can seize this breakout opportunity.
(4) Market sentiment and news events: When market sentiment fluctuates like the weather, or when significant news events and policy changes could shake the market, rolling positions can become your weapon.
Only under these specific circumstances will the chances of success for rolling positions increase significantly. At other times, it is best to remain cautious or simply abandon those unclear opportunities. However, if the market conditions seem suitable for rolling positions, do not forget to strictly control risks and set stop-loss points to prevent unexpected situations. After all, wise investors are always those who know how to find a balance between risk and opportunity.
Technical analysis
After confirming that the market is suitable for rolling positions, the next step is technical analysis. First, look at the trend using moving averages and MACD.
Using tools like RSI to determine whether the market is moving up or down. If possible, it’s best to use multiple indicators together; this is more reliable.
Identify key support and resistance points in the market, assess whether breakouts are reliable, and use divergence signals to capture reversal opportunities. For example, if prices make new highs but the MACD does not follow, this might indicate a top divergence, suggesting prices may fall; at this point, consider reducing positions or shorting. Conversely, if prices make new lows but the MACD does not, this might indicate a bottom divergence, suggesting prices may rise; at this point, consider increasing positions or going long.
Position management
The key to reasonable position management lies in three steps: determining the initial position, setting up the rules for increasing positions, and formulating a strategy for reducing positions. For example, this makes it easier to understand.
Initial position: If you have 1 million yuan, it is best not to exceed 10% of the initial investment amount, which is 100,000 yuan.
Position increase rules: When you decide to increase your investment, you must wait until the price breaks through a key resistance level. The amount of each increase should not exceed 50% of the original investment, meaning at most add 50,000 yuan. Reduction strategy: when the price reaches your expected profit target, you can start to gradually sell. Remember, let go when it’s time to let go; don’t hesitate. The amount sold each time should not exceed 30% of the current holdings to gradually lock in your profits.
In fact, as ordinary investors, we can be bolder when we encounter great opportunities and more conservative when opportunities are limited. If luck is on your side, you might make a few million; if not, you must accept reality. However, I still want to remind everyone that once you make money, you should first withdraw your initial investment and then use the profits to continue investing. It's okay not to make money, but it's not okay to lose money.
Let's get straight to the point, without beating around the bush: how to achieve rolling positions through adjusting holdings.
1. Timing: Enter the market when the market meets the conditions for rolling positions.
2. Opening positions: follow the signals from technical analysis and find the right timing to enter.
3. Increase positions: If the market moves in your direction, gradually increase your position.
4. Reducing positions: When you have made the expected profit, or if something seems off in the market, sell gradually.
5. Closing positions: When you reach your target price or when the market is clearly about to change, sell everything.
Specifically, how to operate, I will share my rolling position insights: (1) Increase your investment after making money: if your investment has increased, you may consider adding more, but the premise is that costs have decreased and risks are lower.
It's not about increasing every time you make a profit, but rather at the right moment, such as at a breakout point in a trend. If it breaks, sell quickly, or during a retracement.
This can reduce costs and increase returns. There are several ways to allocate:
1. Half-position rolling: hold half of the funds long-term, and trade the other half during price fluctuations.
2. Thirty percent bottom position: hold thirty percent of your funds long-term, and trade the remaining seventy percent during price fluctuations. Seventy percent bottom position: hold seventy percent of your funds long-term, and trade the remaining thirty percent during price fluctuations.
3. The purpose of doing this is to optimize positions while maintaining a certain level of holdings, using short-term market fluctuations to adjust costs.
Risk management simply refers to two things: total position control and capital allocation. Ensure that your total investment does not exceed your risk tolerance, and allocate funds wisely—do not put all your eggs in one basket. At the same time, always pay attention to market dynamics and changes in technical indicators, and flexibly adjust your strategy based on market conditions. If necessary, stop losses or adjust your investment amounts in a timely manner.
Many people may feel both excited and fearful upon hearing about rolling positions, eager to try but also concerned about risks. In fact, the rolling position strategy itself is not that risky; the key lies in the use of leverage. If used reasonably, the risks can be completely controlled.
For instance, if I have 10,000 yuan in capital and open a position when a certain coin is priced at 1,000 yuan, I use 10 times leverage but only use 10% of the total funds (i.e., 1,000 yuan) as margin, so in effect, I am using only 1x leverage. If I set a 2% stop-loss line, once the market turns unfavorable, I only lose 2% of that 1,000 yuan, which is 200 yuan. Even in the worst-case scenario where liquidation conditions are triggered, I would only lose that 1,000 yuan, not all my funds. Those who get liquidated often do so because they used too high leverage or had too heavy positions, and even a slight market fluctuation can trigger liquidation. But using this method, even if the market turns unfavorable, your losses are still limited.
So, whether you use 20x leverage, 30x, or even 3x or 0.5x, the key lies in whether you can use the leverage reasonably and control the position.
The above is the basic operation process of rolling positions. Friends who are interested can take a closer look and study it carefully. Of course, everyone may have different views; I am just sharing my experience and do not intend to persuade anyone.
How to grow small funds into large ones? The compounding effect: If you have a coin that doubles in value every day, after a month, its value will be astronomical. It doubles on the first day, then doubles again the next day, and continues like this—ultimately, the final number will be astonishing. This is the magic of compounding. Even if you start with little capital, as long as you keep doubling, you can eventually accumulate a staggering amount.
For those who do not have much capital but want to enter the market, aim for the big targets. Many people think that small funds should engage in frequent short-term trading for quick appreciation, but in reality, medium to long-term may be more suitable. Instead of making small profits every day, focus on achieving several times increases with each trade; what we seek is exponential growth, a leap in multiples. In position management, first, diversify risks; don't put all your funds into one trade. Divide your capital into three to four parts, investing only one part each time. For example, if you have 40,000 yuan, divide it into four parts and use only 10,000 yuan for each trade.
Use leverage moderately. The leverage for mainstream currencies should not exceed ten times, and for small coins, it should not exceed four times.
Adjust dynamically. If you incur losses, supplement equal amounts from external sources; if you profit, withdraw some appropriately. Regardless, do not let yourself fall into losses.
When your funds grow to a certain level, you can consider gradually increasing the amount for each trade, but do not increase too much at once; it should be a gradual process.
Through reasonable position management and sound trading strategies, small funds can gradually achieve significant appreciation. The key is to patiently wait for the right timing and focus on the large goals of each trade rather than small daily profits.
I also know that anyone can encounter a liquidation. However, I still had profits from spot trading to offset my losses, and I don't believe you haven't made any profit from your spot holdings. My futures only accounted for 2% of my total funds, so no matter how much I lose, I won't lose everything, and my losses have always been within my control.
Overview of the floating profit rolling position strategy: The floating profit rolling position strategy involves increasing positions on existing profitable holdings to amplify profit potential in trending markets. This strategy requires traders to possess precise trend judgment ability and strict discipline in position management.
Applicable conditions and mindset test
The floating profit rolling position strategy is suitable for one-sided trending markets, but it is not applicable in most sideways markets. Successful rolling requires traders to have enough patience and decisiveness to wait for high certainty opportunities to increase positions, rather than frequently adjusting trades.
3. Core logic and timing grasp
The core of the rolling position strategy lies in precisely judging market trends and the validity of breakouts. Traders need to distinguish between genuine breakouts and false breakouts, retracements and reversals, and execute rolling positions in conjunction with capital management and moving stop-loss strategies. Breakthroughs at new volatility lows after a long period of sideways movement, as well as breakthroughs at key resistance or support levels, are often ideal moments for the rolling position strategy.
Four, risk management and scientific management
Although the rolling position strategy is theoretically lower in risk, practical implementation requires strict control over leverage and stop losses. During the process of increasing positions, the pyramid method should be used, gradually reducing the amount of increase as profits rise. At the same time, traders should plan ahead for the position increase locations and sizes, as well as the moving stop-loss strategy after the increase.
Five, trading frequency and risk control
When executing the rolling position strategy, focus on medium to long-term trading opportunities rather than frequent short-term trades. Additionally, traders should accept missing parts of the market and focus on capturing more certain trading opportunities to maintain a smooth profit curve.
Six, advice for novices
For novice traders, it is advisable to reduce the profit-loss ratio to suit their mindset and risk tolerance. Accept missing out, focus on the market context rather than technical details, and learn to increase investment in favorable markets while maintaining a wait-and-see approach in unfavorable ones.
Seven, finally
The floating profit rolling position strategy is a high-risk, high-reward trading strategy that requires traders to possess professional skills and mindset. Through precise trend judgment, strict position management, and scientific capital management, traders can amplify profits in trending markets.
However, this strategy is not suitable for all traders, especially novices should use it cautiously and continue to learn and adapt through practice.
The secret to getting rich in the cryptocurrency world - rolling positions, suitable for beginners or veterans, spend a minute to read and learn how to grow from 1,000 to 1 million!
Concept of rolling positions
1. Rolling position, as the name suggests,
This refers to the technique of continuously opening and closing positions in contract trading to aim for incremental profits in fluctuating markets. It's like practicing Tai Chi, using force against force, adapting to the market fluctuations to turn them into your profit source.
2. Rolling position strategy
Players who adopt the rolling position strategy usually possess keen market intuition and quick response capabilities. They watch the K-line movements like a cheetah, and once they capture favorable signals, they decisively strike, entering and exiting quickly to strive for 'shearing wool' in every wave of rises and falls.
Risks of rolling positions
3. However, rolling positions are not a guaranteed money-making panacea. High-frequency operations mean high transaction fees, and any slight misstep could result in 'bailing water with a basket'. Furthermore, the market changes rapidly; a small misjudgment could lead to being 'smashed on the beach' by reverse market movements, falling into a vicious cycle of increasing losses.
Rolling Position Trilogy
1. Find the right rhythm
The first step in rolling positions is to find the right market rhythm. It's like a dancer keeping up with the beat of the music; investors need to study market trends deeply, discern price fluctuation patterns, and find the most suitable trading range or trending market for rolling positions.
2. Set stop-loss and take-profit
Rolling positions are like walking a tightrope; risk prevention is crucial. Setting reasonable stop-loss points can prevent significant losses due to sudden market changes; setting target take-profit points ensures timely profit taking, avoiding greed that leads to profit loss.
Mindset adjustment
In rolling position operations, mindset determines success or failure.
In facing fluctuations in profit and loss, maintain calm and do not lose your composure due to temporary gains or losses. Remember, rolling positions are a long-term battle, not a one-time buy! Only by 'looking far and wide' can one smile in the fluctuations of the cryptocurrency sea.
Advantages of rolling positions
For experienced veterans, rolling positions are like icing on the cake, effectively improving fund utilization and amplifying returns, especially in a volatile market environment, where the rolling position strategy can showcase its unique charm, helping players navigate through the 'blood rain and wind'.
Challenges of rolling positions
However, rolling positions are not suitable for everyone. New players who blindly follow the trend may be engulfed by the high-intensity operations and high-risk characteristics of rolling positions, becoming part of the 'vegetable army'. Additionally, excessive reliance on rolling positions may lead to overly frequent trading and fall into the quagmire of 'trading addiction'.
Decision on rolling positions
Therefore, for investors, whether to choose rolling positions depends on the match between self-awareness and risk tolerance. If you have solid fundamentals, a good mindset, and a deep understanding of the market, rolling positions may become your weapon for success; conversely, if you merely have a 'let’s gamble' attitude, rolling positions may only accelerate the evaporation of your wealth.
Whether in spot or contract trading, how to manage positions directly determines your risk control level, average holding price, and final profit size. This can be said to be the most important point aside from direction and mindset.
Opportunities are for those who are prepared!
Seizing opportunities leads to success!
What are you hesitating about!
