A harsh but useful statement: compare who is the least human, who is the least like a person, and who is more machine-like and absolutely objective like data.
To take money from others is a skill. If someone just wants to 'play with 80,000 or 100,000', they will absolutely be the prey of rational seasoned traders.
1. My personal experience aligns with that of other relatively successful traders: during the exploratory phase, keep positions extremely light or use simulated funds. The base position is the initial position; you can trial trades, and only after making profits can you gradually gain control and increase your positions. It's best that the initial position doesn’t exceed 10%.
2. The general principle of stop-loss: the shorter the time, the better; the smaller the fluctuation, the better. The more resolute the attitude towards stop-loss, the better. It has been proven that for a correct trade, the time spent in floating profits is far greater than the time spent in floating losses.
Incorrect trades often lead to ongoing losses, while correct trades always focus on profits. There’s also a detail: particularly proactive trades tend to have their profits expand continuously, whereas ordinary proactive trades often take a long time to gradually increase profit margins.
You need to define levels based on objective facts and then control your positions according to those levels. In a nutshell, the more proactive you are, the more aggressive you can be; the more passive you are, the more you should hold back.
The story that touched me the most and brought me the most benefit is actually a small story. The protagonist of this story is a foreign futures master, whose name has faded from memory. After facing adversity and going bankrupt multiple times, he established a basic money management rule for himself: regardless of the method or strategy used, if he loses $500 in a day, he must force himself to leave the market and go home to rest. This was something I deeply felt during the first 1-2 years.
It is precisely the education from this story that prevented me from experiencing major losses in my most challenging year. Surviving gives the possibility of living better. I hope we always remember this story and this message. Let’s encourage each other.
Bitcoin trading, large and small timeframes determine the entry point, potential profits increase tenfold.
I previously discussed entry points in the trading system; choosing the right entry point is crucial for trading.
Those with practical trading experience all know about false breakouts in the market, or that poor entry points can lead to large stop-losses. In such cases, one can only reduce the entry capital; often, in a big market wave, the earnings will be relatively small.
Everyone needs to summarize their own entry methods; let's not mention those who enter the market based on random feelings.
I personally often use a combination of large and small timeframes to find entry opportunities.
Since we are engaged in trend trading, our methods must include trend judgment, and then choose trading levels according to your own trading style.
So here I recommend using three timeframes: large, medium, and small for analysis.
1. Large timeframe: Set the direction and analyze the trend; determine whether it is in a consolidation or trending phase. Only engage in the initiation and continuation phases of a trend, and hold back during consolidation.
2. Medium timeframe: Operational level, position level.
3. Small timeframe: Entry level, stop-loss level.
Choose according to your own trading habits across large, medium, and small timeframes.
In the past few days, I have been preparing for the launch of a divine trade!!!
Comment 168 to get on board!!!
Impermanence brings impermanence brings impermanence!!!
Important things should be repeated three times!!!
