Three iron rules for trading coins learned from years of pitfalls, shared today for brothers who truly want to make money!
The root cause of retail investors losing money is not bad luck, but trading against the trend!
Rule 1: Let profits run, don’t let losses take root.
A common problem for retail investors worldwide is—
Holding on to losses, fantasizing about a rebound;
Rushing to sell as soon as you make a profit, fearing that the profit will 'fly away'.
Real experts do just one thing: do the opposite!
Hold onto profitable trades and wait for profits to accelerate;
Cut losses decisively on losing trades, and do not act as the market's ATM.
Rule 2: When the trend emerges, stop overanalyzing, follow the major players!
The market speaks of direction, not fantasy.
When moving averages are bearish, don’t fantasize about 'bottom fishing';
When moving averages are bullish, don't doubt the 'top'.
✔ For short-term trades, look at daily moving averages; a volume breakout is the signal;
✔ For swing trades, look at weekly moving averages; if it breaks down, walk away decisively, wait for stability to re-enter!
Remember: when the trend emerges, close your eyes and follow the trend, your win rate will greatly increase.
Rule 3: The core of survival is—control losses + master one method.
Don't fantasize about being good at everything; crypto experts often thrive on just one method.
When trading short-term, don't be superstitious about one-minute candlesticks; look at indicators like KDJ and OBV to find the intentions of major players!
How to tell if it's a wash or selling pressure? Just look at the volume:
Low-volume fluctuations are likely to be a wash;
Volume surges without price increase usually means it's going down!
Don't be afraid of risk control alerts for strong coins; after a shakeout, they often hit new highs!
In summary: follow the trend + control losses + one method to conquer all!
You don’t need to be a 'jack of all trades' in the crypto circle, but you must learn to 'not lose + win steadily'.
This is the only path from being a retail investor to becoming a trader!
If you've also experienced these pitfalls, brother, remember to bookmark and share! Let's get stronger together and not be the chives!
