<The most stable way in the crypto world!
1. Mindset and Emotion Management
The difference is that some people give up under such torment, some lose all their capital, and very few persist. But what is the meaning of persistence without a complete realization?
I have watched countless tutorials, learned a lot from traders' summaries, and analyzed numerous reasons for failure! I have summarized the following points, which I believe can help you:
1. Mindset and Emotion Management
Mindset and emotion management doesn't mean you can't be happy when you make a profit or feel down when you lose; it doesn’t mean you should become an emotionless robot!
Instead, it means you should first firmly believe in your heart that you will succeed, trust that the current losses are only temporary, and truly establish a positive belief system. Secondly, when losses occur, you must maintain a rational and calm mind, avoiding blind orders and being able to analyze and operate rationally, which is crucial!
2. Continuously Improving Trading System
Remember, trading is not gambling, but it does have probabilistic attributes. You must continuously summarize and explore a trading system that suits you over the long term. Specifically, establish your trading rules across various dimensions such as indicator analysis, position sizing, take profit and stop loss, and short and long cycles to constrain yourself and define your trades rather than being blind; otherwise, you will fall into an unlimited deadlock!
3. Capital Management
There is a saying: 'As long as the green mountains remain, one need not worry about firewood.' You absolutely cannot have an all-in mentality; this is very dangerous because once you have this thought, in most cases, the market will fulfill it and leave you heartbroken! You must strictly control this aspect and summarize your maximum consecutive loss count to manage your funds, ensuring you have a chance to turn the tables.
4. Technical Analysis
This is extremely important. If you have no technical knowledge at all, you should definitely not place orders because that's gambling on luck, and you are bound to fail, which is very scary! Learning technical indicators is a gradual process of improvement, but once you overly rely on various indicators for your judgments, you may often get lost in thought, make frequent mistakes, and then doubt the technology. Finding what suits you among so many indicators and simplifying complexity is crucial. Commonly used naked candlestick patterns, Bollinger Bands, moving averages, MACD, volume bars, OBV, etc., are essential for grasping the inherent essence of simplicity!