Simplified Trading Rules in the Crypto World: 10 Core Principles Summary
1. Trend is King, Enter on Pullbacks
Strong coins that have fallen for 9 consecutive days → Consider buying the dip; for leading coins in a bull market, wait for the pullback to end before entering. Only operate on coins that are in an upward channel (3-day moving average upwards = short-term opportunity, 30-day moving average upwards = medium-term trend, 80/120-day moving average upwards = major trend).
2. Control of Rising and Falling Rhythm
Consecutive rises for 2 days → Gradually reduce positions; a single-day surge of ≥7% → The next day may see an inertia rise, can hold for observation. If the rise list has consecutive rises for 2 days → The fifth day is a potential selling point; if sideways for more than 3 days with no subsequent fluctuations → Consider changing positions.
3. Lifeline of Volume and Price
Volume breakout at a low level → Focus closely; volume increase at a high level with stagnation → Exit decisively. If unable to recover the next day → Immediately stop-loss to avoid deep losses.
4. Discipline and Mindset
Small funds can also be profitable, but strict adherence to strategy is necessary: correct method + stable emotions + patience for the wind to come. The market always has opportunities, do not deviate from the plan due to short-term fluctuations.
Core Logic:
Trend Following (Moving Average System) + Volume and Price Verification (Volume Matching) + Rhythm Management (Rise and Fall Cycles) + Risk Control (Stop-Loss Discipline).
Final Point: There is no 100% method, only learning from experience! It is recommended to start with a small position for practice before going into real combat!
