Recent market fluctuations have been intense, and everyone can easily get trapped if not careful. Meng Bai has summarized a practical strategy for getting out of traps to help you cope calmly.
1. Responding in layers based on position status
1. Lightly trapped: When losses are small, closely monitor the market situation and take profits immediately when a rebound signal appears; or reduce positions appropriately when prices rise to lower risk.
2. Deeply trapped: When deeply trapped, reduce positions at high levels during price rebounds to recover funds, and also consider averaging down at low levels to lower costs, striving for initiative in subsequent reversals.
2. Flexible operations according to currency trends
1. Downward trend: When the currency enters a downward channel, decisively stop losses, avoiding wishful thinking to prevent larger losses.
2. Volatile market: No need to immediately stop losses; wait for prices to rise to the top of the volatile range, then close positions after recovering or controlling losses.
3. Upward trend: When the currency maintains an upward trend, hold firmly; as long as the trend is not broken, there is hope for getting out of traps and obtaining higher returns.
Meng Bai is always here to answer your questions at any time!
