This short-term trading model has a win rate of up to 98.8%. Learn the process of easily going from 100,000 to 10 million, only doing this one model!
The formation of a self-sustaining profitable trading system!
Foolproof Coin Trading 7 Iron Rules:
1. Watch and Wait for Sideways, Move When the Market Changes
When the price fluctuates in a 3% range for more than 72 hours, use 30% of the position for trial and error. Add to the position after breaking through the key resistance level (such as the 20-day moving average) to avoid blindly buying the bottom and escaping the top.
2. Don't Be Attached to Hot Spots, Positions Need to Be Rotated
Use the "Hot Spot Thermometer" indicator to monitor: When a certain coin's single-day increase exceeds 50% and social media mentions surge, clear the position in the early morning of the next day. Historical data shows that the probability of a callback within 72 hours for this type of coin reaches 83%.
3. Hold Steady and Don't Let Go of Gaps and Large Increases
When an "Island Reversal" pattern appears (price opens higher with a gap and volume increases by more than 3 times), firmly hold until the RSI indicator is overbought (>80) and then take profit in batches. During the Ethereum Shanghai upgrade in 2024, this strategy helped me achieve a 127% return.
4. Huge Volume Yang Line, Leave the Market at the End of the Trading Day
Regardless of high or low positions, when the single-day trading volume breaks through 2 times the 60-day average volume, clear the position before 14:50. This strategy allowed me to avoid a 38% retracement after the Dogecoin Musk event in 2023.
5. Buy Yin Online, Sell Yang Offline
Use the 55-day moving average as the line of life and death: Buy when the line is above and there is a Yin line (drop <2%), sell when the line is below and there is a Yang line (increase >3%). Combining with the MACD golden cross signal can increase the winning rate to 68%.
6. Don't Sell Without Rushing High, Don't Buy Without Plunging
Set Dynamic Take Profit: When the price falls below the lowest price of the most recent 3 K-lines, immediately close the position. During the BNB ecosystem explosion in 2024, this method helped earn an extra 42% profit.
7. Prepare Before Buying, Enter Less
Adopt the "Pyramid Position Building Method": The first position building should not exceed 20%, add 10% to the position for every 5% drop, and reduce the position by 3% on the rebound. This strategy can reduce the average cost by 15-20%.
100% Profit Techniques for Investing in Bitcoin. Learn These and Never Worry About Being Trapped Again
1. Significance and Types of MACD Golden Cross and Death Cross
The classic use of MACD is to follow the trend, that is, the "golden cross to go long" and "death cross to go short" tactics, which is to chase the rise and kill the fall, go long when a golden cross forms at a low position at the end of a bearish trend and at the beginning of establishing a bullish trend;
Go short when a death cross forms at a high position at the end of a bullish trend and at the beginning of establishing a bearish trend
Practice has proven that the MACD indicator is a relatively accurate indicator. The success rate of going long when the MACD indicator and the moving average system form a golden cross resonance, and going short when the MACD indicator and the moving average system form a death cross resonance is very high.
Therefore, being able to comprehensively apply the K-line, moving average, and MACD three major indicators well will get you closer to success.
1. Significance and Three Types of MACD Golden Cross
Golden Cross: When the white line crosses above the yellow line from bottom to top, the resulting cross is called a golden cross. After the golden cross forms, a red bar will appear above the zero axis, which is a long signal.
According to the shape of the golden cross, the MACD's golden cross can be divided into three types: standard golden cross, almost dead but not dead, and secondary golden cross.
(1) Standard Golden Cross: A standard golden cross is when the white line of the MACD crosses above the yellow line from bottom to top and diverges smoothly upwards, and the red bar on the zero axis also continues to enlarge, and the K-line continues to rise in a one-way fashion. According to the position where the MACD forms a standard golden cross, it is divided into two types, as follows:
Standard Golden Cross at a Low Position Below the Zero Axis: When the two curves of the MACD pass below the zero axis for a long time, forming a rounded bottom and then a golden cross, especially when the MACD forms a secondary golden cross and the K-line forms a double bottom, it is a signal that the trend is beginning to strengthen. Then, when the K-line successfully breaks through the 21-day moving average, and the distance between the 21-day moving average and the 99-day moving average is large, you can go long with the trend. The K-line's rise will reach at least the 99-day moving average.
Standard Golden Cross Retracing to Above the Zero Axis: When the two curves of the MACD pass above the zero axis and then fall back near the zero axis before forming a golden cross again, especially when the MACD forms a secondary golden cross and the red bar enlarges a second time, it is a signal that the market will rise again. As long as the distance between the 21-day moving average and the 99-day moving average is very small but the 21-day moving average has not crossed below the 99-day moving average, when the K-line successfully breaks through the 21-day moving average, it is an opportunity to go long with the trend.
(2) Almost Dead but Not Dead: Almost dead but not dead means that after the two curves of the MACD form a golden cross, the white line falls back to above the yellow line and is about to form a death cross but does not form a death cross, and then the white line turns upward again as the K-line rises. According to the position where the MACD forms almost dead but not dead, it is divided into two types, as follows:
Almost Dead but Not Dead at a Low Position Below the Zero Axis: When the two curves of the MACD pass below the zero axis for a long time, forming a rounded bottom and then a golden cross, then as the K-line retraces, the white line falls back above the yellow line but does not cross below the yellow line. The red bar on the zero axis begins to shorten but no green bar appears. After the K-line finishes retracing, it rises again. The white line of the MACD turns upward a second time and the red bar enlarges a second time. The K-line will definitely break the previous high when it rises again.
Almost Dead but Not Dead Near the Zero Axis: When the MACD forms a golden cross and is about to cross the zero axis or has already crossed the zero axis, then as the K-line retraces, the white line falls back above the yellow line but does not cross below the yellow line. The red bar on the zero axis begins to shorten but no green bar appears. After the K-line stops falling near the previous low, it rises again. The white line of the MACD turns upward a second time and the red bar enlarges a second time. The K-line will definitely break the previous high when it rises again.
(3) Secondary Golden Cross: A secondary golden cross is when the white line crosses below the yellow line after the two curves of the MACD form a golden cross, but soon crosses above the yellow line again to form a golden cross, and then the white line turns upward a second time as the K-line rises. According to the position where the MACD forms a secondary golden cross, it is divided into two types, as follows:
Secondary Golden Cross at a Low Position Below the Zero Axis: When the two curves of the MACD pass below the zero axis for a long time, forming a rounded bottom and then a golden cross. Then, as the K-line retraces, the white line passes below the yellow line again, forming a dead cross pattern. The red bar on the zero axis disappears, and a smaller green bar appears below. After the K-line finishes retracing, it rises again, and the white line of the MACD crosses above the yellow line, forming a secondary golden cross. The K-line will definitely break the previous high when it rises again.
Secondary Golden Cross Crossing Above the Zero Axis: When the two curves of the MACD pass below the zero axis for a long time, forming a rounded bottom and then a golden cross, and rising back to the zero axis, and then forming a death cross as the K-line retraces, but the K-line does not fall below the rising trend line when it retraces, when the K-line rises again and drives the MACD to form a secondary golden cross, as long as the K-line, 5-day moving average, and 21-day moving average successfully cross above the 99-day moving average, it enters a bullish trend.
The formation of a golden cross in the MACD is actually when the yellow line shows an upward "moving average turning point", which is also the key to judging whether the golden cross of the MACD is valid. If the yellow line starts to turn upward after the MACD forms a golden cross, and an upward "moving average turning point" appears, the reliability of the golden cross is quite high. Therefore, if the MACD forms a "secondary golden cross" and the yellow line shows an upward "secondary turning point", it is a more accurate short signal.
2. Significance and Three Types of MACD Death Cross
Death Cross: When the white line crosses below the yellow line, the resulting cross is called a death cross. After the death cross forms, a green bar will appear below the zero axis, which is a short signal. According to the shape of the death cross, the MACD's death cross can be divided into three types: standard death cross, almost golden but not golden, and secondary death cross.
(1) Standard Death Cross: A standard death cross is when the white line of the MACD crosses below the yellow line from top to bottom and diverges smoothly downwards, and the green bar below the zero axis also continues to enlarge, and the K-line continues to fall in a one-way fashion. According to the position where the MACD forms a standard death cross, it is divided into two types, as follows:
Standard Death Cross at a High Position Above the Zero Axis: When the two curves of the MACD pass above the zero axis for a long time and then form a rounded top before forming a death cross again, especially when the MACD forms a secondary death cross and the K-line forms a double top, it is a signal that the trend is beginning to weaken. Then, when the K-line effectively breaks below the 21-day moving average, and the distance between the 21-day moving average and the 99-day moving average is large, you can go short with the trend. The K-line's decline will reach at least the 99-day moving average.
Standard Death Cross Rebounding to Below the Zero Axis: When the two curves of the MACD pass below the zero axis and then rise back to near the zero axis before forming a death cross again, especially when the MACD forms a secondary death cross and the green bar enlarges a second time, it is a signal that the market will fall again. As long as the distance between the 21-day moving average and the 99-day moving average is very small but the 21-day moving average has not crossed above the 99-day moving average, when the K-line effectively breaks below the 21-day moving average, it is an opportunity to go short with the trend.
(2) Almost Golden but Not Golden: Almost golden but not golden means that after the two curves of the MACD form a golden cross, the white line rises back to below the yellow line, about to form a golden cross but not forming one. Then, the white line turns downward again as the K-line falls. According to the position where the MACD forms almost golden but not golden, it is divided into two types, as follows:
Almost Golden but Not Golden at a High Position Above the Zero Axis: When the two curves of the MACD pass above the zero axis for a long time, forming a rounded top and then forming a death cross, then as the K-line rebounds, the white line rises back below the yellow line but cannot cross above the yellow line. The green bar below the zero axis begins to shorten but no red bar appears. After the K-line finishes rebounding, it falls again. The white line of the MACD turns downward a second time and the green bar enlarges a second time. The K-line will definitely break the previous low when it falls again.
Almost Golden but Not Golden Near the Zero Axis: When the MACD forms a death cross and is about to cross below the zero axis or has already crossed below the zero axis, then as the K-line rebounds, the white line rises back below the yellow line but cannot cross above the yellow line. The green bar below the zero axis begins to shorten but no red bar appears. After the K-line stops rising near the previous high, it falls again. The white line of the MACD turns downward a second time and the green bar enlarges a second time. The K-line will definitely break the previous low when it falls again.
(3) Secondary Death Cross: A secondary death cross is when the white line crosses above the yellow line after the two curves of the MACD form a death cross, but soon crosses below the yellow line again to form a death cross, and then the white line turns downward a second time as the K-line falls. According to the position where the MACD forms a secondary death cross, it is divided into two types, as follows:
Secondary Death Cross at a High Position Above the Zero Axis: When the two curves of the MACD pass above the zero axis for a long time, forming a rounded top and then a death cross. Then, as the K-line rebounds, the white line passes above the yellow line again, forming a golden cross pattern. The green bar below the zero axis disappears, and a smaller red bar appears above. After the K-line finishes rebounding, it falls again, and the white line of the MACD crosses below the yellow line, forming a secondary death cross. The K-line will definitely break the previous low when it falls again.
1. Advantages and Disadvantages of MACD Indicator
The function of the MACD indicator is to find out the overbought and oversold points of the market and the turning points of the market.
<1> Advantages: Mainly suitable for judging medium and long-term trends, easy to judge the beginning and end of rising or falling trends. Using the MACD indicator, you can determine whether the current market is a bull market or a bear market, avoid reverse operations, and adopt corresponding buying and selling strategies after determining the trend to reduce unnecessary frequent entries and exits.
<2> Disadvantages: When the stock price fluctuates greatly up and down in a short period of time, due to the slow response of the MACD, it cannot quickly generate buy and sell signals, so it is not suitable for short-term trading. When the coin is in a sideways market with small fluctuations, the buy and sell signals issued by the MACD are not obvious. When analyzing coin trends, it is more suitable for speculative coins with active stock properties and large fluctuations. It is not suitable for so-called slow-moving coins with little price change.
Two, Application Rules of MACD Indicator
The MACD indicator consists of five parts: long-term moving average DEA, short-term moving average DIFF, red energy bars representing bullish buying power, green energy bars representing bearish selling power, and the 0 axis representing the boundary between bullish and bearish forces.
MACD Indicator, How to Better Effectively Utilize Golden Crosses and Death Crosses?
<1> DIFF and DEA are both above the 0 axis, belonging to a bull market. When the white DIFF line crosses above the yellow DEA line from bottom to top, and the MACD shows a red histogram, it is a buy signal. If the DIFF line crosses below the DEA line from top to bottom, it can only be regarded as a short-term pullback, and the trend reversal cannot be determined. Whether to sell at this time still needs to be comprehensively judged with the help of other indicators.
MACD Indicator, How to Better Effectively Utilize Golden Crosses and Death Crosses?
<2> DIFF and DEA are both below the 0 axis, belonging to a bear market.
When the white DIFF line crosses below the yellow DEA line from top to bottom, and the MACD shows a green histogram, it is a sell signal. If the DIFF line crosses above the DEA line from bottom to top, it can only be regarded as a short-term rebound, and the trend reversal cannot be determined. Whether to buy at this time still needs to be comprehensively judged with the help of other indicators.
<3> Contraction and Expansion of MACD Histogram
The changes in the MACD's red and green histograms represent the strength and weakness of bullish and bearish energy, respectively. Since energy release in the MACD indicator is a gradual process, the red and green bars gradually enlarge and shrink. Eastern philosophy emphasizes that when Yang is prosperous, it declines, and when Yin is prosperous, it strengthens. The forces of the long and short sides grow and wane. When the red histogram is released, it indicates that the bullish force in the market begins to be stronger than the bearish force, and the stock price will begin a period of rising, which is a more obvious buy signal. When the red histogram gradually becomes shorter, it indicates that the intensity of the trend is weakening. When the color of the histogram changes and a green histogram appears, it indicates that the bearish force in the market begins to be stronger than the bullish force, and the stock price will begin a period of falling, which is a more obvious sell signal.
<4> MACD Pattern and Divergence
The MACD indicator also emphasizes patterns and divergence. When the MACD indicator forms a bearish pattern at a high position, such as a head and shoulders top or a double top, you should be vigilant. Conversely, when the MACD indicator forms a bullish pattern at a low position, such as a double bottom or a head and shoulders bottom, you should consider buying. When the stock price continues to rise but the MACD indicator shows a series of lower highs, it means that a top divergence has appeared, indicating that the stock price may soon turn downward. When the stock price continues to fall, but the MACD indicator shows a series of higher lows, it means that a bottom divergence has appeared, indicating that the stock price will soon end its decline and rebound.
<5> Distortion of MACD Indicator
When the stock price fluctuates without a clear upward or downward trend, but maintains a horizontal direction of consolidation, the intersection of the DIFF line and the DEA line will be very frequent, and the contraction and release of the MACD histogram will also occur frequently, and the color will often change from green to red or from red to green. At this time, the MACD indicator is in a state of distortion, and the use value is correspondingly reduced.
MACD trend-following operation is for five-wave market conditions with obvious trends, following the trend to buy/sell the third wave.
Do not participate in adjustments. Of course, while waiting for the third wave buy and sell signals to appear, you will also miss many good opportunities, but those opportunities do not fall within the scope of this signal, so they do not belong to you and me. Let us only wait for those opportunities that belong to us!
1) MACD Above Zero Axis (Bull Market) - Only buy the first golden cross; do not buy the second golden cross; do not sell death crosses
MACD Indicator, How to Better Effectively Utilize Golden Crosses and Death Crosses?
The first golden cross above the zero axis is often the beginning of the third wave. So why not buy the second golden cross? Because the subsequent market is uncertain. The second golden cross is generally the beginning of the fifth wave (except for the extension of the third wave), and the fifth wave is relatively complex, which may be an exhaustion wave or an extension wave. The idea of only buying the first golden cross is to buy relative certainty and give up uncertainty.
In addition, there is another situation where we misjudge the three-wave market (ABC adjustment) as a five-wave market:
MACD Indicator, How to Better Effectively Utilize Golden Crosses and Death Crosses?
The result is a wrong judgment, but because you only buy the first golden cross, the buying point is very good, even if you are wrong, you can make some small money.
MACD Indicator, How to Better Effectively Utilize Golden Crosses and Death Crosses?
Many times we are right about the market but didn't make money or lost money, that's because the buying point is wrong. If you master the effective buying points of MACD, you can make small money even if you are wrong, and make big money if you are right.
2) MACD Below Zero Axis (Bear Market) - Only sell the first dead cross; do not sell the second dead cross; do not buy golden crosses
MACD Indicator, How to Better Effectively Utilize Golden Crosses and Death Crosses?
3) Near the Zero Axis (Balanced Market) - Follow the direction of bullish and bearish breakouts
The area near the zero axis is a balanced market or a consolidation market. There are often false breakouts that then return to continue consolidating. This is reflected in the indicators as a death cross occurring followed by a golden cross, so the effectiveness of the signals is relatively lower than in a bullish/bearish market. However, once the balance is broken, there is often a relatively long trend.
I don't know if everyone prefers long-term or short-term investment in the investment process. In fact, long-term investment is more suitable for novices, because this type of investment is generally more stable and does not require too complicated operating skills.
Short-term is different. There are many tricks to it, and there are many operating skills for short-term investment. It is difficult for non-veterans in the coin circle to control short-term.
However, if you want to make short-term investments, you can as long as you study the operating skills well. So, which minutes to look at for short-term coin trading indicators?
Now let Qingtian bring you this most practical trick for coin swing trading:
Which Minutes to Look at for Short-Term Coin Trading Indicators?
It is related to the holding time. If it is short-term, 1 day or a few days, then the 15-minute chart is the main cycle, and the auxiliaries are 5 minutes and 60 minutes, where 60 minutes is the trend direction.
If it is 1 week or several weeks, refer to the daily, weekly, and 60-minute charts, with the daily chart for holding positions, the 60-minute chart for assisting entry and exit, and the weekly chart for trend direction.
The holding time should not be determined by yourself, but should be based on the coin price trend. If you enter the market according to low-cycle reversals, you should refer to the first group; if you operate according to daily reversals, you should refer to the second group.
Swing Trading Methods for Novice Coin Traders:
One, not setting stop-profit and stop-loss, holding orders for too long
Stop-loss is a must for every order you place. It's okay to move the stop-loss point if you have time, but since it's swing trading - short-term range trading - don't hold the orders for too long. You may have been setting stop-profit and stop-loss for too long, and you're slowly leaning towards being able to perfectly stop-profit on every order. This is impossible. Swing trading is mainly about making profits, just like investment is based on preserving assets. Successful trading methods are not determined by avoiding losses, but by controlling the quality of losses. You need to see if your loss is worth it.
Two, not paying attention to fund management and not controlling positions well
Swing trading is not the most profitable investment method. Jin Cai will add a sentence of light position operation when market sentiment is tense. The position cannot be heavy, and going all-in is even more undesirable. Jin Cai suggests that novices use 1/10 of the position to practice, and increase the position after being familiar with it, but not exceeding 1/2. Many people start to place heavy positions when they see that their single profit is very small, but in comparison, there is actually not much difference. The things you bear are different between heavy and light position operations, but the returns are not much different, which is a very uneconomical thing.
Three, Wait for Retracement Opportunities
The current digital currency market is a two-way market for both long and short positions. Therefore, compared to other investment markets, the digital currency market has larger price fluctuations. Positive news, breakthroughs at key positions, and large transfers can all become forces driving price changes. Therefore, trading digital currencies requires more speed. Sometimes, a retracement is mentioned because the market is still within a range at this time, but sometimes a retracement is the end of a swing. At this time, you need to open your eyes and see clearly.
Four, Frequent Trading of T+0 Trading Mechanism
T+0 allows investors to trade all day, and there are many more opportunities to enter the market. However, the disadvantage is that this trading mechanism increases the trading volume and the market fluctuates greatly. In this case, the emotional factors will also be amplified. It is easy to produce rebellious emotions in the case of multiple unsatisfactory operations, which is similar to women's evening shopping or buying after a breakup.
In summary, this is Qingtian's answer to the question of which minutes to look at for short-term coin trading indicators. I hope that Qingtian's article on the most practical trick for coin swing trading can help friends who want to make short-term operations to master the skills of short-term operations more quickly.
Qingtian reminds everyone that swing trading is a short-term investment method, which is completely different from the way of hoarding coins. Although it doesn't make much money, the success rate of swing trading is still relatively high. Swing trading is a very suitable trading method for the coin market, and it is also a good way for us to pass the time while waiting for the bull market.
The game in investment is a circle. Some people have not walked out of the circle drawn by the market after a few years. Facing the arrival of any wave of market conditions, you can still be impulsive, which means you are still passionate about investment. Always being impulsive means you don't understand investment.
A fox that gets food is as happy as a tiger, and a phoenix in distress is inferior to a chicken. This is a common scene in the market, whether for investors or market conditions. Lower your desires to the lowest point and elevate your rationality to the highest point. The investment path is not straight, and there will be many turning points in the market.
There is no point that cannot be turned around, only a person who cannot turn around their thinking.
If you want to find opportunities to deeply explore trends and accurately seize trading opportunities, you are welcome to come to Su Ge's "main business"!
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