"The market always rewards rational investors and punishes emotional traders"
I. Market Observation Strategy: Learn to coexist with uncertainty
📊 Data shows:
85% of losing trades occur in choppy markets
Professional traders spend 30% of their time in cash each year
✅ Key Execution Points:
Pause trading when market volatility is below 20%
Wait for clear breakout signals before entering
Set price alerts instead of blindly watching the market
II. Trend Following Methodology
📈 Typical Success Cases:
ETH trend from $1000 to $2000 in 2023
SOL's sustained rise after breaking key resistance in 2024
🔍 Operation Framework:
Use weekly charts to determine the main trend direction
Find specific entry points on daily charts
Set dynamic take profit on 4-hour charts
III. Risk Management System
⚖️ Three defensive lines that must be established:
Single trade risk should not exceed 2% of principal
Daily maximum loss controlled within 5%
Rebalance positions weekly
IV. Trading Psychology Development
🧠 Correction of Cognitive Biases:
"Missing Opportunities" is more dangerous than "Making Wrong Trades"
"Averaging Down Losses" is the biggest investment trap
"Perfect Trades" do not exist
V. Continuous Learning Path
📚 Recommended Advanced Directions:
Order Flow Analysis
Liquidity Research
Institutional Behavior Patterns
Summary:
"Systematic Trading + Strict Risk Control + Continuous Evolution = Long-term Profit"