Many people lose money playing contracts, so how can you earn?
Only trade the two strongest coins (the first and second). Mainly look at the 4-hour level chart: if there are important moving averages capping above (for example, the MA60 keeps pressing up), take the opportunity to enter short positions in batches; if there is support at the same level or a larger level below, enter long positions in batches near the support level. Set the stop-loss like this: for example, if the support level is at 2220, and it dips down to 2210 but bounces back, set the stop-loss below 2210 (around 2100).
There are principles for stop-loss and positions: if the total capital falls by 15%-20%, try not to open new positions that day; control single trade losses within 10%, and do a maximum of two trades a day, ensuring each entry is at the same level. Try to enter in batches, don’t invest all your money at once.
Follow the trend: if the overall direction is short, then enter more short positions; if the overall direction is long, then enter long positions. When the market is good, chase popular coins. Control the profit-loss ratio, ideally around 4:1. Review and summarize at the end of each day.
When encountering a market crash: wait for short positions, enter in batches when there is a spike, if there’s no opportunity, just keep holding short positions, and not losing money at this point is equivalent to making money. Regarding the protective stop-loss: if the positions opened that day have not hit the stop-loss and the same level candlestick pattern has not been broken, then there is no need to set a protective stop-loss.
Remember the mindset and taboos: don’t think about gambling to get rich, only trade what you understand, learn how to hold positions, and don’t force trades. Avoid overnight positions, and try not to open positions on weekends when there are no clear trends. After being stopped out, don’t get emotional, maintain a good mindset, and don’t continue to trade. Make sure to control your positions, avoid heavy bets or gambling, and always set your take-profit and stop-loss.