I. Only trade BTC/ETH.
1. Primarily use the important moving average cluster above the 4H level to determine entry points for short positions in batches.
For example, if the MA60 moving average above the 4H level continuously suppresses the price, then use this moving average as an entry point for short positions.
Generally, use support levels below the same level or one level higher as points for entering long positions in batches.
Stop-loss: Place it below the recent low after a downward spike followed by a rise. For example, if the support level is at 2320 and the spike reaches 2310, then set the stop-loss below 2310, around 2300.
2. Stop-loss principal: 20% of the total principal; if reached, no more trades for the day. 4.2. Daily operations generally consist of two trades, with a single stop-loss controlled at 10%.
The size of each position opened should remain consistent.
II. Try to enter the market in batches, don’t load all your bullets at once! 5.2. Try to follow the trend when opening positions; if the main trend is down, try to open short positions, and vice versa.
1. When the overall market trend is good, chase the hot coins.
2. Control the risk-reward ratio, keeping it around 3:1.
3. Daily stop-loss drawdown should be 15%-20% of the principal; if reached, no more trades for the day.
4. Daily review. 3. Market crash scenarios: Stay in cash and wait to enter in batches when opportunities arise. If there are no opportunities, just wait in cash; in such market conditions, not losing money is equivalent to making money.
3. Breakeven stop-loss: If on the day of opening trades, there is no stop-loss triggered and the K-line patterns of the same level haven't been broken, you can choose not to set a breakeven stop-loss.
IV. Never think about hitting it big all at once.
1. Only trade in markets that belong to you! Learn to stay in cash, don’t force trades.
2. Do not trade overnight.
3. Try not to open positions on weekends.
4. After being stopped out, control your mindset; don’t get overly emotional.