This is also a method I have personally tested: in three years, using this trading strategy, I earned over 14 million USDT. Monthly return rate of 155.22%!
Even if you are a novice in the cryptocurrency circle, as long as you strictly follow this method, you can easily make money.
First, we need to set the moving averages on the K-line chart to three, namely the 5-day moving average, the 15-day moving average, and the 30-day moving average. The 30-day moving average is the lifeline, a strong support or resistance level. Then, you can trade the cryptocurrency based on these three moving averages.
1. The selected cryptocurrency must be in an upward trend; of course, it can also be in a consolidation phase, but it must not be in a downward trend or have all moving averages opening downwards.
2. Divide the funds into three equal parts. When the cryptocurrency price breaks through the 5-day moving average, buy 30% with a light position. When the price breaks through the 15-day moving average, buy another 30%. Similarly, buy the final 30% when it breaks through the 30-day moving average. This requirement must be strictly followed.
3. If the price breaks through the 5-day moving average but does not continue to break through the 15-day moving average and instead pulls back, as long as the pullback does not break the 5-day line, maintain the original position. If it breaks, sell.
4. Similarly, if the price breaks through the 15-day moving average but does not continue to break upward, hold if the pullback does not break the 15-day moving average. If it breaks, first sell 30%. If it does not break the 5-day moving average, continue to hold the 30% position of the 5-day moving average.
5. When the price continues to break through the 30-day moving average and then pulls back, sell all at once as before.
6. Selling is the opposite. When the price is at a high level, if it breaks below the 5-day line, first sell 30%. If it does not continue to drop, hold the remaining 60% position. If the 5-day, 15-day, and 30-day lines all break, sell everything and do not hold onto false hopes.
This 'foolproof' operational method is simple, but the most important thing is to have execution power. Once you buy in, the trading system is formed, and only by strictly adhering to trading discipline can you earn profits.