The most important thing is to earn your first bucket of gold.
The first bucket of gold must rely on leverage multiplication (which indeed has a gambling element. You need to repeatedly build your own trading system at this step; many people fall at this step).
Capture a profit of more than 10 times.
For example, if you only have 10,000 yuan.
You need to rely on this 10,000 yuan to achieve wealth multiplication.
You must hit the target in one shot.
For example, fully invest in A with 10x leverage, and A doubles.
You instantly achieve a 20 times increase in principal.
With this 20 times capital.
Fully invest in the next trade.
Hit the target in one shot, double it. 20×2=40.
Wait for another opportunity and aim to hit the target in one shot to double it again.
40×2=80 times, repeat again.
Except for the first bucket of gold which needs leverage.
The subsequent trades are realized through spot.
This way you won't repeat the same mistakes.
If you haven't even earned your first bucket of gold.
Every day doing short-term trading.
Earn 10% of the principal at once, or lose 10% of the principal at once.
You can never make big money like this.
The most likely outcome is going to zero.
Making money relies on just 2-3 waves.
The first bucket of gold may require many trial and error costs before succeeding, or you might fall at this step (which is the process of refining your trading system).
As long as you succeed once, you need to plan for the second operation.
First leverage multiplier.
Second spot multiplier.
Third spot multiplier.
Fourth spot multiplier.
In trading, you must always follow the trend; the power of the trend pushes prices to continue rising or falling. Therefore, do not short when prices rise too high, and do not go long when prices fall too low; follow the original trend's direction.
When prices rise, continue to go long no matter how high it goes; when prices fall, continue to go short no matter how low it goes. In other words, do not guess the bottom or the top; but in fact, it's much more complex. For this circle, not guessing the top is more suitable, but the bottom is actually hard to drop too much. During the bear market, it fell to 3000, but it dropped from 6000 to 3000, not from 20,000 to 3000 in one go.
For example, guessing tops and bottoms worked well in 2018 and 2019 because there was a wide fluctuation, but in the 2020 bull market, you might miss opportunities or go short against the trend.
If you don't guess tops and bottoms, the years 2018 and 2019 were not easy.
Not guessing the weekly level tops and bottoms can be too large; during most market oscillation periods, there isn't much profit, which is hard to endure. Therefore, my choice is to keep the pattern smaller, making it easier to execute consistently.
For example, if you think the price has risen too much, you can choose to step back and reduce your position instead of going short; you can choose to miss the opportunity, don't short.
Good risk management and proper allocation of capital are crucial. Your funds are your bullets; if you run out of bullets, you've lost the battle. I always emphasize low leverage ratios to ensure that when you misjudge the market, you still have a good mentality and ample time to analyze whether the subsequent market can continue.$BTC $ETH #币安HODLer空投TOWNS #ETH巨鲸增持 #美国加征关税