I often mention rolling positions. In my view, rolling positions is the most stable strategy for trading contracts, almost ensuring absolute safety for the positions. Some people ask how to roll positions?
Let me share my method:
Uptrend: Long buying, position should not exceed the bullets.
1/3. Sell high and buy low, take profit 1/3 near each resistance level, and add another 1/3 during pullbacks. You can set a limit to take profit near the upper two resistance levels to prevent sudden spikes and maximize the locking of some profits. Keep a trailing position until it hits the high point during the surge to stop loss at the pullback.
Downtrend: Short selling, position should not exceed 1/3 of the bullets. Take profit 1/3 near each support level and add to shorts during rebounds.
1/3. You can set a limit to take profit near the lower two support levels to prevent sudden acceleration downwards, maximizing profits. Keep a trailing position until it hits the low point during the surge to stop loss at the rebound.
Hedging: Simultaneous low buying and high selling requires specific timing, which occurs when the candlestick moves into a triangular consolidation area, oscillating horizontally for more than one or two weeks without breaking up or down. Such market conditions are suitable for hedging. Generally not applicable.
