It's easy to lose money in the cryptocurrency world. This is a lesson I learned with my own hard-earned money. Four years ago, I was a "technical person" who stayed up late to monitor the market, poring over indicators like candlestick charts, MACD, and RSI. I ended up making and losing money, my account balance barely budged, and I even experienced several losses. That is, until I met a seasoned trader who told me: The simpler the cryptocurrency trading, the better.
In my opinion, the key to market trading lies in maintaining a positive mindset, with technical mastery taking a back seat. This calmness and composure may be the secret to my success and success in the cryptocurrency world.
Working in the cryptocurrency circle: High winning rate structure "bottom pattern +"
The bottom pattern usually appears at the end of a decline and is composed of 3 to 4 K lines.
It is one of the classic combinations that is easiest for novice friends to learn and recognize.
The larger the volume of the third Yang line, the higher the degree of reversal and the more reliable it is.
Combined with the cross star at the bottom, it is perfect!
1. Technical characteristics of bottom pattern
1. Appear in a downward trend.
2. It is composed of three K lines. The first one is a Yin line, the second one is a small Yin line, a small Yang line or a cross line, and the third one is a Yang line.
3. The third Yang line should be large and almost completely recover or reverse the first Yin line.
2. The technical significance of bottom pattern
The bottoming pattern is a common bottoming reversal signal with a high win rate. This pattern indicates that after a sharp drop in the price, the short-selling energy has almost been released, and the price is unable to fall further. The positive line on the right side indicates that the bulls have begun to fight back, which directly reflects the comparison of the long and short forces. Therefore, the probability of a structural reversal is very high, and the market outlook is bullish!
The bottom pattern perfectly reflects the short-term trend reversal in Dow Theory+:
The first Yinxian line is the latter low is lower than the previous low
The second K-line price stopped falling and consolidated
The third bullish candlestick has a higher high than the previous high.
Practical Logic
The first negative line is like a car driving on the road. The decline of the negative line is like the speed of the car, and the trading volume is like the driving force. The smaller the decline, the slower the speed; the smaller the trading volume, the smaller the driving force of the decline.
The second K-line shows the entire process of the car braking suddenly, stopping and turning around.
The third candlestick is a bullish candlestick. Like the first bearish candlestick, the magnitude of the bullish candlestick's gain and trading volume represents speed and momentum. The greater the gain, the faster the speed, and the greater the trading volume, the stronger the momentum for a long position.
The feedback in the trend is that when the price falls to a certain level, the short position is exhausted and unable to fall further. The bulls take the opportunity to counterattack and reverse the trend in one fell swoop. Therefore, traders can follow up and buy after the bottom pattern appears!
Special Tips:
When a bottom pattern and a rising flag pattern appear simultaneously, the probability of a subsequent market rally is very high, and it is also an important signal for identifying the end of the flag pattern. Strike while the iron is hot, tomorrow we will discuss the rising flag pattern!
Direct talk on the tricks of cryptocurrency speculation
Six things not to start with, four things not to let go:
Six things not to do:
1. If the coin keeps falling and the 60-day moving average* hasn't stabilized, don't touch it yet. Follow the trend. If the coin keeps falling, wait and see when it turns around.
2. Don’t buy coins that have seen good news after they’ve risen. Good news is often a sell signal. If a coin that has already risen gets good news again, the main force may be trying to close the deal.
3. If the price rises too fast all of a sudden, stay away from coins with the 5-day line and don't chase them. Coins that rise too fast also carry high risks, and chasing high prices can easily lead to being trapped.
4. Don’t take risks if the coin suddenly jumps at a high level. The risk is not small if the coin jumps at a high level. It may be that the main force is quietly selling.
5. Avoid coins with a turnover rate of more than 30%. A high turnover rate indicates a fierce battle between bulls and bears, so avoid this volatile market.
6. Don’t be fooled by coins that are still holding up despite a bad market. Coins that are still holding up despite a bad market are probably just a scam.
Four things not to let go:
1. Hold on to coins with an RSI between 50 and 80. If the RSI is in the middle or higher, it means the coin still has strength and you can earn more by holding on.
2. Don’t rush to sell coins that have jumped up from a low position. A gap-up rise indicates that the bullish momentum is very strong. Let’s see if it can continue to rise. 3. Hold on to coins that are trending upward. Follow the trend. The longer you hold on to coins that are rising, the more you will earn.
4. Don’t sell coins that have all their chips concentrated in one place. If all the chips are piled up together, the main force may want to push the price up. It’s not too late to sell at a higher point.
Experience of cryptocurrency trading: When it comes to cryptocurrency trading, you still have to follow the rules and can’t just go by your feelings.
Seeing the trend clearly is much more reliable than guessing blindly!
Three perspectives, ninety-nine essences! The secrets of cryptocurrency trading that the big guys won’t tell you
It is no exaggeration to say that one day in the cryptocurrency world is like one year in the real world. Many people want to get on this accelerator, but risks and benefits coexist.
Qingtian often receives messages in the background: What should I do if this coin drops today? Should I sell that coin tomorrow? What I feel is a kind of panic and confusion when facing an unpredictable circle.
Today, I will share with you some useful information from the three perspectives of information, technology, and mentality. It is very suitable for novices who have no idea about the cryptocurrency circle.
News
. You must find ways to collect first-hand information to win, and it is particularly important to analyze the major consulting media in the circle.
2. Most media are business agents for big investors and also non-vegetarian investment consultants.
3. Only by mastering the characteristics of different industries can you have the opportunity to make profits.
4. Buying stocks that are contrary to the opinions of experts is sometimes a unique way of speculation!
5. Before investing, you must make every effort to prepare, learn about financial knowledge and domestic and international financial and political trends, and detailed analysis of the team and implementation are key.
6. Buy or sell when the news comes out, and sell or buy when the news is confirmed.
7. Do your own research and judge the market conditions yourself, and don’t change your mind based on unconfirmed rumors.
8. If there is a problem with the team, there will be problems with the product. It is better to do less.
9. Any direct investment is a professional investment, and professional investment requires professional knowledge as a basis.
10. Nine out of ten people who claim to have accurate predictions are losers.
11. If the news is inaccurate, you will lose. The most futile behavior is to try to guess the psychology of big investors and speculators.
12. When purchasing, you should understand whether the relationship between the issuer's profit potential and the current market conditions is reasonable.
13. This circle is small, but it does not mean that there is no circle. It is very helpful to know a few big names.
14. Don’t let sudden news change your original intention to buy or sell.
15. When all good news comes out, it is bad news; when all bad news comes out, it is good news.
16. Institutional operations all have code words. For example, the order “232323” may mean shipping. Each institution is different, so it is necessary to study it.
17. Don’t join a small circle. If you join, you will only use your ears and brain.
18. White paper + no specific content and R&D technical team, the probability of air market is over 80%.
19. Is the project open source? Generally, open source projects will be uploaded to GitHub. If not, you need to be careful.
2. Technology
20. Following the right coin is half the battle.
21. The tactics of large investors are often quite unexpected, deceiving less experienced traders to facilitate their own purchases and sales. You must accurately analyze the patterns of trading volume.
22. The timing of buying is the most important part of virtual market investment.
23. If the price falls back by more than one-third, it is time to sound the alarm.
24. Three steps of rising: bottoming out - breaking through - soaring!
25. The index has been updated for three consecutive days, but the trading volume has decreased successively, which may indicate a bad market outlook.
26. Long-term leading stocks will inevitably experience a sharp decline. If the decline exceeds 50%, the probability of a 30% increase in bottom-fishing is relatively high.
27. It is common for small and medium-sized investors to be trapped by large investors, so diversification of investments is crucial.
28. The rise and fall of the index is not random and is much simpler than the lottery. Proper screenshot analysis is crucial!
29. Anyone who leads the rise will inevitably lead the decline.
30. Avoid too many changes in buying and selling. Don’t act rashly when you are hesitant. Respond to changes with constancy.
31. A surge in trading volume and no change in price is a signal that the top is near. At this time, the best strategy is to "run away".
32. The longer it hovers at a low level, the greater the upward range will be, and the probability of rising by 30% will reach more than 70%.
33. To judge whether it is growing or declining, we must look at the gap between it and the trend of the times. Policy is the biggest risk, but it is still necessary.
34. Trading volume is the pulse, which can show whether the patient is sick.
35. It is better to choose a good time than to choose what to buy. Knowing how to sell is a hundred times better than knowing how to buy.
36. Don’t put all your financial resources on one thing.
37. Never speculate because you think the price is low and there is a lot of room for growth. You must know that once the market reverses, it will be difficult to sell and the decline will be multiples. 38. Buying stocks with slightly lower profitability and lower prices may be more cost-effective than buying stocks with slightly higher profitability. 39. If you do not have sufficient experience, do not engage in short selling transactions. It is common to get hurt.
40. Determining long-term investment goals and principles is the first issue.
41. Market fluctuations have a traceable pattern. If you master this pattern, you will win every battle.
42. The shrinking increase and declining trading volume are obvious signs that the top is approaching.
43. Experience shows that the duration of technical factor markets is generally shorter, about one-third of that of fundamental factor markets. 44. Avoiding being stuck at high prices is the most important lesson for beginners, so practicing at low prices is crucial. 45. If the stock doesn't rise when it should, it's a bad sign; if it doesn't fall when it should, it's a good sign.
46. Fundamental analysis can tell you which coins have intrinsic beauty, while technical analysis tells you the best time to mine them.
47. Funds in the trading session always flow in the most favorable direction.
48. Low prices fluctuate more than high prices.
49. Buy when you can, sell when you should, stop when you must. Safety first, stability above all else. Rashness leads to loss, greed leads to poverty.
50. Short-term market fluctuations have no correlation with long-term performance.
51. You must understand the “Sunday Theory+”, many coins are rising today.
52. You still have to buy a robot, after all, it reacts faster than the human brain.
53. The price fluctuations and band fluctuations of the same product may be different in different exchanges. It is necessary to choose a good exchange.
54. New currencies are often the best choice for short-term trading.
55. It is best to configure a combination of international markets and altcoins
56. Big coins are relatively stable when they fall, while altcoins are volatile and have many opportunities.
57. Try not to operate during rapid stretching.
58. It is best not to hold all your positions. It is better to hold half of your positions or leave 1/3 of your positions to make up for the decline.
59. You must truly understand the operating conditions of the team or foundation, and if necessary, tell it to the person you think is the dumbest to hear their opinions.
60. Don’t buy too many popular stocks, because popular stocks tend to rise and fall quickly.
61. Don’t go all in on one currency; try to diversify your holdings.
62. Trading volume can show the changes in the situation. When the trading volume starts to increase, you should pay attention to it and either sell or take a profit.
63. What you hold must be sold sooner or later. If you don't sell, you are just a fool. 64. The highest or lowest price in the process of market fluctuations will often become the top price or the bottom price. After passing this hurdle, it will either rocket or waterfall.
65. Following the trend means filling your wallet.
66. It is best to choose those that have good prospects but are not yet very popular and are easy to make money.
67. Experts usually make a plan with each step written clearly, and all that remains is to strictly follow the requirements.
68. The basic routine of institutions: five stages: building positions, testing the market, pulling up prices, washing the market, and shipping.
69. There are generally two possibilities for a sudden increase in volume. One is that the market makers are protecting the market, and the other is that institutions are going long. At this time, you should follow the trend.
70. Every time you go up a flight of stairs, you usually wash the dishes. If you get off the bus at this time, you may not be able to wait for the next bus.
71. It is not impossible to get rich with 10 yuan in the market, luck is also the key.
72. When there is a big pullback, it is an opportunity to buy a little.
73. Don’t overestimate the IQ of big names. Many of their actions are just showing their low standards.
74. Before making small profits, proceed step by step and don’t play with large funds.
75. Buying at a high price is risky, so beginners should just ignore it.
76. For beginners, don’t chase the rising prices. It is better to miss out than to rush in to get on board.
77. If the market cap is too small and the stock is only traded on one exchange, you should be cautious when participating.
78. If you are offered free membership at the beginning but are asked to pay various fees later on, this is basically a pyramid scheme and it is recommended that you do not join.
79. It has not yet been listed, but has increased many times during the fundraising period. It is recommended not to participate.
80. Moving bricks is a relatively low-risk job that is easy to make money.
Mentality
81. Small profits often delay big market trends. Don’t let small changes confuse the big direction.
82. The person you can trust the most at any time is yourself. It is crucial to walk your own path.
83. When you are hesitant, you should stop taking action, which means that the market situation is not yet clear.
84. Being one step ahead may guarantee victory.
85. There is no such thing as a stock that only goes up and never goes down, and there is no such thing as a stock that only goes down and never goes up. Opportunities always exist. The price in your heart is the key. Regret is useless. 86. Exercise a strong body so that your heart can withstand the impact of ups and downs.
87. The secret of trapping investors as soon as they buy and increasing their prices as soon as they sell lies in the trader’s trading, as the trader is constantly studying the psychology and behavior of non-traders every day.
88. Market speculation is all about numbers. Never establish a relationship with money. If you do, you will definitely lose money.
89. The market changes very quickly. It is normal for bullish positions to change within 10 minutes. You must keep a balanced mentality.
90. If you can’t stand being scared, you won’t get big. Courage, courage, and more courage.
91. Patiently wait for the large-scale stock to become a real blue chip stock. This is the real mentality.
92. The mentality of being in a hurry to make money is a big taboo for speculators.
93. Remember that the power of compound interest is the greatest.
94. The definition of leeks is people who chase rising prices and sell when prices fall, believe in rumors, and have a restless mentality.
95. Listen less to shouting and use your brain more.
96. Do not use your financial resources to estimate the market, and do not let your determination be affected by how much you earn or lose. In this industry, everything you hold is wool.
97. You may be very successful in business, but there is no necessary connection between you and the cryptocurrency world.
98. Experience can cultivate inspiration, but inspiration cannot rely entirely on experience.
99. There is no free lunch. You must set a range of losses that you can afford.
Learn to release the burdens within you, not get ecstatic over profits or depressed over losses. Actively put down your phone and computer, reduce your excessive focus on market conditions, and meet every trading challenge with a calm and resolute heart.
Mu Qing only does real trading. The team still has positions to fill.
