One, first allocate your money well, don't go all-in at once
1000U is not much, you need to use it like slicing a cake. Take out a maximum of 300U as 'pioneer', keep the remaining 700U untouched, this is your 'emergency fund'. Why? The contract fluctuates greatly, if you lose too much at once, you won't get a chance to recover; keeping the money allows you to wait for the next opportunity.
Two, choose a 'stable' coin, don't touch small obscure coins
Beginners should focus on Bitcoin (BTC) or Ethereum (ETH). These two have large market caps and won't suddenly spike or crash drastically. Those small coins with hard-to-pronounce names may look like they are rising rapidly, but when they fall, they can wipe you out instantly; 1000U can't withstand that much turmoil.
Three, check the 'traffic light' before opening a position, don't buy blindly
Look at the big direction: open the daily chart, if the price is above the 7-day moving average and the moving average is rising, it's a 'green light' (bullish); conversely, if it's below the moving average and the moving average is declining, it's a 'red light' (bearish). Don't act against it, for example, buying when there's a red light will likely get you hurt.
Small position trial and error: out of 300U, use only 50-100U for each position. For example, when there's a green light, use 50U to buy bullish, set a 'stop loss' at 3% below the opening price (for instance, if the opening price is 50,000, set the stop loss at 48,500); if it drops to this point, the system will sell automatically, with a maximum loss of 1.5U, so you won’t feel the pinch.
Four, run when you make money, don't be greedy; run when you lose money, don't hold on.
When making money: for example, buy bullish with 50U, if it rises by 2%, sell half (25U), recover your capital and some profit, and gamble with the remaining 25U; even if it falls back, you won't incur a loss.
When losing money: when it reaches the stop-loss point, sell immediately, don’t think about 'waiting for a rebound', 1000U can't withstand several major losses; stop-loss is a life-saving measure.
Five, limit yourself to a maximum of 2 trades per day, don't be a 'gambler'.
The most common mistake beginners make is frequent trading, getting itchy hands from watching price fluctuations. Set a rule to only open positions twice a day, regardless of profit or loss. Frequent trading equals paying transaction fees to the platform, and in the end, you won't make money but will lose a lot on fees.
Six, for example, look at the process
Initial capital is 1000U, take out 300U.
When the BTC daily chart shows a green light (uptrend), use 50U to open a long position at a price of 110,000, set the stop loss at 106,700 (down 3%).
On the same day, BTC rose to 112,200 (up 2%), sell 25U, recover 25U of principal + 0.5U profit, keep the remaining 25U and raise the stop loss to 110,000 (no loss of principal).
The next day BTC rose to 114,400 (up 2%), sell the remaining 25U and earn 1U, making a total profit of 1.5U from this trade.
Do not trade again today; wait for opportunities tomorrow.
Seven, key reminders: do not borrow money, do not use too high leverage.
For amounts within 1000U, the maximum leverage should be 5 times (the platform may default to 10 or 20 times, be sure to reduce it). The higher the leverage, the more likely you are to incur a total loss with even a slight fluctuation (you lose everything). Additionally, absolutely do not borrow money to trade; if you lose and can't pay it back, it will lead to big troubles.
In short, practice with small funds, the focus is not on how much you earn, but on learning to 'not lose' first. Once you understand the temperament, you can gradually adjust. Remember, contracts are 'like licking blood off a knife's edge'; stability is more important than anything.
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