Iron Law
Three Cycle Resonance: 30-minute line sets direction, DIF must stand above the 0 axis; 4-hour line looks at strength, the energy bar must have 80% of the previous high; daily line locks trend, weekly line at zero axis, daily line death cross is all about washing positions. Last year, BTC oscillated between 48,000 and 52,000, how many people were scared away by the daily line death cross? I kept an eye on the weekly MACD at the zero axis and stubbornly held on until it reached 60,000.
Divergence Stop-Loss Formula: When a top divergence appears, and the net outflow of whales on the chain exceeds 5 million, don't hesitate, just cut. In 2022, I couldn't bear to cut and watched my account drop from 5 million to 800,000. When there is a bottom divergence, only act when the contract long-short ratio is below 0.7; at this time, retail investors are cutting their positions, which is the perfect time to pick up chips.
Energy Bar Offense and Defense: If there are 3 consecutive red bars that are getting shorter, and none reach 50% of the previous one, the bulls are definitely going to be exhausted. Conversely, if the green bars suddenly increase in volume, exceeding 2 times the 30-day average, along with a surge in borrowing rates on exchanges (indicating someone is borrowing money to go long), then rush in; the win rate can reach 80%.
