Ten thousand yuan wants to make one hundred thousand in the cryptocurrency circle is too easy. I can casually make a few trades that yield more than this profit!
If your account is below 1 million and you want to profit in the short term in the cryptocurrency circle, there is indeed a timeless trading strategy, which is also the tried and tested 'MACD strategy'. Retail investors can easily pick it up at a glance, it's pure content! Everyone doesn't need to worry about whether you can learn it; I can seize this opportunity, and you can too. I'm not a god, just an ordinary person. The difference between me and others is that others have overlooked this method. If you can learn this method and take it seriously in your later trading process, you can at least earn an extra 3 to 10 percentage points of profit every day.
Sharing a set of practical strategies I have developed over the years, with an average win rate of 80%. This is quite a remarkable achievement in the crypto trading circle.
It can be said that I have tried 80% of the methods and techniques in the market; the most practical in practice—MACD strategy—is one of the essential skills for short-term and swing trading, and it is also the simplest and most practical short-term trading method, equally applicable in contracts.
30%-50% profit in a month. Proven effective!
Market Implications
1. Dual Moving Average Market Implications
1. Position Implications
1. Dual lines above the 0 axis indicate a bullish trend, while below the 0 axis indicates a bearish trend;
2. The dual lines crossing above and below the 0 axis serve as a basis for assessing the current market trend.
2. Dual Line Cross
The crossover and dead cross signals that appear in shorter timeframes are too numerous, so it is best not to use them alone.
2. Volume Bar Market Implications
Bulls and Bears Divide: The 0 axis is the divide, above it is bullish, below it is bearish;
2. Bullish Trend Following:
Volume bars on the 0 axis change from small to large, indicating a bullish trend, with the market showing an upward trend;
3. Bullish Pullback:
Volume bars on the 0 axis change from large to gradually smaller, indicating a bullish pullback, with the market showing an upward trend adjustment;
4. Short Position Trend Following:
Volume bars below the 0 axis change from small to large, indicating a bearish trend, with the market showing a downward trend;
5. Short Position Rebound:
Volume bars below the 0 axis change from large to small, indicating a bearish rebound, with the market showing a downward trend adjustment.
Comprehensive Implications
1. Bull-Bear Equilibrium
Moving averages close to the 0 axis wrap around, and the volume bars show scattered small volume distributions, indicating that the market is likely to show fluctuations.
2. Divergence
Divergence is a signal of momentum exhaustion. Effective divergence refers to simultaneous divergence of the dual lines and volume bars.
3. Trend Continuation
Trend up + volume bars always above the 0 axis indicate the continuation of the bullish trend; trend down + volume bars always below the 0 axis indicate the continuation of the bearish trend.
"MACD" 8 Major Entry Points
1. Chan Theory
First and Second Types of Buying and Selling Points
First Type of Buying Point
Trading Principles:
Bottom divergence + golden cross as a buying point;
Top divergence + dead cross as a selling point.
Second Type of Buying Point
Trading Principles:
The dual lines first run above the 0 axis; # Tokenization of US stocks
First pull the dual lines back to near the 0 axis;
Then the first golden cross forms above the 0 axis for buying.
2. Trend Judgment Trading Method
Trading Principles:
Long-term trend judgment in large cycles;
Enter in small cycles.
Analyzing from weekly and daily lines, the large cycle is bullish, and there is a pullback in the daily line. Our trading strategy is that if the daily line is short, it can only be a pullback, or wait until the daily line’s weakness to follow the weekly line for bullish trades. #Strategy Increase Bitcoin Holdings
We can find entry points from smaller cycles, such as 1 hour or 4 hours.
3. Energy Bar Position Trading Method Trading Principles:
1. Moving averages close to the 0 axis and wrap around it;
2. Volume bars show scattered small volume distributions;
3. Enter when price breaks out simultaneously.
MACD indicator volume bars shrink, and moving averages are coiled near the 0 axis, indicating that bulls and bears are in a balanced state, consistent with K-line consolidation and fluctuations, which is a form of energy accumulation.
Therefore, when the MACD indicator volume bars show a pattern consistent with the classic forms of K-line, such as triangles, flags, etc., narrow fluctuations once broken often represent a great opportunity.
4. Key Position Trading Method Trading Principles:
1. Key Support and Resistance Levels;
2. K-line shows a piercing signal;
3. Volume bars change from positive to negative, sell short; # New on Binance Alpha
4. Volume bars change from negative to positive, go long.
5. Second Red-Green Trading Method (Aerial Refueling Signal)
Trading Principles:
1. The first wave of upward volume bars should not be too large or too small, corresponding to K-line price patterns, ideally in an attacking shape;
2. The first wave of positive volume bars gradually increases and then gradually decreases, but it does not shrink to negative values; rather, positive volume bars continue to expand.
6. Buddha's Hand Facing Up
Trading Principles:
After the dual lines golden cross, follow the price of the commodity upward, and then the price pulls back;
2. After the dual lines return to near the 0 axis, the DIF line immediately turns upward, forming the Buddha’s hand facing up pattern.
7. Main Trend Trading Method for Downward Main Trends:
1. MACD volume bars remain above the 0 axis, price shows a continuous rise;
2. MACD volume bars first appearing below the 0 axis, price pulls back on the first wave;
3. The second wave's volume bars are smaller than the first wave's volume bars;
4. Enter short trades on the 3rd wave when the 2nd wave pulls back and the MACD volume bars shorten or expand again.
The same applies to the upward main trend.
8. Divergence + Pattern Trading Method
Trading Principles:
MACD divergence occurs;
Trend breakout.
Divergence does not necessarily mean reversal; it can also be a buildup of momentum. After divergence, there may be further divergence, so using divergence as a basis for exiting or entering can easily lead to deception.
However, we can use macd + price trends to determine market turning points.
Sharing another set of experiences summarized from practice (mindless rolling strategy): 300 times in 3 months, earned 30 million. If you also want a piece of the pie in the crypto market, spend a few minutes to seriously read this article, and you will benefit for a lifetime!
Adjust Holdings
Let's cut to the chase and get to the most critical point—how to achieve rolling positions through adjusting holdings.
1. Timing: Enter the market when conditions meet the rolling position criteria.
2. Open Position: Follow technical analysis signals to find the right time to enter.
3. Add Positions: If the market moves in your direction, gradually add to your position.
4. Reduce Positions: When you've earned your set profit or the market seems off, sell slowly.
5. Close Positions: When you reach your target price or the market is clearly about to change, sell everything.
Here's how I operate; let me share my rolling position insights:
(1) Earn money and then add positions: If your investment has increased, consider adding more, but the premise is that costs have already decreased and risks are lower. It’s not about adding every time you earn, but rather at the right time, such as at breakout points during trends, then reducing quickly once a breakout occurs, or adding during pullbacks.
(2) Base Position + Trading: Split your assets into two parts; one part remains static as a base position, and the other part trades during market price fluctuations, which can lower costs and increase returns. Specific splits can be as follows:
1. Half Position Rolling: Hold half of the funds long-term, and trade the other half during price fluctuations.
2. 30% Base Position: Hold 30% of the funds long-term, and trade the remaining 70% during price fluctuations.
3. 70% Base Position: Hold 70% of the funds long-term, and trade the remaining 30% during price fluctuations.
The goal is to maintain a certain level of positions while using short-term market fluctuations to adjust costs and optimize holdings.
Risk Management
Risk management, simply put, involves two things: total position control and fund allocation. Ensure that your total investment does not exceed the risks you can bear, and allocate funds wisely; do not put all your eggs in one basket. At the same time, always pay attention to market dynamics and changes in technical indicators, flexibly adjust strategies according to market conditions, and promptly stop losses or adjust investment amounts when necessary.
Many people may feel both excited and fearful upon hearing about rolling positions, eager to try but also worried about risks. In fact, the rolling strategy itself is not very risky; the key lies in the use of leverage. If used reasonably, risks can be controlled completely.
For instance, if I have 10,000 yuan in capital and open a position when a certain coin is priced at 1,000 yuan, I use 10x leverage, but only 10% of my total funds (i.e., 1,000 yuan) as margin, so I am effectively only using 1x leverage. If I set a 2% stop-loss line, if the market turns against me, I only lose 2% of this 1,000 yuan, which is 200 yuan. Even in the worst-case scenario, if liquidation conditions are triggered, I only lose that 1,000 yuan, not all my funds. Those who face liquidation often do so because they used excessive leverage or had too heavy a position, and even a slight market fluctuation can trigger liquidation. But with this method, even if the market turns against you, your losses remain limited. So, whether you use 20x, 30x, or even 3x or 0.5x leverage, the key lies in whether you can use leverage reasonably and control your position.
This is the basic operation process of rolling positions. Friends who are interested can take a look and study carefully. Of course, everyone's views may differ; I am just sharing my experience and not trying to persuade anyone.
How can small funds grow big? Compounding effect.
If you have a coin that doubles in value every day, after a month, its value will be astronomical. Doubling on the first day, doubling again on the second day, and continuing this way, the final amount will be incredibly large. This is the power of compounding. Even if you start with a small amount, as long as you keep doubling, you can eventually accumulate an astonishing figure.
For those who do not have much capital but want to enter the market, aim for big goals. Many believe that small funds should engage in frequent short-term trades to quickly increase value, but in reality, medium to long-term trading may be more suitable. Instead of making small profits daily, focus on achieving multiple times growth with each trade; we seek exponential growth.
In position management, first, diversify risks; do not put all funds into a single trade. You can divide your funds into three to four portions, investing only one portion in each trade. For example, if you have 40,000, divide it into four portions and use only 10,000 per trade.
Use leverage moderately. Do not exceed 10x leverage for mainstream currencies and 4x for smaller coins.
Be dynamic in adjustment. If you incur losses, compensate with an equal amount of external funds; if you earn, extract some appropriately. Regardless, do not allow yourself to fall into losses.
When your funds grow to a certain level, consider gradually increasing the amount per trade, but don’t add too much at once; it should be done gradually.
Through reasonable position management and a stable trading strategy, small funds can gradually achieve significant appreciation. The key is to patiently wait for the right timing, focusing on the big goals of each trade rather than daily small profits.
Develop your own trading principles, form a trading system to help overcome human weaknesses, allow profits to run when opportunities arise, and cut losses when funds incur losses; this is the fundamental way to achieve great wealth. Finally: In the cryptocurrency market, only this type of person makes money, not depending on what skills or methods are used, but on your self-discipline; trading in the crypto market is sometimes not a strategy competition but a competition of time and patience.
Even the most diligent fisherman would not go out to sea during a storm but would carefully guard their boat. This season will pass, and sunny days will come! Follow Lao Chen for fishing and fishing tips; the door to the crypto world is always open. Only by following the trend can one have a life of following the trend; save this in mind!
$ETH $BTC #加密市场回调