Today I am sharing the essential knowledge I've kept hidden, all based on real experience accumulated with real money, even beginners can directly get started:
1. What is the 'N-type trend signal'? (Only true signals make money, false signals can be deadly)
Not just any three K lines constitute an N-type! My definition of a qualified N-type must meet three hard conditions:
First wave of rise: There must be volume support (indicating real capital entering the market, not a bait-and-switch trap);
Intermediate pullback: Must not break below the 20-day moving average, and trading volume must shrink to below 1/3 of the rise (chips locked, no one is dumping);
Second wave surge: volume breakthrough of the first wave high point (confirming trend continuation, not a fleeting moment). Only after these three moves are completed can we say that the handover between bulls and bears is completed, and the market is likely to continue in a 'true N shape'. Conversely, if any one condition is not met, it is a 'false N shape' that cannot be touched!
Second, ironclad operational rules: stop loss and take profit + position control, surviving is the key to earning compound interest.
Many people fail by 'holding positions' and 'being greedy'. From the beginning, I established 3 rules, which I have never broken:
Stop loss is always 2%: each trade can lose a maximum of 2% of the principal, no matter how optimistic I am, if it falls below the 20-day moving average, I immediately exit, never holding positions;
Take profit at least 10%: never manually close a position until the target is reached, even if there’s a pullback in between — let the profit run enough to cover losses;
The profit-loss ratio must be above 1:5: Don't think that a 35% win rate is low; let's do some elementary math: 10 trades, 3 wins, 7 losses, 3 wins yield 30%, 7 losses lose 14%, total profit is 16%! This is the terror of compound interest.
Position control is crucial for survival:
Type A signals (breakout of previous high with volume + pullback with reduced volume stabilizing): down 30% position, this is the highest certainty opportunity;
Type B signals (new high with reduced volume + pullback barely holding): only allocate 10% position for trial and error, or give up directly — the crypto world is not lacking in opportunities, what it lacks is the patience to survive. Early on, I incurred losses from false signals with full positions, once a stop loss of 15%, only later did I understand: small losses can be tolerated, big profits can double!
Three, minimal trading habits: look at the market less, avoid distractions, mindset is more important than technique.
I have seen too many people clutter their screens with MACD, RSI, and Bollinger Bands, making it increasingly chaotic, chasing highs and cutting losses. My trading interface only has two things:
A 20-day moving average: the 'stabilizing anchor' of the trend, if it pulls back and does not break, it is the safe zone; if it breaks, exit;
4-hour candlestick chart: only check once a day! If there are no signals, close the software, work when it’s time to work, rest when it’s time to rest. Those who stay up late watching the market are just fodder (I stayed up for 3 months early on, lost a handful of hair and still didn’t make money).
In terms of mindset management, I have a 'profit-taking' trick: every time I earn 1 million, I set aside 10% of the profit into stable financial management (only touching profits, not the principal), telling myself 'the worst-case scenario is going back to the starting point, without losing any principal'. Leverage? Use at most 2 times, and only when using Type A signals; exceeding 2 times is gambling — I have seen too many people using 5 times leverage, getting liquidated with one pullback, and all previous gains go to zero!
There is no holy grail in the crypto world, but there are 'foolish methods'.
I never look for hundredfold coins, I only focus on a small target of 10% — making 20 consecutive withdrawals, 10 million is just a matter of time. The essence of the crypto world is 'filtering opportunities', eliminating chaotic fluctuations to retain real profitable signals.
I am A Qiang, focusing on the crypto world for many years, sharing useful and diverse professional knowledge. For those destined to meet, who will guide you if not money? Follow A Qiang, and I will help you unlock those matters in the circle, clearing the fog of the crypto market. I hope our encounter is filled with kindness and rewards!
