Five Iron Rules of Cryptocurrency Trading! Each one is packed with valuable insights!!! 【Learn, Understand, Act, and You Will Surely Become Great】

Trump can't save you, Musk can't save you, Powell can't save you, Amen can't save you, and even Buddha can't save you... The only one who can save you is yourself. If you deeply comprehend these 5 iron rules, you will elevate your understanding!

1. About Position Holding

Don’t hold onto great positions that are moving poorly, and definitely don’t hold onto bad positions. If you can't let profits run, at least don’t let losses run.

2. About Position Size

Many people promote miraculous technical levels, but it’s not the technical levels that are miraculous; it’s the position size. Knowing when to use large positions solves the core issues in trading. Long-term trading shouldn’t be rushed; every order shouldn’t exceed one-tenth of your position. The only reason to enter short-term is that the market is strong. Making money relies on a strong market, not on your skills; in a slow market, being just a bit slower is still faster.

3. About Trends

Being an enemy of the trend is dangerous, but being a friend to the trend is fatal. You are taking advantage of the trend, and the trend is also taking advantage of you. The essence of a bullish trend is to take you to a high point and make you feel good about yourself while buying your positions. Dealing with trends is like sparring with an expert; you must always keep your wits about you. You can wait for the trend to establish before entering, but never wait until the trend breaks before exiting; by then, it’s too late. You can be a bit slower entering, but you must exit quickly.

4. About Taking Profit

Sometimes you sell too early, and sometimes too late. How can you sell at just the right moment? Don’t waste time on questions that have no answers. Many people chase for the peak selling point. However, a world-class trading master once said: "I make money by selling early." Here are a few profit-taking methods that I personally agree with:

1) Next Day Closing Method, take profit if it looks good the next day.

2) Line Understanding Method, don’t sell if there are no bearish candles; take profit if you see a bearish candle.

3) No New Highs Profit-Taking Method, take profit if neither the highest price nor the closing price makes a new high.

4) Break Below the Moving Average Profit-Taking Method, take profit if a certain moving average is broken. The overall principle is strict in entry and lenient in exit; be strict on buying points and relaxed on selling points.

5. About Stop Loss

I won’t repeat the importance of stop loss. Here’s a simple introduction to an effective single candlestick stop loss method: the first point of the entry candlestick must not be broken; if it is, you must stop loss. Hesitation arises from a lack of clarity.