Learning is endless, and one learns throughout life. I hope the following information can help everyone with day trading skills and points to note.

1. Market sentiment and emotions

The strength of bulls and bears can be analyzed from changes in trading volume and open interest. If there is a large volume but the price does not fall, it may indicate that the decline is about to stop. Conversely, if there is a large volume but the price cannot rise, it might indicate that the short-term increase has reached its peak.

The volume requirements during an uptrend and downtrend are different. In an uptrend: continuous and uniform volume is needed. If the volume is evenly distributed in a 3-minute candlestick chart, it indicates that the uptrend will continue. However, if there is a significant decrease in volume or a very large volume appears, the uptrend may come to a pause. In a downtrend: as long as there is an increase in volume when breaking through some key levels, the downtrend will continue. When the price rises to a certain level and stops rising, while open interest keeps increasing and the buy and sell orders are set at increasingly lower prices, it indicates that the price may fall.

Increased open interest with stagnant prices is a very good short-selling opportunity, or increased open interest with stagnant declines may lead to a rebound.

2. Key levels

Draw the resistance, support, trend lines, etc., on the chart, and take quick action when the price reaches or breaks through these key levels. I personally use Fibonacci retracement to predict resistance and support levels.

3. Trading rules

Only one type of asset can be operated on during a specific period. Continuously track the asset being traded until it no longer holds speculative value before abandoning it.

4. Market observation windows:

1-minute window - This is prepared for grasping the timing of entry and exit;

3-minute window - This is used to monitor the trend after entering;

30-minute or 60-minute window - This is used to monitor changes in the intraday trend at any time.

Finally, a reminder: trading opportunities arise every day. If you hit a stop loss, do not rush to recover immediately. Once you hit a stop loss, that trade is complete. The next trade is a new one, and the profit should be determined independently; do not set the target for the next trade based on previous trades, as that will lead to losses every time. Each trade should be treated as a new opportunity to maintain a good mindset for battle.

With six years of experience in the cryptocurrency space, I share insights on contracts and spot trading for free. Feel free to click on my profile for consultation, and let’s improve together!