Earning $10 daily trading Solana (SOL) on Binance using a Support and Resistance strategy requires discipline, risk management, and a solid plan. Here’s a step-by-step guide:
1. Understand Support & Resistance
Support: A price level where SOL tends to stop falling and bounce back up.
Resistance: A price level where SOL tends to stop rising and reverse down.
Use Binance TradingView charts to mark key support and resistance zones based on historical price action.
2. Set Up Your Chart on Binance
Timeframes: Use the 1-hour or 4-hour chart for better signals.
Indicators: Combine with moving averages (e.g., 50 EMA, 200 EMA) and RSI (Relative Strength Index) to confirm trends.
Drawing Levels: Identify recent highs (resistance) and lows (support) by checking where price has reversed multiple times.
3. Trading Plan for $10 Daily
a)Buy at Support, Sell at Resistance (Scalping or Swing Trading)
If SOL reaches a strong support level, wait for bullish confirmation (e.g., green candlestick or RSI near 30).
Enter a long trade (BUY SOL/USDT) with a stop-loss below support.
Sell at the next resistance level, securing profit.
b) Shorting at Resistance (If Market is Bearish)
If SOL hits a strong resistance level and shows bearish signals (red candles, RSI above 70), consider a short trade.
Enter a short position with a stop-loss above resistance.
c) Risk & Profit Calculation
Aim for 0.5% - 1% profit per trade with a $1,000 capital (which equals $5 - $10 per trade).
Risk-to-Reward Ratio (RRR): Maintain at least 1:2 (e.g., risk $5 to make $10).
Leverage: If comfortable, use low leverage (2x - 5x) for better returns while managing risk.
4. Execution & Risk Management
Trade 2-3 setups daily with $500-$1,000 per trade aiming for small, consistent profits.
Always use stop-loss orders to protect capital.
Adjust position size based on market conditions.
Avoid revenge trading—stick to the strategy.
5. Monitor & Adjust
Track SOL news (e.g., Binance announcements, partnerships, or macroeconomic events) to avoid unexpected price swings.
If support/resistance levels break, adjust your trading strategy accordingly.
Example Trade Setup
SOL Support Level: $100
Buy Entry: $101 (once it confirms support)
Stop-Loss: $98
Take Profit: $105 (near next resistance)
Risk: $3 per SOL
Reward: $4 per SOL (RRR = 1:1.3)
If you buy 10 SOL, you risk $30 to make $40 profit. Repeat this process daily to secure $10+ profits.
Final Tips
Start with spot trading before trying futures with leverage.
Use Binance’s OCO (One Cancels the Other) orders to automate entries & exits.
Stick to 1-2% risk per trade for long-term sustainability.