1. Adam Theory: **Give up on prediction, kneel to the trend**
**Core Logic**:
The market is like a rushing river—
- Swimming upstream (counter-trend trading) → Exhausting strength, getting drowned
- Floating downstream (trending trading) → Labor-saving and high survival probability
**Five Iron Laws**:
1. **Non-Resistance Principle**:
When the flood (trend) comes, find a plank (trend position) to float on, rather than building a wall (adding position against the trend)
2. **Mirror Rule**:
If the candlestick chart is flipped and the trend remains reasonable → The original trend is likely to continue
* (Like a river flowing backward still conforming to the laws of gravity, indicating a bug in the original direction)*
3. **Stop Loss is Oxygen**:
Underwater breath-holding time = Position leverage multiple, 3x leverage can hold breath for a maximum of 3 minutes (3% stop loss)
---
2. Naked K Trading Method: **Cut through bulls and bears with a single moving average**
**Minimalist Arsenal**:
- **Weapon Choice**: 21EMA (Exponential Moving Average)
*(Reason: Balance sensitivity and noise filtering, like the rearview mirror's field of vision in a car)*
- **War Signal**:
✅ Price breaks above 21EMA and EMA turns → Get in
🚫 Price entwined with EMA and flattening → Watch the battle
- **Retreat Discipline**:
- Price breaks below EMA by 2% → Reduce position by 50%
- EMA turns back → Clear positions
**Classic Battle Review** (No Time Version):
- **Bull Trap**: Price reaches a new high but the EMA slope declines → False breakout precursor
- **Bear Graveyard**: Price plummets and EMA flattens and moves sideways → Stop-loss signal
---
🔑 Survival Toolbox
1. **Adam Trend Line Drawing Method**:
- Uptrend: Connect two low points, verify the third point → Only take long positions above the line
- Downtrend: Connect two high points, verify the third point → Only take short positions below the line
- *(Like surfing, only catch the wave in the direction of the surge)*
2. **Naked K Violent Take Profit Method**:
- When the price rises along the EMA, daily closing price is moved up to the lowest price of the day for stop loss
- *(Like constantly moving the safety rope anchor point while rock climbing)*
3. **Emotion Filter**:
- Pause trading when the following signals occur:
- Twitter hot search shows 'Get Rich Quick' 'Financial Freedom'
- Exchange outages/increased frequency of spikes
- After making a profit 3 times in a row (be cautious of overconfidence)
---
🌰 Real World Mapping
- **Adam Theory vs Surfing**:
The bigger the wave, the more you should paddle with the trend, rather than punching against the waves
- **Naked K Moving Average vs Highway**:
21EMA is the middle line of the lane, if deviating too far, a pullback is needed (overbought and oversold)
- **Stop Loss vs Seatbelt**:
No matter how low the probability of an accident, not wearing a seatbelt = suicidal trading
(Note: The simplest road is the broad one, all complex theories will eventually collapse into 1-3 executable rules. Your task is to become the 'Minimalist Assassin' in the trading world—hitting the key points with the least actions.)
