Here is an example of a daily spot trading strategy for XRP or SUI coins, with a daily profit target of Rp100,000–Rp200,000 and minimizing potential loss. This strategy emphasizes discipline, risk management, and technical analysis to support trading decisions.
I only take a TP of 1%-3% for each spot trade.
SL set at 1%-2%
For example, a capital of 18 million
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1. Capital and Risk Management
a. Determine Risk Amount per Trade
• Risk Ratio: It is advisable not to risk more than 0.5%-1% of total capital per trade.
• With capital of Rp18.1 million, risk per trade should be around Rp90,500 to Rp181,000.
• Risk:Reward Ratio: Target at least a 1:1 ratio or better (e.g., 1:2). This means if the risk is Rp100,000, the profit target could be Rp200,000.
• Capital Usage: Since daily targets are not too large (0.55%-1.1% of capital), ensure each trade remains small to avoid psychological effects from large losses or gains.
b. Position Sizing
• Position size is calculated based on the distance from entry to the stop loss you set.
• For example: If you determine that the stop loss is 2% below the entry price, the position size is calculated so that the loss does not exceed Rp100,000 (or the limit you set).
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2. Technical Analysis and Chart Setup
a. Timeframe and Analysis Tools
• Timeframe: Use 15-minute to 1-hour charts for more precise entries.
• Indicators:
• Support/Resistance: Mark significant support and resistance levels on the 1-hour or 4-hour timeframe.
• Moving Averages (MA): MA 9/20 can help identify short-term trends.
• RSI: Use to detect overbought (above 70) or oversold (below 30) conditions.
• Volume: Pay attention to volume for movement confirmation. Volume spikes usually support the validity of breakouts or reversals at key levels.
b. Two Types of Setups:
A. Setup Correction to Support (Buy on Pullback)
1. Identify Support Levels:
• For example, XRP or SUI is correcting near previously tested support levels.
2. Entry:
• Enter a buy position when the price begins to show a reversal (bullish candlestick or oversold signal on RSI).
• Consider confirmation with candlestick patterns (e.g., bullish engulfing).
3. Stop Loss:
• Set the stop loss a few percent (e.g., 1%-2% below the support level) to avoid false breakouts.
4. Take Profit (TP):
• Target the first TP around Rp100,000 with a measured distance from entry (e.g., if the distance from entry to TP is 2%-3%).
• If the movement is strong, set a second TP or let part of the position run with a trailing stop so that the total profit target reaches Rp200,000.
B. Breakout Setup from Resistance (Entry after Confirmation)
1. Identify Breakouts:
• Look for resistance levels that have held, and pay attention if the price breaks through those levels with high volume.
2. Entry:
• Enter a buy position immediately after a breakout is confirmed (e.g., closing candle above resistance).
3. Stop Loss:
• Place the stop loss a few percent below the breakout or previous resistance level to anticipate false breakouts.
4. Take Profit (TP):
• Target the first TP when the price has shown stable upward movement (e.g., target profit reaches Rp100,000).
• After that, move the stop loss to the break-even level and let part of the position run with a trailing stop to reach the target of Rp200,000 if the momentum continues.
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3. Daily Trading Procedures
a. Before Trading:
• Market Analysis:
• View the XRP and SUI chart on the 15-minute, 1-hour, and 4-hour timeframes.
• Mark support, resistance, and overbought/oversold zones.
• Trading Plan Setup:
• Determine the entry scenario (either pullback or breakout), stop loss point, and profit target.
• Position Sizing:
• Calculate position size based on the distance to stop loss so that the risk per trade does not exceed the set limit.
b. During Trading:
• Execute with Discipline:
• Follow the plan that has been made and do not be swayed by emotions.
• Monitor Trading:
• If the price moves close to the target, consider moving the stop loss to break-even to lock in minimal capital.
c. After Trading:
• Trading Notes:
• Create a daily journal to record entries, exits, and evaluate market movements.
• Review and Evaluate:
• Review successful strategies and those that need improvement.
• Adjust stop loss and take profit parameters based on daily experience.
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4. Additional Tips to Minimize Losses
• Discipline and Consistency: Stick to the trading plan that has been formulated and do not change strategies due to emotions.
• Use Automatic Orders: Use limit orders for entry and stop orders (stop loss) automatically, so you are protected from sudden price movements.
• Evaluate Volume and Volatility: Only take trades when volume supports entry signals and the market is not too volatile (unless you are an expert in breakout strategies).
• Consider Using Trailing Stop: Use trailing stop to capture profitable price movements after reaching the initial profit target.
• Keep Learning: The crypto market is very dynamic; continuously update your knowledge and trading strategies based on current market conditions.
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Conclusion
The above strategy is an example of a daily spot trading plan for XRP or SUI coins with a daily profit target of Rp100,000–Rp200,000 and managed loss risk. The essence is:
• Risk management: Always limit losses per trade.
• Entry/Exit Setup: Use technical analysis to determine entry points, stop loss, and take profit.
• Execution Discipline: Stick to the trading plan and evaluate results daily.
Remember that there are no guarantees in trading. Always test strategies on a demo account or with small capital first to ensure the plan fits your style and market conditions. Good luck in trading! $SUI