Eight years of trading cryptocurrencies, starting with 100,000 capital, and growing to 20 million, using just this method, with a success rate of 99%, suitable for everyone.
Today I want to share a very simple method, even if you are a novice in the cryptocurrency world, as long as you strictly follow this method, you can easily make money.
First, we need to set the moving averages on the K-line chart to three lines: the 5-day moving average, the 15-day moving average, and the 30-day moving average, with the 30-day moving average being the lifeline, a strong support or resistance level. Then you can buy and sell cryptocurrencies based on these three moving averages.
1. The selected cryptocurrency must be in an upward trend; it is also acceptable if it is in a consolidation phase, but you must not choose one that is in a downward trend or where the moving averages are all opening downwards.
2. Divide your capital into three equal parts. When the price of the cryptocurrency breaks through the 5-day moving average, buy 30% of your capital with a light position. When the price breaks through the 15-day moving average, buy another 30%. Similarly, buy the last 30% when it breaks through the 30-day moving average. This requirement must be strictly followed.
3. If the price does not continue to break upward after breaking through the 5-day moving average, but instead retraces, as long as the retracement does not break the 5-day moving average, maintain the original position. If it breaks, sell.
4. Similarly, if the price breaks through the 15-day moving average but does not continue to break upward, hold if the retracement does not break the 15-day moving average. If it breaks, first sell off 30%, and if it does not break the 5-day moving average, continue to hold the remaining 30% position.
5. When the price continues to break the 30-day moving average and then retraces, sell off according to the previous method.
6. Exiting is the opposite; when the price is at a high, if it breaks below the 5-day moving average, first sell off 30%. If it does not continue to drop, hold the remaining 60% position. If the 5-day, 15-day, and 30-day moving averages are all broken, sell everything; do not hold any illusions.
This "foolproof" trading method, while simple, requires strong execution. Once you buy in, the trading system is formed, and only by strictly adhering to trading discipline can you achieve profits.