Today, Kweige is sharing several methods with everyone; prepare funds of 100,000 to 200,000. Convert this money into stable coins and store them in reliable exchanges.
Then set it to buy once a week, dividing the 100,000 to 200,000 funds into 96 parts. Among them, 60% buy mainstream coins, 30% buy potential coins, and 10% buy platform coins.
Just wait like this, for one or two cycles, about 4-8 years, earning 1 million is very promising. This method is simple, and competition is low.
In reality, this process is not easy. One cannot act casually in the meantime, cannot be affected by short-term fluctuations, and must have sufficient self-control.
The second type:
There are other ways, such as participating in airdrops, grabbing whitelist spots, or investing in new projects. But this is not easy; you need to know programming, be able to operate remote servers, understand English, obtain first-hand information, and be capable of batch operations, all while investing tremendous energy. It's like becoming a scientist in the cryptocurrency world, constantly learning and mastering various programming skills. Doing this requires a lot of time and energy, and success is not guaranteed.
The third type:
This will rely on a bit of luck. Selecting a coin that can rise more than 10 times during the early stage of a bull market requires not only luck but also one's own judgment.
It is essential to consider the size of the coin's traffic, whether the concept is novel, and who is backing it. Avoid unreliable promoters, as they are likely to cause losses.
This requires making more friends and consulting others; the key is to keep up with one's own understanding and to have decisive decision-making ability.
Besides, there are other ways to get rich, like creating your own coin. But it seems simple, yet it's actually the most difficult; you need a complete knowledge system, otherwise, it's better not to touch it.
In trading, support and resistance levels are crucial for determining entry and exit points; if used well, they can maximize risk avoidance and profit acquisition.
1: How to correctly draw support and resistance?
The first step is to enlarge the chart and find a large cycle.
Teo believes that if we focus on large cycles, we will notice those very obvious key price levels. Generally, we start from the weekly chart and then move to daily and 4-hour charts, delving deeper step by step.
The second step is to draw the most obvious price levels, which are often some clearer highs and lows or starting points of a rising/falling trend. Start with the weekly chart, then delve into the daily chart.
The third step is to adjust the above support and resistance levels to find the places where prices touch the most.
The third step is to adjust the lines drawn above so that the support and resistance lines touch as many key price points as possible. Below, we take gold as an example:
First, open the weekly chart for gold and draw out the obvious high and low points.
Then we open the daily chart and find line A in the figure. This line is based on the highest point in the first oval area in the figure, where the second oval area encountered support.
The third step is to adjust the support and resistance lines so that they touch as many key price nodes as possible.
In the above image, we adjusted line B so that the support line can simultaneously touch three points in the oval area in the figure.
02: When will support and resistance be broken?
First, as we approach resistance, the lows continue to rise, such as in some ascending triangles.
As shown in the above figure, the price formed a series of gradually rising lows during its ascent, and then broke through this resistance level with a big bullish candlestick.
Second, as we approach support, the highs gradually decrease, such as in some descending triangles.
As shown in the above figure, the price first formed a situation of gradually lowering highs, i.e., a descending triangle. It then broke below this critical support level.
03: Should we use diagonal lines or horizontal lines?
There are now many methods for drawing support and resistance lines. Trading experts believe horizontal lines are better because they are more objective than diagonal lines. Actually, what matters is that the strength of support/resistance lines depends on how many people pay attention to that line.
We all know that different brokers will offer different price quotes; how does this affect the accuracy of horizontal and diagonal lines?
Let's take a look at a broker's chart together.
In the above image, the price is just above the support line, and we usually focus on whether a rebound will occur. As indicated by the arrow in the image, the point where the ascending diagonal support line and the peak of the candlestick coincide is where a rebound occurs. So, what if the candlestick peak is just slightly higher or lower? Let's take a look at another broker's price chart below:
Note: As shown in the figure, this broker only had two rebounds, and the current price is still some distance from the support line.
This illustrates how different price quotes lead to different outcomes. It also means that diagonal support/resistance lines cannot provide accurate entry signals, but are more suitable for judging market fluctuations (e.g., higher lows = bullish fluctuation = suitable for buying).
Therefore, in reality, horizontal support/resistance lines are more accurate. However, the trick to using horizontal support/resistance lines is filtering; if you do not filter, you will encounter chaotic situations like the one below:
As shown in the above figure, if the oscillation range is getting smaller and you continue to buy at support and sell at resistance, you are likely to incur losses.
04: The three hidden uses of support and resistance levels; how should we filter them?
Next, we will introduce three of the best support/resistance strategies.
01 Multiple fluctuations at low or high points provide support.
One strategy is to look for horizontal levels where the price reacts multiple times. In the chart below, the price has touched the key resistance level three times, and a fourth touch is imminent.
The more times the price reacts to a specific level, the greater the potential support/resistance effect of that level. Therefore, in the following chart, the price indeed touched this key resistance level for the fourth time and immediately began to decline significantly.
Summary: At least wait for three instances of fluctuating highs or lows, and place a trade when the price touches the horizontal support/resistance level for the fourth time. Also, pay attention to whether the lows are rising; if the lows continuously rise, give up on entering.
In addition to using multiple peak resistance levels for trading mentioned above, stochastic oscillators can also be used to check for hidden resistance levels.
In the above image, the orange line represents an 80% 'normal' stochastic oscillation. If you use this horizontal line, you may miss out on suitable entry opportunities.
However, if you use 94.15% (the value at the previous high), you can enter the market more accurately and seize trading opportunities. Different markets and periods have different hidden settings.
Therefore, you can first draw a horizontal line and see where the price reacts, identifying hidden resistance levels of the stochastic oscillator, and then combine it with the first strategy to look for multiple peaks and troughs.
03 Hidden RSI support/resistance levels
The RSI indicator (Relative Strength Index) is one of the most popular indicators. Many people use the default setting of 30% for support and 70% for resistance.
Similar to the stochastic oscillator above, the RSI indicator also has many hidden support and resistance levels, as shown in the chart below:
In the above image, we can see that whenever the RSI reaches the 61.8% resistance level, the price often reacts well. If we continue to wait for the 70% resistance, we may miss the trading opportunity.
In fact, hidden RSI resistance levels are already an excellent strategy, but when combined with the first strategy (multiple fluctuations at highs/lows) and the second strategy (hidden stochastic oscillator support/resistance), it can provide a very high winning rate for trading setups.
The above are some thoughts and uses regarding support and resistance levels for your reference and learning, hoping it can help you in future trading.
Today, Kweige has organized 99 key statements from the perspectives of news, technology, and mindset, which are very suitable for beginners in the cryptocurrency space who feel lost. Prevent loss by liking and saving!
1. News section
1. To win, one must find ways to collect first-hand information, and analyzing major consulting media in the industry is particularly important.
2. Most media are business agents for large investors and also serve as investment advisors for inexperienced investors.
3. Understanding the characteristics of different industries provides opportunities for profit.
4. Sometimes buying against expert opinions can also be a unique speculative approach!
5. Before investing, make sure to prepare thoroughly, covering financial knowledge, domestic and international financial trends, and political dynamics; analyzing the team and practical applications is key.
6. Buy or sell upon news release, then buy or sell when the news is confirmed.
7. You must conduct your own research and make your own judgments about the market; do not change your decision based on unverified rumors.
8. A problematic team will inevitably lead to product issues, so it's best to minimize involvement.
9. Any direct investment is professional investment, and professional investment requires a foundation of professional knowledge. 10. Those who claim to have accurate predictions are often losers.
11. Inaccurate news leads to guaranteed losses; the most futile act is attempting to guess the psychology of large investors and traders. 12. When purchasing, understand the profitability potential of the coin issuer and whether it relates reasonably to the current market. 13. This circle is small, but that does not mean there are no circles; getting to know a few big players is very helpful. 14. Do not change your original intention of buying or selling due to sudden news. 15. Good news leads to bad news when it is exhausted, and bad news leads to good news when it is exhausted.
16. Institutions have their own jargon; for example, an order of '232323' may indicate a sell-off, and each institution is different, so studying this is still necessary.
17. Do not join small secret circles; if you do, you will only take your ears and brain with you.
18. If a white paper lacks specific content and a research and development team, the probability of it being a scam coin is over 80%.
19. Whether a project is open source; generally, open-source projects will be uploaded to GitHub, if not, everyone needs to be cautious.
2. Technical section
20. Following the right coin means you've succeeded halfway.
21. The tactics of large investors often come as a surprise, deceiving inexperienced investors to facilitate their own buying and selling. You must accurately analyze the trading volume patterns.
22. The timing of buying is the most crucial part of virtual currency investment. 23. A decline exceeding one-third should trigger an alarm. 24. The three steps of rising: bottoming out -- breaking through -- soaring!
25. If the index updates for three consecutive days but trading volume decreases each time, the market may not be favorable.
26. A long-term leading rise will inevitably be followed by a sharp decline, with a drop exceeding 50%, making it quite likely to rebound by 30%. 27. It's common for small investors to be trapped by large investors, so diversification is crucial.
28. The rise and fall of the index are not random; they are much simpler than the rules of lottery, and appropriate screenshot analysis is crucial! 29. Anything that leads to a rise will lead to a significant decline.
30. Avoid excessive switching between buying and selling; when in doubt, don’t act rashly; countering change with stability is key. 31. A surge in trading volume with stable prices is a signal of nearing the top; at this time, 'it’s best to leave'.
32. The longer it hovers at low levels, the greater the potential movement at higher levels; the probability of a rise exceeding 30% is over 70%.
33. To judge growth or decline, one must look at its gap with the trend of the times; policy is the biggest risk, but it is still necessary. 34. Trading volume is the pulse that indicates whether it is sick.
35. Choosing when to buy is not as good as choosing a good timing; knowing how to sell is far more important than knowing how to buy. 36. Do not put all your financial resources into one asset.
37. Avoid believing that low prices mean large potential; entering for speculation could lead to difficulties in selling once it reverses, and losses could be significant. 38. Buying coins with slightly lower profit potential at lower prices may be more cost-effective than purchasing coins with slightly better profit potential.
39. Without considerable experience, never engage in short selling; getting burned is common. 40. Establishing long-term investment goals and principles is the primary issue.
41. Market fluctuations have traceable patterns; mastering this pattern will ensure victory in battles. 42. The increase in price is gradually shrinking, and the trading volume is declining, which is a clear sign of nearing the top.
43. Experience shows that the duration of technical factors in the market is generally shorter, about one-third of that of fundamental factors. 44. Avoid being trapped at high prices; this is the most important lesson for beginners, so practicing at lower levels is crucial. 45. If it should rise but doesn't, one should turn bearish; if it should fall but doesn't, one should turn bullish.
46. Fundamental analysis can tell you which coins have intrinsic value, while technical analysis tells you the best time to dig them out. 47. Funds in the market always flow in the most advantageous direction. 48. Low-priced coins tend to have greater volatility than high-priced ones.
49. Buy when you can, sell when you should, stop when necessary, prioritize safety, and be cautious; recklessness leads to loss, and greed leads to poverty. 50. The short-term fluctuations of the market have no correlation to long-term performance.
51. You must understand the 'Sunday Theory'; many coins rise today. 52. Robots are still worth buying, as they react faster than human brains.
53. The same coin can have different price fluctuations and swings on different exchanges, so choosing a good exchange is essential. 54. New coins are often the best choice for short-term trading. 55. It's best to configure a combination of international major coins and altcoins.
56. Large coins are relatively stable, while altcoins fluctuate greatly, providing more opportunities. 57. During rapid price spikes, try not to operate.
58. It is best not to go all in; rather, half positions or leaving 1/3 of the chips to cover dips is preferable.
59. Understand the operational situation of the team or foundation; if necessary, explain it to someone you think is the most naive to hear their opinions. 60. Don't buy too many hot coins because they tend to rise quickly and fall just as fast. 61. Avoid putting all your money into one coin; try to diversify your types.
62. Trading volume can show changes; when trading volume starts to increase, it should be noted, either sell or invest. 63. Everything held will eventually need to be sold; not selling is foolish.
64. The highest or lowest price during market fluctuations often becomes the peak or trough; past levels either rocket or plummet. 65. Following trends is like adding weight to one's wallet.
66. It's best to choose those with good prospects but not yet hot, as they are easier to profit from.
67. Experts generally develop a plan, writing each step very clearly, and the rest is just strict execution as required. 68. The basic routine of institutions: accumulation, trial trading, price increase, shakeout, and selling are the five stages.
69. Sudden volume spikes generally indicate two possibilities: one is the market maker protecting the price, and the other is institutions buying in; at this time, one should go with the trend. 70. After reaching a new level, a shakeout usually occurs; getting off the bus at this time may mean waiting a long time for the next bus. 71. It's not impossible to become wealthy from 10 yuan in the cryptocurrency world, and luck is also key. 72. A major correction presents a buying opportunity.
73. Do not overestimate the intelligence of big players; many operations are merely to show off. 74. Before making small profits, gradually progress without playing with large funds.
75. Buying coins at a high price is risky; beginners should treat this coin as if it doesn't exist.
76. For beginners, refrain from chasing prices; it's better to miss out than rush in. 77. For coins with a small market cap, be cautious if they are only traded on one exchange.
78. If it starts with free participation but later requires various types of fees, it is generally considered a pyramid scheme; it is advisable not to join.
79. If it hasn't been listed and has already multiplied many times during the fundraising period, it's advisable not to participate.
80. Arbitrage is a relatively low-risk and easy way to make money.
3. Mentality section
81. Small gains often delay larger market movements; do not be misled by small fluctuations in the overall direction. 82. At any time, the most trustworthy person is yourself; it is crucial to follow your own path. 83. When in doubt, you should stop acting, as this indicates that the market is still unclear. 84. Being one step ahead may secure success.
85. There is no such thing as only rising or only falling; opportunities always exist, and the key is the psychological price point; there's no point in regretting. 86. Build a strong body to withstand the impacts of big rises and falls.
87. Buying leads to being trapped, selling leads to a rise; the secret lies in the trader's relationship with the market operator, as they constantly study the psychology and behavior of inexperienced investors.
88. Trading coins is trading numbers; never establish a relationship with money; if you do, you will definitely lose.
89. Market changes are very rapid; bullish changes within 10 minutes are normal, so maintain a balanced mindset. 90. Do not be frightened; gaining great confidence and courage is essential.
91. Patiently waiting for a coin to become a real blue-chip stock after a large-scale accumulation is the right mindset. 92. The mindset of being eager to make money is a major taboo for participants in cryptocurrency trading. 93. Remember, the power of compound interest is the greatest.
974 The definition of a retail investor is someone who chases prices and believes rumors, with an impatient mindset. 95. Listen less to calls and think more.
96. Do not use your financial resources to estimate market conditions; do not let gains or losses affect your decision; in this industry, what you hold is insignificant. 97. You may be doing very well in business, but that does not necessarily correlate with success in the cryptocurrency space.
98. Experience can cultivate inspiration, but inspiration cannot be completely relied upon experience.
99. There's no free lunch; set a loss threshold that you can bear.
The same saying goes, if you don’t know what to do in a bull market, click on my avatar, follow me, and I will share market planning for cash in bull markets, contract passwords, and share for free.
Continuously pay attention: $ETH $BTC #币安Alpha上新
