The first type:
Making money through trading is actually that simple, just follow these three steps! Master them and easily multiply your account by 10 times!
Step 1: First look at the trend
Step 2: Find the key levels again
Step 3: Find the entry signal
Enter, profit, close the position, and leave.
Isn't it simple?
Let’s go into more detail below
Step 1: First look at the trend
The state of a market
There are basically three outcomes in a big market: rise, sideways, decline.
What is a big market trend? Look at the cycle chart of 4 hours or more.
For example, 4 hours, daily, weekly (my personal habit is to look at 4 hours)
Buy on the rise, sell on the decline, and do not trade during sideways movement
Step 2: Look for key levels
Whether the market is rising or falling, it will bounce like a bouncy ball, jumping up or down level by level. What we need to do is to enter at the jumping point and exit at the next landing point. How to find the precise steps becomes the key, which is what we call the key (main support and resistance levels).
Step 3: Look for signals
Generally, if you discover a trend in a large cycle, you should look for trading signals in a smaller cycle. Everyone has different strengths in trading methods; mastering one or two is sufficient. More importantly, it is to quickly formulate a trading strategy.
A complete trading strategy includes
(1) Target — What to trade;
(2) Position — How much to hold;
(3) Direction — Long or short;
(4) Entry point — At what price to trade;
(5) Stop loss — When to exit losing trades;
(6) Take profit — When to exit profitable trades;
(7) Strategy — How to deal with unexpected situations;
(8) After-action — Actions after the trade ends.
The famous TLS technical analysis method: trend + key positions + signals = successful trading.
Before each trade, formulate a strategy according to the process, I believe you won't suffer too much loss.
Develop good habits; over time, you will find the flaws in your trading process. Work hard to change them, and you will succeed!
The second type:
First step: Add cryptocurrencies that have increased in the past 11 days to your watchlist, but be careful to exclude those that have dropped for more than three days to avoid funds exiting after making a profit.
Step 2: Open the candlestick chart and only look at the currencies with MACD golden crosses on the monthly level.
Step 3: Open the daily candlestick chart, only look at the 60 moving average. As long as the price pulls back near the 60 moving average and a volume candlestick appears, enter with a heavy position.
Step 4: After entering, use the 60 moving average as the standard. If above, hold; if below, exit and sell. It is divided into three details.
1: When the price increase of the wave exceeds 30, sell one-third
2: When the price increase of the wave exceeds 50, sell one-third again.
3: This is the most important part and the core that determines whether you can profit. If you buy on one day and unexpected situations occur the next day, causing the price to directly break below the 60-day moving average, you must exit completely; do not harbor any lucky thoughts. Although the probability of breaking below the 60-day line with this method of selecting currencies based on monthly and daily lines is very low, we still need to be aware of risks. In the crypto world, preserving capital is the most important thing. However, even if you have already sold, you can wait for the right buying opportunity to buy back.
Ultimately, the difficulty in making money lies not in the method, but in execution. 'When the price directly breaks below the 60-day moving average, you must exit completely; do not harbor any lucky thoughts.' Just this one sentence has eliminated 90% of people.