In the currency circle, you have to find a way to earn 1 million principal first, and there is only one way to earn 1 million principal from tens of thousands of dollars,
That is roll position.
When you have 1 million principal, you will find that your whole life seems to be different. Even if you don't use leverage, if you take a spot and increase it by 20%, you will have 20W. 20W is already the income ceiling for most people in a year. .
And when you can go from tens of thousands to 1OOW, you will be able to grasp some ideas and logic for making big money. At this time, your mentality will become much calmer, and you will just copy and paste from now on.
Don't always boast about tens of millions or hundreds of millions. You should start from your actual situation. Bragging all the time will only make you feel good. Trading requires the ability to identify the size of opportunities. You can't always have a light position or a heavy position. Usually, you can play with small guns, and when the big opportunity comes, you can pull out the damn Italian cannon.
For example, rolling a position can only be done when a big opportunity comes. You can't keep rolling. It doesn't matter if you miss it, because you only need to roll successfully three or four times in your life to go from 0 to tens of millions. Tens of millions is enough for an ordinary person. People have advanced to the ranks of rich people.
A few points to note when rolling:
1. Be patient enough. The profit of rolling positions is huge. As long as you can roll successfully a few times, you can earn at least tens of millions or even hundreds of millions. Therefore, you cannot roll easily. You must look for opportunities with high certainty.
2. An opportunity with high certainty refers to sideways fluctuations after a sharp drop, and then an upward breakthrough. At this time, the probability of following the trend is very high. Find the point of trend reversal and get on board at the beginning.
3. Only roll more;
▼Rolling risk
Let’s talk about the rolling strategy. Many people think this is risky. I can tell you that the risk is very low, much lower than the futures order opening logic you are playing with.
If you only have 5W, how to start a business with 5W? First of all, this 5W must be your profit. If you still lose money, don't read it.
If you open a position in Bitcoin 10,000, with a leverage of 10x, and use the position-by-position mode, and only open a 10% position, that is, only open a 5,000 yuan margin, which is actually equivalent to 1x leverage, 2 points stop loss, if you stop loss, you only lose 2%, only 2%? 1,000 yuan. How did those people who were liquidated get liquidated? Even if you were liquidated, wouldn't you only lose 5,000 yuan? How could you lose everything?
If you are right and Bitcoin rises to 1.1W, you continue to open 10% of the total capital, and also set a 2% stop loss. If the stop loss is stopped, you still make 8%. What is the risk? Isn’t it said that the risk is very high? And so on. . . .
If Bitcoin rises to 15,000, and you successfully increase your position, you should be able to earn around 200,000 in this 50% market trend. If you catch two such market trends, you will make around 1 million.
There is no compound interest at all. 100 times is earned by 10 times twice, 5 times three times, and 3 times four times. It is not earned by compounding interest at 10% or 20% every day and every month. That is nonsense.
This content not only contains the operational logic, but also contains the core skills of trading and position management. As long as you understand position management, you will never lose everything.
This is just an example, the general meaning is this, you still need to think more about the specific details.
The idea of rolling positions itself is not risky. Not only is it risk-free, but it is also one of the most correct ideas for futures trading. The risky part is leverage. You can roll positions with 10x leverage, and 1x leverage is also acceptable. I usually use 2x or 3x. If I catch it twice, won’t I still get dozens of times the profit? At worst, you can use 0.1x or a few times. What does this have to do with rolling positions? This is obviously a question of your own leverage choice. I have never told you to operate with high leverage.
And I have always emphasized that you only invest one-fifth of your own money in the currency circle, and only invest one-tenth of your money in spot money to play futures. At this time, futures funds only account for 2% of your total funds, and futures only account for 2% of your total funds. Using two or three times leverage and only playing in Bitcoin can be said to reduce the risk to an extremely low level.
Would you feel sad if you lost 20,000 out of 1 million?
There is no point in always being on the leverage. Some people have always said that rolling positions is risky and that making money means good luck. I am not saying this to convince you. There is no point in convincing others. I just hope that people with the same trading philosophy can play together.
It’s just that there is currently no screening mechanism, and there are always harsh sounds that interfere with the recognition of people who want to watch.
▼ Fund Management
Trading is not full of risks. Risks can be resolved through capital management. For example, for me, the futures account is 200,000 dollars, and the spot account is randomly from 300,000 dollars to 1,000,000 dollars+. If the opportunity is high, recharge more. If there is no chance, recharge less.
If I'm lucky, I can earn more than 10 million RMB a year, which is more than enough. If I'm unlucky, the worst case scenario is that my futures account will be blown up. It doesn't matter. The spot profit can make up for the loss of the futures account. After making up for it, I can rush in. Can't I make a penny in the spot market in a year? I'm not that bad.
You can not make money but you can't lose money, so I have been liquidated for a long time. In futures, I often withdraw a quarter or a fifth of my profits and keep them separately. If I liquidate my profits, I will also keep part of them.
As an ordinary person, my personal advice to you is to use one-tenth of the spot position to play futures. For example, if it is 30W, use 3W to play with it. If it is exposed, use the spot profit to invest. After you have blown it out ten times or eight times, you can always get it. If you haven't figured it out yet, don't play. It's not suitable for this industry.
▼How to grow big with small capital
Many people have many misunderstandings about trading. For example, small funds should be used for short-term operations to increase the funds. This is a complete misunderstanding. This kind of thinking is simply to use time to exchange space in an attempt to get rich overnight. Small funds are more It should be done in the medium and long term to make it bigger.
Is a piece of paper thin enough? If a piece of paper is folded in half 27 times, it is 13 kilometers thick. If it is folded in half 10 times to 37 times, the earth is not as thick as it. If it is folded 105 times, the entire universe will not be able to accommodate it.
If you have 30,000 yuan in capital, you should think about how to triple it in one wave, and then triple it again in the next wave... so that you can have 400,000 or 500,000 yuan. Instead of thinking about making 10% today and 20% tomorrow... this will kill you sooner or later.
You must remember that the smaller the capital, the more you should invest in the long term, rely on doubling of compound interest to expand it, and avoid short-term investments to earn small profits.