How to improve the hit rate through multi-indicator currency selection.

Retail investors have no way to guide the mid- to long-term market trends. They can only decide the instantaneous market trends caused by good news or KOL propaganda.

As a retail investor using some indicators to select coins, the purpose is to find two types of coins.

a. Currencies that are exposed when the dealer opens a position to increase or before the increase.

b. The dealer is very likely to select the currency to trade and open a position, but it has not been selected yet.

There are too many coins. The first thing to do is how to quickly narrow the target range, and at the same time, try to focus on category A.

First, we can first narrow the scope through the three factors of spot trading volume, circulating market capitalization, and the ratio of trading volume to market capitalization.

As shown in Figure 1, for example, using Binance’s trading volume as a reference, first make sure to choose a coin with a trading volume of more than 20 million U.S. dollars (the trading volume represents the level of fund activity, and there are many fools. At the same time, you can ensure that the amount you buy will If it is relatively large, it is easy to get in and out)

Secondly, according to your own trading preferences, determine the circulation market value range of the currency you want to trade. For example, your trading preference has a market value of US$20 million to US$500 million, as shown in Figure 2. Sort by yourself, compare and filter.

Then the remaining coins filtered out are sorted by the ratio of trading volume to circulating market capitalization, and then further filtered. For example, those with a ratio greater than 0.3 are retained. At this point we should be very close to the target range, probably less than 15.

Second, for the currencies within the final target range, observe the address rankings on the chain one by one, and check the top 15 currency holding addresses one by one to see if there are any that continue to buy coins from the exchange and put them on the chain. the address of. Find some key points to pay attention to.

Third, among the remaining currencies, check the official Twitter tweets one by one and focus on the active ones.

Fourth, search the remaining currencies on Twitter one by one to see if any actual good news has resulted in calls for orders. Both Chinese and English Twitter will count, and relevant currencies will be excluded. If there are actual and sustained benefits related to the official recommendation and the currencies that are called for orders at the same time, you can focus on it.

Fifth, there may now be less than 5 coins worth paying attention to. Then proceed to the last step of deletion and checking, a. If there are coins with contracts, focus first on coins with large contract positions or those with contract positions that are increasing day by day or suddenly increasing sharply.

b. If there is no contract, focus first on coins with increased trading volume for multiple consecutive days.