First: the profit retracement principle: after buying a currency, if you earn more than 10%, then we should start to implement the principle of capital protection (if it falls to the purchase price later, sell it immediately and unconditionally). If you earn about 20%, then you must make at least 10% profit before selling. In order to maximize profits, when you earn 20%, you must not sell it unless you have the technology to determine the stage high point. Similarly, if you earn 30%, you must sell it unconditionally if it falls to 15%. This principle is that there is no technical judgment of the high point, and the profit retracement helps you roll the profit.
Second: the principle of capital protection: after buying a certain currency, if you see a gradual loss of 15% (this number depends on the individual, 15% is the most suitable for redemption), you should sell at a loss. This is to stop the loss in time. If it rises again later, it is okay. After all, it was because your entry point was wrong that time, and it was a wrong transaction. Mistakes must be paid for, and the price is loss. Only when you lose money will you remember it, and you will not think about chasing it. We must ensure that we do not turn mistakes into pain. Therefore, setting a stop loss when opening an order is a very necessary condition for futures.
Third: The principle of taking back the price at the original price: The principle of taking back the price at the original price is to do this: if you sell it and it falls later, and you are optimistic about it, you have to buy back the same amount of it yourself. Remember, it is the same amount, because you sold it at a high price, so the amount of it is the same, but you have more funds; then if you sell it and you don’t buy it back after it falls, and it rises back to your selling price later, you have to buy it back unconditionally. Doing so is just a waste of handling fees, which can avoid a lot of empty space. This principle can be repeated with the principle of principal protection, that is, if it rises back, take it back at the original price, and if it falls again, it will be protected by the principal. If you do this for many times, you don’t need to do the current point of this coin, which proves that the point you choose is not support and pressure, so it is easy to break through. Choose another point again.
In short, short-term operations should follow some basic principles, especially paying attention to: quick in and out does not mean frequent entry and exit, chasing hot spots does not mean blindly choosing, quitting when the going is good does not mean being timid, holding an empty position and waiting does not mean staying away, and the buying and selling points do not require the lowest and highest prices.
If you are a novice, as a leek entering the cryptocurrency circle, we should pay attention to the following points:
1. First, build up confidence and experience through simulated trading before conducting real trading.
2. Ensure the probability of success first, then consider the frequency of action, pursue quality first and then quantity. In the process of short-term operation, you must proceed step by step, and the principle is that you cannot have a big loss.
3. Be content when you make money, and be rational when you lose money. Speculation is actually the art of regret, and we cannot set too high a standard for ourselves.
4. Practice makes perfect. If you have someone who is better than you, ask him for advice and you will progress faster. After years of ups and downs in the cryptocurrency circle, I have come up with some experience!
1. Luck and hesitation: Luck is the culprit for increasing risks, while hesitation will lead to missed opportunities.
2. If long-term investment is gold and short-term investment is silver, then swing trading is diamond.
3. Don’t easily fill your position at any time. This will help you maintain a normal mentality and allow you to attack or defend in operation.
4. Eat the middle of the fish, leaving the head and tail for others
5. Operate frequently, be sure to complete the transfusion, hesitate, and bleed slowly.
6. When it comes to cryptocurrency trading, mentality comes first, strategy comes second, and technology comes third.
7. The market is created in despair, develops in hesitation, and ends in madness.
8. Greed is the rag of profit. Greed and fear are taboos in investment.
9. Opportunities come from falling, and what you are speculating on is the future. Cash is king.
10. Buying requires confidence, holding requires patience, and selling requires determination.
11. There are no absolutely accurate indicators, only retail investors who have only a partial understanding of them. Indicators are useful to those who know how to use them, but harmful to those who don’t.
12. If you don’t stop loss when trading in the market, you will definitely lose a lot of money.
13. When others are fearful, we should be greedy, and when others are greedy, we should be fearful.
14. Newbies look at prices, veterans look at volumes, and experts look at trends.
Sun Tzu's Art of War says: A good warrior, without wisdom or courage, is better than one who is easily defeated. A wise general always chooses to defeat those enemies who are vulnerable. They may not gain wisdom or courage by doing so, but they can ensure victory, which is enough!
It is not wise to lose one's life in pursuit of fame or to risk one's life in pursuit of bravery.
The same goes for trading. Learn to give up dangerous opportunities, learn to take action only when there are sure-fire opportunities, and learn to trade along the trend instead of against the current. These are also the necessary qualities for an excellent trader.
In the trading market, what matters is not who earns more, but who lives longer.
Trading is not a race, but a rock climbing game. It is not about who climbs faster, but who climbs more steadily. No matter how fast you climb, once you fall, all your achievements will be reset to zero, and you may even be crushed to pieces!
The magic order I have been preparing for these few days is about to be launched!!!
Comment 168 on board!!!
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Important things should be said three times!!!
