How to grasp the trend of $ZEN?
1. Before placing an order, determine your position and leverage. Make sure to calculate your capital ratio properly; do not fully leverage your position and go all in, as it's impossible to hit the lowest and highest points. Going all in only leads to liquidation.
2. Analyze the market before placing an order. Why are you placing an order here? What are your reasons for buying? Is there a support or resistance level? Is the upward or downward momentum exhausted?
3. After placing an order, where is your stop-loss? Where is your take-profit? Have you figured these out? Many people place orders based on feelings of it going down or up, which is incorrect; this is gambling. Betting on highs and lows ultimately results in losses, and you could end up liquidated in one go.
4. At the moment you place an order, you should know how much profit you could make. First take-profit, second take-profit, averaging position, stop-loss. Have a clear operational mindset; place orders according to your strategy. Doing it right earns you profits, doing it wrong incurs losses.
5. Risk-reward ratio: calculate how much you will lose if the price hits your stop-loss. Calculate your target price's risk-reward ratio; it should be at least 1:1.5, preferably above 1:2 for your order to be a strategic one.
6. Many people trade by making small profits while losing big; they don't have a risk-reward ratio. They take small profits but can't hold on, leading to losses as the market reverses. They end up stuck with losing positions and ultimately have to cut losses, resulting in diminishing capital.