How to avoid losing money in the cryptocurrency circle
Retail investors have a common problem. They hold on to losses and sell as soon as they make a little profit. They don't look at trends or trading volume, but only focus on the profit and loss ratio of their accounts.
What's the result? When you lose, you lose a lot, and when you make money, you make very little. You should do the opposite: if you make a profit, hold on to it as long as the trend remains unchanged. If you lose money, it proves that your judgment is wrong. Overturn the previous logic, re-evaluate the situation, and stop loss if the trend changes.
My operating principle is very simple: the market always rises and stops, and falls and stops. So when it rises, you should find a point to short, and when it falls, you should find a position to go long.
As long as you can stop profit of more than 5% every time and control the stop loss within 3%, even if you operate 100 times and the winning rate is only 50%, it will be easy to double your income.
Is it difficult?
The difficulty is not the method, but whether you can overcome your greed and fear. The difficulty is whether you can do "not release the eagle before seeing the rabbit"!
The origin of my nickname is that as an old trader, I always remind myself: Keep your hands under control - never make a move because of personal emotions or market sentiment. A victorious general does not win every day by fighting every day, but by winning every battle carefully!