Hi guys, I’m trader Zhu Yici. Today I cleared all my contract positions. I currently have 54,000 U left in my account. I just sold 2,000 U to a friend to make up the margin, and he decided to hold on to it.
Many fans came to ask me the reason after hearing that I liquidated my positions. I once said that the two major reasons for my holding the order are, first, there is no problem with the general direction, and second, I have the confidence that I can survive. This time the first point is met, and I am still optimistic about the market in the first quarter around the Spring Festival. I believe that it will be a round of copycat market led by Ethereum. But the second point is not met. I have no confidence that I can survive this time. Although I only opened a 2x leverage overall, I don’t see any possibility of a reversal before Trump takes office on the 20th. All I have is the fear that good news will turn into bad news.
Now let's review my decision to engage in ultra-short-term operations since November 4th! (1) On November 4th, the account only had 32,000 USDT left. I started taking private orders on Binance, aiming to multiply the total funds by five times before the end of the year and regain my position at A7.
(2) On November 27th, the funds reached 100,000 USDT, withdrew 50,000 USDT, and the remaining 50,000 USDT aimed to sprint towards the target of 140,000 USDT.
(3) On December 16th, the funds reached the highest point of this round, going from 50,000 USDT back up to 110,000 USDT, just one step away from the two withdrawal targets of 140,000 USDT.
(4) Starting on December 18th, I held onto my positions. In the following days, the total funds dropped to just over 30,000 USDT, but as of today, January 8, 2025, the total funds have risen back to a high of 87,000 USDT.
(5) On January 8th, I cleared all positions, with total funds remaining at 56,000 USDT, which is equivalent to 400,000 RMB.
All of the above have real trading records. The biggest mistake made this round was using a long-term mindset to guide ultra-short-term contracts. When opening Xai long positions, I was optimistic about this coin in the long run, believing it would rise one day, but I neglected the current short-term downward risk, and since then it has never given me a chance to break even.
The second mistake is perfectionism; I can't tolerate even a small loss. Even if the current trend is a very obvious downward trend, as long as there is a loss, I am reluctant to cut it, allowing small losses to turn into big losses. This cannot be changed, and it is doomed that ultra-short-term contract trading cannot go far or grow big.
Ultra-short-term contracts are about trading the current short-term market. One cannot ignore the current short-term downward risk just because they are optimistic about the long-term, nor can they overlook the current short-term upward trend just because they are not optimistic about the long-term. In summary, it is to live in the present: if it feels like it is likely to fall, then cut losses; if it feels like it is likely to rise, then enter the market; if uncertain, stay empty. Focus on high-certainty market movements. Understanding this deeply eliminates the issues of stop-losses and holding positions. The core of trading is responding, not predicting.
Failure is the mother of success. As long as the principal is still there, I will learn from the lessons and continue. I have never given up hope, and I believe I can succeed.
The next plan is to either stay empty and wait until around the 20th when Trump takes office or engage in some oversold rebound or hot market trends. The goal remains to withdraw 140,000 USDT. Keep it up, brothers!