About rolling positions

Rolling a position sounds scary. In fact, it is much better to put it another way: adding a position with floating profits. Adding a position with floating profits is just a common technique in futures trading.

You don’t need to maintain a leverage of 5 to 10 times, only two or three times. What you need is to add floating profits and maintain a total position of two or three times. It is relatively safe to play with Bitcoin. There are only three situations where it is suitable to roll the position:

1. Direction selection after long-term sideways volatility hits new lows

2. Buying the bottom after a sharp rise in the bull market

3. Break through major resistance/support levels at the weekly level

Only in these three cases do you have a greater chance of winning, and all other opportunities should be given up.

(Tip: Only play futures with money you don’t care about losing.)

Jun Yao’s point of view:

Give a definition of position rolling: In the trend market, after using leverage to make a large profit, the overall leverage passively decreases. In order to achieve the compound interest profit effect, the trend position is increased at the appropriate time. This process of increasing a position is called position rolling.

Jun Yao believes that there are two main types of "appropriate time" in the definition:

1. Add positions when the market converges and breaks through in the trend. After the breakthrough, the main rising wave will quickly reduce the part of the added position.

2. Increase trend positions during the pullback market in the trend, such as buying in batches when the moving average pulls back.

If there is anything you don’t understand, you can come to Junyao ↑ Che in Biquan #大盘走势 #ETH #BTC