After ten years of navigating the cryptocurrency world, I've summarized these fifteen "iron rules" for trading coins. Please take your time to read, and you will surely gain insights.
1. When the market crashes, if your coin only drops slightly, it is mostly due to the market makers protecting the price, so you can hold on with peace of mind, as you may expect to profit later.
2. New traders struggle with buying and selling; for short-term, hold stocks above the 5-day line, and sell if it breaks the line; for medium-term, hold stocks above the 20-day line, and exit if it breaks the line. The difficulty in trading lies in execution. Stick to one method; over 90% of people can be surpassed, which is the essence of simplicity.
3. When a main upward wave forms and there is no volume increase, enter decisively; hold stocks during volume increases and volume decreases (as long as the trend is not broken); exit quickly if there is a volume drop that breaks the trend.
4. For short-term buying, exit if there is no fluctuation for three days; if it drops after buying, cut losses at 5% without conditions.
5. If a coin drops 50% from a high point and continues to fall for 8 days, it enters an oversold channel, and a rebound can explode at any time, so you can follow in.
6. In coin trading, focus on the leaders; they rise the fastest and fall the least. Don’t be afraid of missing out, and don’t randomly “catch the bottom” or be afraid to chase highs. The strong remain strong, and when trading leaders, be bold in entering at high positions and exiting at even higher positions.
7. Going with the trend is key; it’s not always better to buy at lower prices. It should align with the trend; don’t be greedy and buy trash coins just because they’re cheap. Only by following the trend can you sail towards wealth.
8. Making profits is not difficult; the challenge is in sustaining them. Don’t let small profits cloud your judgment. Review your trades seriously, distinguish between luck and skill, and creating a stable trading system that suits you is the true way to success.
