Dear followers and students!
Let’s break down an important trading strategy based on the chart provided. Suppose we entered the market at the first circle point (as shown on the chart). This is our initial entry during the start of the bull run. Now, here’s the key: we must secure our profits by closing the trade at the second circle point, where the market shows signs of slowing down or consolidating. This ensures that we lock in our gains without risking a reversal.
Once we close the trade at this second point, we can look for another long entry if the market resumes its upward trend. However, at this stage, we need to be more cautious and alert. Here’s why:
• If the market pulls back to the mid-point of the previous bull run (the halfway level of the recent upward move), we should exit the trade immediately to protect our profits.
• If the market doesn’t pull back and instead continues its upward momentum, we can enjoy secured profits from our earlier position while doubling gains from the new entry.
By following this strategy, you can manage your trades effectively, minimize risks, and maximize profits. Always keep an eye on market behavior at key levels and adjust accordingly!
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