Dealing with scams like UXLINK that double in hours, the biggest challenge lies in trading psychology.
1. When prices rise rapidly, a previously clear profit-taking plan can easily be disrupted, and the profit target turns into 'wait a bit longer, maybe it can still rise'.
2. Conversely, when prices turn downward, the mindset shifts to 'wait until it returns to the previous high before selling', resulting in a price plunge. The method to cope with such market conditions is actually quite simple:
Left-side profit-taking: Actively reduce positions in batches, controlling the position size at 1-3%.
Right-side profit-taking: Use the EMA20 moving average as support; exit when the price breaks below it.
In the long run, the performance of executing a trading plan is more reliable than emotions.
