How to Consistently Earn $164 Daily on Binance: A Beginner’s Step-by-Step Guide
Achieving $164 daily on Binance requires a balanced strategy, disciplined risk management, and ongoing market insight. Here’s a detailed guide to help you work toward this goal:
Step 1: Build a Strong Foundation
1. Learn Trading Essentials
Familiarize yourself with key trading tools: market orders, limit orders, stop-loss, and take-profit strategies.
Study technical indicators (like moving averages, RSI, and MACD) and candlestick patterns to read price movements.
Understand the basics of fundamental analysis by assessing a project’s value, partnerships, and relevant news.
2. Set Realistic Goals
A daily target of $164 equates to roughly $5,000 monthly, which is attainable with the right strategy and capital, while keeping risk tolerance in mind.
Step 2: Choose Your Trading Approach
1. Scalping
This technique involves capturing small price changes multiple times daily.
Scalping may require larger capital to reach daily targets due to smaller profit margins, often around 0.5%–1% per trade. Consider using leverage if it fits your strategy.
2. Swing Trading
Hold positions over several days to benefit from larger market movements.
Identify strong support and resistance levels on longer timeframes (e.g., 4-hour or daily charts) for potential entry and exit points.
3. Spot vs. Futures Trading
Spot trading limits risks to your invested amount, while futures trading allows leverage but increases risk.
Beginners may find spot trading safer as there’s no risk of liquidation.
Step 3: Execute a Technical Analysis Strategy
1. Spot Divergence Patterns
Watch for bullish or bearish divergence in indicators like RSI or MACD, which can hint at trend reversals.
Use divergence as a cue for potential entry and exit points.
2. Combine Indicators for Confirmation
Moving Averages (e.g., 50-day and 200-day) can help identify trend direction.
Use the RSI to spot overbought or oversold conditions, and Volume Analysis to confirm move strength.
3. Define Risk-Reward Ratios
Aim for a 1:2 or 1:3 risk-to-reward ratio to keep potential profits higher than potential losses.
Set stop-loss orders to limit each trade’s loss to 1%-2% of your capital.
Step 4: Execute Trades
1. Identify Entry Points
Look for favorable entries, like support levels or established trends.
If using leverage, start conservatively (2x–5x) to manage risk.
2. Manage Each Trade
Set a stop-loss and take-profit level to safeguard your capital and lock in desired profits.
Actively monitor trades, especially if leveraging.
3. Review and Refine
Assess your daily trades to spot and learn from any mistakes.
Adapt your strategy based on market conditions, adjusting for trends or volatility.
Step 5: Compound Gains
1. Reinvest Profits
Reinvest a portion of your earnings to gradually grow your capital and make larger trades.
2. Stay Disciplined
Avoid emotional trading and impulsive decisions; stick to your plan for consistent results.
Step 6: Maximize Binance’s Tools
1. Automated Orders
Use stop-limit and trailing stops to automate trades and secure profits.
2. Explore Staking or Yield Products
Allocate a portion of profits to Binance Earn options, like staking or liquidity pools, for passive income.
3. Maintain Rigorous Risk Management
Avoid risking more than 1%-2% of your capital on any one trade.
Example Calculation
If you aim for a 1% return per trade and complete five successful trades on a $3,300 balance, you could reach your $164 goal. Achieving this requires precise risk management and clear exit strategies for each trade.
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Key Takeaways
Learn the Fundamentals: Start with a solid understanding of trading basics and consider practicing with a demo account or small investments.
Choose a Suitable Strategy: Opt for scalping, swing trading, or spot trading based on your comfort level and experience.
Monitor the Market: Use divergence patterns to fine-tune entries, apply technical analysis for better timing, and focus on risk management.