$BTC
Most of you know that my day-to-day work is centred on monitoring blockchain transactions and market data around the clock. My insights have always focused on guiding you through market movements, but remember: true profit and success don't just come from following trends blindly. Trading requires a strategic mindset, like climbing a ladder with multiple steps: 3 support and 3 resistance levels, for instance.
A crucial skill is learning to trade effectively against the trend by leveraging support and resistance points. Chasing the trend might yield quick wins, but it also exposes you to the risk of sudden reversals, which can erase profits just as fast.
When the trend is moving upwards, compare the current price to nearby support or resistance levels. If the price is nearing a critical support or resistance level, it could signal a high-probability setup to position yourself against the trend. Should the price decline further, consider adding a second position, knowing that reversals have a higher chance (roughly 65%) than trends continuing indefinitely in the same direction.
The key to this strategy lies in adjusting your position size step-by-step. Start with larger positions, then decrease with each level. For example, you could allocate 30%, 25%, then 20% of your funds progressively, stopping at your final support or resistance point. This way, you can manage risk and capitalise on reversals more effectively.
Adopt this method, and you’ll find yourself reducing losses and enhancing your trading resilience."
