Are you worried about holding funds but not knowing how to trade? I have summarized several methods as follows:
1. Select potential currencies, trend is king
First, we have to select potential currencies. When choosing, be sure to pay attention to the rising trend of the currency. Of course, currencies in the consolidation period can also be considered, but remember to stay away from currencies with obvious downward trends or downward moving averages. Remember, trends are our friends. Only by following the trend can we win at the starting line.
2. Three-part method of funds, steady layout
Next, we need to divide the funds into three equal parts and make a steady layout. When the currency price breaks through the 5-day moving average, we can buy 30% of the position with a light position. When the currency price continues to break through the 15-day moving average, buy another 30%. Similarly, when the currency price breaks through the 30-day moving average, we can buy the last 30% of the position. In this process, it is crucial to strictly implement the capital allocation and buying plan.
3. Flexible response, hold if the retracement does not break
After buying, we also need to respond flexibly to market changes. If the price of the currency fails to break through the 15-day moving average after breaking through the 5-day moving average, but instead falls back, then we need to pay close attention to the support of the 5-day line. As long as the retracement does not break the 5-day line, we will keep the original position unchanged; once it falls below, we will decisively sell it to avoid further losses.
4. Be patient and ship in batches
Similarly, when the price of the currency breaks through a higher moving average and then falls back, we also need to respond flexibly according to the support of the moving average. If the retracement does not break the higher moving average and the 5-day line is still strong, we can continue to hold; if it falls below the higher moving average but the 5-day line is not broken, we will sell some positions first to reduce risks. When the price of the currency continues to rise to a high level, we need to remain vigilant. Once it falls below the 5-day line, we will sell 30% of the position first; if the 5-day, 15-day, and 30-day lines are all broken, we should sell them all immediately, and don't be lucky.
I am Brother Xiong. It is better to teach a man how to fish than to give him a fish. Find me, I will help you turn your position around and achieve financial freedom.
