Contract position management and skills, once mastered, ordinary people can also turn the tables in the cryptocurrency circle!

1. Control Position

Reasonably controlling your position is key to achieving stable profits. Otherwise, your account will face failure. It is generally recommended to use 10% of your funds for trading. For example, if your account balance is $10,000, then the amount for each order should be $1,000, whether going long or short.

In a favorable market, if the entry order starts to profit, the stop-loss should be set at the opening price. Regardless of how certain the market is, the position should not be too heavy. If the order incurs a loss, do not add to your position against the trend, unless you have billions of dollars to support you.

【Position Management】

In contract trading, position management is crucial. Suppose your account funds are $10,000, it is recommended that the margin for each trade be $500-$1,000, which is 50-100 contracts. Investors can enter positions in 2-3 batches at different price levels, with each position being 50-100 contracts.

【Adding Positions Technique】

When adding positions, if the leverage is the same, the position ratio should be 1:2:3. For example, the first order is 10 contracts, the second order is 20 contracts, and the third order is 30 contracts. If the initial leverage is 20 times, the second order's leverage is 50 times, and the third order's leverage is 100 times, a maximum of three orders can be added, and the total position of these three orders should not exceed 10% of the total position. Flexibly adjusting leverage and position helps quickly recover losses or exit with profits.

【Leverage Technique】

1. The size of leverage should be determined according to the market situation. A major market is suitable for long-term operations, using low leverage to mitigate risks.

2. Quick entry and exit, using high leverage for rapid profits. Generally, it is recommended to take profits when gaining 30-50%, as the market changes rapidly; one must learn to respect the market and know when to stop.

Finally, a reminder to everyone: The trends in the cryptocurrency circle are filled with uncertainties and challenges, but they also contain potential opportunities. Investors should fully understand the associated risks when participating in cryptocurrency investments, remain calm and rational, and adopt a prudent strategy to cope with market changes.