In the cryptocurrency world, if you want to make 12 million from 10,000 yuan, the fastest way is to roll over, but this is also the most risky.
In order to reduce the risk, it is recommended that you divide the funds into three operations. Assuming that the total funds in your account are 200,000, and the maximum loss is 20% (ie 40,000), then you can distribute the losses as follows: 10,000 in the first loss, 10,000 in the second loss, and 20,000 in the third loss. This arrangement allows you to have a chance of success in three times, so as to make a profit or at least survive.
1. Grasp the market trend
Market trends are more difficult to do than volatile markets, because trends mean chasing ups and downs, and human nature tends to sell high and buy low. The key to making money in trading is to go against human nature. Although trend operations are more challenging, they are also easier to make profits. In an upward trend, you can consider going long every time there is a violent pullback. If you are not involved or have already left the market, wait patiently for a 10-20% pullback and enter the market decisively.
2. Formulate a stop-profit and stop-loss strategy
Stop-profit and stop-loss are the key to determining whether you can make a profit. To ensure that the total profit is greater than the total loss, you can follow the following points:
Each stop loss does not exceed 5% of the total funds. Each profit should be greater than 5% of the total funds. The total transaction win rate is more than 50%.
Ensure that the profit-loss ratio is greater than 1 and the win rate is greater than 50% to achieve profitability. You can also choose a strategy with a high profit-loss ratio and a low win rate, or a low profit-loss ratio and a high win rate, as long as the total profit is positive.
3. Avoid excessive frequent trading
Many novices will frequently trade in the 24-hour trading market of BTC perpetual contracts, and even trade every day. Excessive trading can easily lead to mistakes, which in turn affects the mentality and makes irrational "retaliatory" operations, such as going against the trend or holding a large position. This method may lead to serious losses and even take years to recover. Guanzhu Public Account: Xiaoxiong Lunbi, Mianfei Jiaqun
Key points of rolling positions:
Be patient enough: The profit of rolling positions is huge, and you can make millions with just a few successes. But rolling positions must choose opportunities with high certainty and cannot be entered easily. Opportunities with high certainty: usually a situation of shock sideways trading after a sharp drop, and then an upward breakthrough. Find the right time for trend reversal and get on the train decisively. Only do more and not short: simplify operations and avoid shorting.
