Perptual Futures Six Entry Tips, Learn and Earn


One, analyze the market.
In the crypto world, there are trending markets and volatile markets. Generally, trending markets only occur for a period of time, where there is a one-sided rise or fall in the crypto world. It is best to go long in this type of market. Investors just need to go long on dips or go short on highs. In directionless markets, it is not suitable for medium to long term positions, only short-term positions can be taken. It is advisable to sell high and buy low, and take profits whenever possible.
二、Analysis of Trends
The second step is to observe the trend, which can refer to daily k-line, weekly k-line, or monthly line, and analyze the long-term factors that affect mainstream tokens, in order to determine whether the mainstream tokens will rise or fall in a period of time. If you enter the market without first observing the trend and blindly chase rising prices or sell at a loss, you can only leave the market with a heavy heart. After determining the trend, it is good to set a rough operational target. It can be said that determining the trend well is already half of the success.
Three, look for a good position.
When the trend looks good, you should not enter the market rashly. You should choose a good entry point, otherwise you will easily be forced out of the market by the long wick candle. For example, in the recent crypto world, it has been in a rising trend, but many long traders still lost money. Why? It is because they did not choose a good entry point.
Four, choose the timing
The cryptocurrency world has its own rules. Generally, the period from January to May is a bullish season, and one can go long at low prices. From May to September, there is a volatile market with downward trends, but there are also certain increases in between, which can be sold high and bought low. In the second half of the year, it is mostly characterized by either a major drop or a major surge, which is also the most profitable period.
Position Control
Because only by controlling the position reasonably can you have a chance to make stable profits. Otherwise, your account will only end up in failure. Generally, only 10% of the capital is used for trading. If your account has only $10,000, then each order you place is $1,000, regardless of whether it is long or short. In a favorable market situation, if the entry order is profitable, the stop loss level should be set at the entry price. Do not overweight the position regardless of how confident you are in the market. If the entry order is in a loss, never add more positions against the trend, unless you have billions of dollars that can support it. Similarly, for an account with $5,000, it is better to place orders of $500.
Build a Position and Leverage Techniques for Managing Positions in BTC Perptual Futures Strategy
【Position Management】
Managing contract positions is very important. For example, if you have $10,000 in your account, it is best to use 5-10% as margin for your trades, which is $500-$1,000, equivalent to 50-100 lots. Investors can enter the market at different points in two or three separate occasions.
【Order Supplement Tips】
If the leverage is the same for adding orders, then the next step is to add positions. The position ratio is 1:2:3. For example, the first order is 10 lots, the second order is 20 lots, and the third order is 30 lots. If the initial leverage is 20x, the position for the second order is 50x, and the position for the third order is 100x. There can be a maximum of three orders, and the sum of the positions for these three orders is one-tenth of your total position. Flexibly adjust the leverage and position to instantly recover or profit from the market!
【Leverage Tips】
1. The size of leverage is determined by the size of the market. For large markets, take a long-term approach and use small leverage to withstand risks.
2. Fast in and out, high leverage, quick returns. It is generally recommended to take profit at around 30-50% profit, because the market changes too quickly and we need to learn to respect the market and stop at a suitable time.
"【Warm Suggestions】Maintain a positive attitude and study diligently. Build positions scientifically and operate rigorously. Control your positions, adjust margins and set take profit and stop loss orders as soon as you open a position. Avoid gambling and greed, exit quickly when necessary, operate flexibly, and take profit in a timely manner. Avoid counter-trading and show hand. Investment carries risks, so please be cautious when entering the market and bear the risks yourself."
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