Gate.ioBlogHow to win in the Gate.io WCTC ? TOP Trader_s Story II
How to win in the Gate.io WCTC ? TOP Trader_s Story II
02 August 15:07
Introduce the cryptocurrency trading experience
I am Pig Quanter and I placed first in the team competition at the first WCTC. I have an engineering background in IT. I started to pay attention to Bitcoin in 2013 under the coverage of financial media with a small amount. When the MTGox exchange, the first exchange in terms of trading volume at that time, suspended the withdrawal of coins, have caused the BTC to plummet to tens of dollars. That's when I thought it was an excellent opportunity to buy, and topped up 100,000 RMB through various methods. I haven't touched cryptocurrency again in the latter years and missed the bull market in 2017. In 2018, I saw a trading video shared by a trader and got the idea to engage in quantitative trading, and then I started on a path to relearn and experiment with quantitative trading.
If you were to share a practical trading secret, what do you think it would be?
- Pursuing certain probabilities in uncertain markets
1. The market trend is uncertain
a. Market trends are unpredictable, and no individual or institutional prediction can be 100% accurate.
b. Any trading indicators have limitations, which is why it's very difficult to find a super indicator to achieve consistent profits. If there is such an indicator, either it is very easy to fail, or the capital capacity is very small
2. The process of long-term stable profitability is the pursuit of certainty
a. People often ask should I go long or short now?
I can't answer this kind of question, because it's not correct to discuss whether to be long or short without considering the whole trading system. The market is unpredictable, opening a single trade is the process of trial and error. If your current grasp of the market is not great, your position should be reduced. When your trading system reveals multiple factors that indicate the same directional signal, you can then increase your position appropriately.
b. Several elements of the trading system should be of concern: opening conditions, position management, stop-loss conditions, and take-profit conditions which cooperate with each other to form a whole. The process of finding a sustainable and profitable "combination of parameters" for a trading system consists of these essential elements, therefore meeting the conditions of verifiable results and repeatable execution is the process of achieving stable profits.
The theory is more complicated than it seems, but let's take a simple example: MACD Crossover: go long when a golden cross shows up and go short when a death cross shows up, when the opposite signal shows up again then it is time to close the position. There are many classic technical books that teach the same thing. But if you copy the theory to the actual plate, you will most certainly lose.
Suppose on the basis of this model, we add a judgment condition: the current closing price above the 30MA is a long signal, and the current closing price below the 30MA is a short signal.
After changing the open and close order conditions to meet the above conditions, we put the specific currency on a specific time period to verify. If the method is proven, it can be profitable after a period of data verification. As long as we insist on executing according to this trading system, we can get similar trading results in theory.
The next step is to solidify this trading strategy and execute it with determination, while constantly optimizing and adjusting it. While the actual operation is far more complex than the de_script_ion, the goal is the same: to pursue certain probabilities in uncertain markets.
Disclaimer:
For information purposes only, such information provided herein does not constitute any investment advice and is not responsible for any investment you may make. Technical analysis, market judgment, trading techniques, and trader sharing may involve potential risks, investment variables, and uncertainties, and this article does not provide or imply any opportunity for guaranteed returns.
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