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Taking the execution process of the short strategy for BTC's top phase of 73500-74000 as an example, this is just to illustrate the general execution logic. In the example, you can adjust the initial stop loss according to your personal stop loss tolerance and leverage, etc. as appropriate.
First of all, the target needle landing area in our strategy is 73518.8-74018.8, and we will layout short positions. The reference strategy provides a total coverage range of about 500 points in batches in this area. Assuming you want to place a total of 1000u bets in this resistance area, the open orders are as follows:
The first position, also known as the head position: you can hang 200u at 73458 a little earlier, and we suggest an initial stop loss of 1%, which can be set at 74300 (because if the later-position also gets filled, the average price will be raised)
Place a 300u order at the second position of 73868, and the initial stop loss can also be set at 74300.
Third position: Set 500 units at 74118, initial stop loss can also be set at 74300.
It is evident that the Position is increased in a ratio of 2:3:5, with appropriate advance and certain spatial fault tolerance ahead and behind.
Then, assuming that this strategy can definitely enter the market, we deduce the trends after entering the market in several scenarios:
The first kind: only entering the head position will fall. (The position did not meet expectations, but the risk is relatively low, Position 200u, the result is that the position is not large but stable)
Second type: After entering two positions, it fell (not the most ideal, but relatively reasonable in terms of risk control, balancing Position and risk control. In this case, the average price is around 73700, Position 500u, and half of the target Position is completed).
The third kind: all three pending orders are filled and there is no stop loss point triggered, the market then falls (this is the most ideal, in this case the average price will be higher, reaching the Position target of 1000u)
Fourth type: Maker enters the market in batches and triggers stop loss!! This is the worst case scenario. In terms of results theory, first, it indicates that the price range is invalid, so the stop loss should be acknowledged. The space for stop loss can also be set differently based on one's leverage and other factors, but for this order, if you want to gamble on a higher timeframe, you do need a larger margin of error. The initial stop loss can be set higher, while the smaller timeframe can have a smaller stop loss, because on a higher timeframe, it is necessary to avoid a Long Wick Candle dropping directly to 74300, which would lead to a big loss. This kind of pre-judgment on the left side is suitable for situations where you are sleeping, not near the computer, or when the target price is still a bit far away and you need to wait. If you are monitoring the market, you can adjust accordingly based on the market trend at that time. When you see that all Makers have entered the market, you can cancel all stop losses and set them in batches again.
Contract orders are essentially a game, which belongs to the left-side trading mindset, using various analytical indicators to find potential needle points for prediction. So besides mastering and continuously optimizing some basic Maker methods, the premise actually focuses more on the effective prediction of points. If the points are invalid, it is equivalent to directly declaring stop loss. Some people only Maker without setting the initial stop loss. If they encounter extreme market conditions after reaching the position, once the points become invalid, they will face the possibility of getting liquidated and leaving the market. Therefore, every detail setting has its role. Don't find it troublesome, sometimes small details can also determine the avoidance of further losses.
Then let's talk about taking profit in batches after getting on board as expected, as well as following up on defensive take profit:☞
Suitable for market trends that fall under the first three categories, that is, following up operations that meet expectations. When there is a clear pressure drop and fall a certain distance, cancel the original 74300 stop loss and change it to break-even or small-profit stop loss, which is commonly known as the "dividing the defense" take profit system to control it. After setting up the defense take profit well, you can proceed to actively set the take profit, and then leave some room for games and set according to the level of personal gaming.
The expected process of adding positions (applicable to both single account or multiple accounts):☞
In fact, judging the top of the market is in line with the expected decline, and you can take profit based on your own gaming position. The temporary rebound to the secondary resistance level we provided is also in the 72,000 area. You can add back the position that has been taken profit before, which lowers the average price somewhat, but the effect has not changed, because the trend still fits the counter-trend rebound. Then it will continue to decline (the same way to handle the order with '分留守'), this method will be as comfortable as a fish in water when used in the trend. If it is just a small pullback, the secondary short order is easily broken through, and the strategy of increasing the position can be executed with other accounts, so as not to lower the average price.
How to cut losses and let profits run:☞
The main point of the first sentence is to learn to admit losses, small losses, that is, do not hold a losing position, hold large orders! When it's time to stop loss, decisively cut the loss, especially when you are trading at a small level, and then you don't need to consider too much after the break. For large-level positions, you can appropriately tolerate differences in points. The second sentence about letting profits run refers to placing the correct order, and how to hold on to maximize profits. This is suitable for trying at a large level of orders, which means holding after entering the market, coordinating with defensive take profit, and actively taking profits to hold on. As long as the trend remains unchanged, don't easily leave, mainly reflecting the role of staying, as well as the large-scale thinking of contract, and the system of multi-account coordination. In my case, I specifically set up an account to try medium to long term on large cycles. Although there are some unreasonable aspects in the process, the results can indeed provide some insightful references for everyone.
This is a personal sharing of the left-side Maker method and some basic setting logic, which may not necessarily be suitable for everyone, only for reference and communication. Everyone should also have some good strategies. Overall, as long as the risk control of the contract is reasonable and can be matched with the actual market trend layout, Risk Management is very important, keep the principal, not afraid of not having open orders! Wishing you prosperity💰, welcome to mutual communication🍺🍺
Likewise, there is a possibility that the structural adjustment of the entire fourth wave on a weekly or even monthly basis is coming to an end. What we need to prepare for is to try multiple accounts when implementing a long position strategy on a weekly basis, and attempt to take a large position. For the weekly strategy, we should refer to the position suggested two days ago for early layout. For the large cycle, we can use low leverage in batches, and later we need to increase margin to prevent the occurrence of liquidation.