Gate Square “Creator Certification Incentive Program” — Recruiting Outstanding Creators!
Join now, share quality content, and compete for over $10,000 in monthly rewards.
How to Apply:
1️⃣ Open the App → Tap [Square] at the bottom → Click your [avatar] in the top right.
2️⃣ Tap [Get Certified], submit your application, and wait for approval.
Apply Now: https://www.gate.com/questionnaire/7159
Token rewards, exclusive Gate merch, and traffic exposure await you!
Details: https://www.gate.com/announcements/article/47889
Many people complicate things in trading. Blindly chasing intelligence, hot topics, and stacking indicators often lead to losing their way. Actually, it doesn’t have to be so complicated—a simple, clumsy strategy that can survive bull and bear markets and consistently generate profits is enough.
Many might wonder, what exactly can this method do? Honestly, from zero to a eight-figure asset, the key was finding a trading rhythm that suits oneself. Eight years ago, starting from debt, through systematic crypto trading research, I not only paid off all debts but also achieved financial freedom. This is not luck, but grasping the essence of trading.
The core secret is actually just four steps. It sounds simple, but each step has its nuances.
**Step 1: Coin Selection Stage**
Open the daily chart and focus only on the daily timeframe. Look for coins with MACD golden crosses, ideally when the cross occurs above the zero line. Such signals often confirm an upward trend, significantly increasing success rates. Many people like to mix multiple timeframes, but that actually adds noise. Sticking to one timeframe allows for clearer analysis.
**Step 2: Position Building Logic**
Operate on the daily chart again, but this time focus solely on one moving average—the daily moving average. The trading rule is straightforward: hold positions above the moving average, and exit immediately if it breaks below. No need to compare with other complex indicators; this line is your lifeline.
**Step 3: Adding Positions and Taking Profits**
When the coin price breaks above the daily moving average, and volume confirms the move by also staying above the moving average, consider going all-in. The subsequent selling points are threefold—sell 1/3 of the total position when the wave gains 40%; another 1/3 when it reaches 80%; and if the price falls below the daily moving average, clear the remaining position entirely. This approach allows participation in trend gains while protecting profits at key points.
**Step 4: Risk Management (Most Critical)**
This is the part most easily overlooked. Since the method relies on the daily moving average as a judgment standard, if the next day gaps down sharply or even falls below the moving average directly, you must sell everything without hesitation. No room for luck. Although the probability of breaking below using this method is quite small, risk awareness must always be maintained. Wait until the price stabilizes above the daily moving average before re-entering.
The brilliance of this process lies in its non-reliance on prediction, only on trend confirmation. MACD provides confirmation signals, the moving average offers execution rules, and wave gains set profit-taking points. Each step is interconnected, isolating risk within controllable limits.
No matter the position size, this framework is applicable. The key is disciplined execution. Markets change rapidly, and hesitation usually means missing out.