=> Spot Trading Guide:
- For New Members: It's recommended to book all your profits at Target 1 until you gain enough confidence to hold for longer.
- For Regular Members: Book a significant portion of your profits in stages: 50% at Target 1, 25% at Target 2, and the remaining 25% at Target 3.
- After Target 1 is Hit: Place new OCO (One-Cancels-the-Other) orders for Target 2 or Target 3, with a stop loss set at the entry price.
- Trade Validity: If either Target 1 or the stop loss is hit, the trade becomes invalid.
=> Scalp Trading Guide:
Scalping is a strategy designed for quick, short-term trades with the goal of capturing small price movements. Follow this guide to execute scalping trades effectively:
1) Buy Below the Given Entry Price: Enter the trade at a price lower than the specified entry point to maximize potential gains.
2) Place a 50% Sell Order at Target 1 with a Stop Loss (SL): After entering the trade, set a sell order for half of your position at the first target. Make sure to include a stop loss to protect against adverse market movements.
3) Place a Sell Order for the Remaining 50% at Target 2 with SL: Set a sell order for the rest of your position at the second target, also with a stop loss in place.
4) Adjust Stop Loss After Target 1 is Hit: If the price reaches Target 1 and your first sell order is executed, move your stop loss to the entry point and chase second target. This ensures that your trade is risk-free for the remaining position. Remember, this is a scalp trade, so avoid holding out for additional profits. The goal is to take multiple scalp trades rather than chasing larger gains from a single trade.
Following this method will help you stay disciplined and capitalize on short-term market movements without exposing your position to unnecessary risk.
=> General Risk Management Guide:
- Start by dividing your total portfolio into three parts:
- From the 250 USDT allocated for day trades, consider breaking it down further:- 25% for Day Trades: If you have 1,000 USDT, allocate 250 USDT for day trades.- 45% for Swing/Long-Term Trades: Set aside 450 USDT for longer-term positions.- 30% Always Reserved: Keep 300 USDT as a safety reserve for unexpected market movements or future opportunities.
> Day Trade Allocation:
-You could take two trades of 125 USDT each.-Alternatively, split it into three trades: 100 USDT, 100 USDT, and 50 USDT.-Or even five smaller trades of 50 USDT each.
-The exact split depends on your risk tolerance and trading strategy. For example, you might start with a 40% position (100 USDT) and keep 60% (150 USDT) reserved for Dollar-Cost Averaging (DCA).
> DCA Strategy:
If you purchase an altcoin worth 100 USDT initially, keep the remaining 150 USDT reserved for DCA.
If the market drops (e.g., BTC falls 10-15%), use another 100 USDT to DCA your position.
Always keep some funds (50 USDT) in reserve, even after DCA.
> Limit Your Exposure:
- Never use more than 25% of your portfolio for day trades. Even if a new signal appears, wait until your previous trades close at breakeven or in profit before entering a new position.
- Similarly, don't invest more than 45% in swing trades. Follow the same DCA strategy and keep funds reserved for potential market dips.
> Additional Risk Management Tips:
- Set Stop-Losses: Always set stop-loss orders to protect your capital and minimize losses.
- Diversify Your Investments: Spread your funds across different assets to reduce risk. Avoid putting all your money into a single trade or asset.
- Stay Informed: Keep up with market trends, news, and signals. Be aware of the broader market environment to make informed decisions.
- Avoid Emotional Trading: Stick to your plan and risk management strategy. Avoid impulsive decisions based on short-term market fluctuations.
- Review and Adjust: Regularly review your trades and portfolio. Adjust your strategy if needed to ensure you're aligned with your goals and risk tolerance.