Key Skill Interpretation



1. Step One: Determine the Bottom-Fishing Position

- Check two key indicators on the 4-hour chart: whether the price is below the EMA120 moving average, and whether the MACD death cross has lasted more than 3 days. If both conditions are met, it indicates the bottom is "halfway up the mountain," and subsequent position recovery operations should be initiated.

- Interpretation: EMA120 is a medium-term trend moving average, and a MACD death cross lasting over 3 days indicates a continued bearish trend. Combining these signals can effectively judge whether the bottom-fishing timing is correct.

2. Step Two: Hedging Recovery Method

- Operation method: Keep the original long position unchanged, place an equal amount of short orders 3% below the current price, and set the take profit for the short position at the cost price of the long position.

- Interpretation: Hedging locks in profit and loss. Regardless of market rise or fall, profits from the short position can offset losses from the long position, achieving "automatic recovery" and avoiding blind position addition that could increase risk.

3. Step Three: Replenishment Signal Judgment

- Replenish when the following signals appear: long lower shadow (real body < 1/3 of the shadow), trading volume shrinks to one-third of the average volume over the past three days, USDT premium surges.

- Interpretation: A long lower shadow indicates a stop-loss signal; shrinking volume suggests weakening selling pressure; a surge in USDT premium indicates off-market bottom-fishing funds entering. The combination of these three is a reliable basis for bottom-level replenishment.

4. Risks and Hidden Techniques

- Risk Reminder: Do not add more than 30% of the position being held in the replenishment to control risk.

- Institutional Technique: Use exchange liquidation data to determine the main force's cost price; when the price approaches this level, it is a critical operation point.

Risk Warning

Cryptocurrency contract trading is a high-risk investment activity. The above techniques are for experience sharing only and do not constitute investment advice. Actual operations should be based on your own risk tolerance and real-time market conditions.
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