From turning 100,000 into 1.2 million, I’ve summarized these 10 iron rules ❗

1. Funds within 50,000 to 80,000 only buy one stock; 180,000-300,000 buy two;
50,000 to 80,000 buy 3-4 stocks; with more funds, do not hold more than 5 stocks;
Many say eggs should be placed in multiple baskets, but I tell you, when the market fluctuates, the more baskets you have, the more eggs will break.
2. Holding 2 to 3 stocks is best; retail investors’ pain points: not willing to hold cash, rushing to add positions in weak markets, having few stocks, wishful thinking, stubbornly holding on, if you hold more than 5 stocks and most are losing, what you need most is to reduce the number of stocks;
When the trend breaks (e.g., falls below the 10-day moving average), sell first;
My holdings never exceed 4 stocks, even in a bull market.
3. Watch news, read stock comments, learn technical analysis; the only goal is to improve win rate.
How to improve? The prerequisite is two words: follow the trend.
4. Don’t rush to cut in the morning when there’s a big drop; usually there’s a rebound in the afternoon;
Reduce positions at the close when there’s a big surge;
Next day’s pullback probability is high.
Volume-increasing rallies still go up; volume-decreasing declines still go down;
Volume-increasing stagnation indicates a top; volume-decreasing stabilization indicates a bottom;
Massive surges will inevitably pull back; every word is a pearl, with an 85% success rate.
5. Only operate when the market is active; when is the market active?
When the index is above the annual line,
Trading volume has been above 1 trillion for 10 consecutive days,
More than half of stocks are rising,
Number of limit-up stocks exceeds 50,
Number of rising stocks exceeds 2,000; this is the most basic!
6. A sharp decline tests stocks; if the market crashes and your stocks only dip slightly, it’s clear institutions are holding together, refusing to fall, so these stocks can be held with confidence and will pay off.
If the market crashes and your stocks plunge, but the next day the market rises and your stocks surge, it’s likely the main force is shaking out weak hands during the decline; stocks with good traits, you can buy during the market dip and sell when the market rises.
7. In a loss state, set fixed stop-loss points and never move them down; many hold onto hope, turning short-term into long-term, and long-term into contributions!
In profit, keep raising the exit point; don’t let profits evaporate.
For example, if you profit 20%, sell if it drops 5%;
If profit is 30%, sell if it drops 10%.
8. If beginners don’t know how to buy or sell, the simplest method is: hold stocks on the 5-day short-term moving average; sell when it breaks below the 5-day line;
Hold on the 20-day moving average for mid-term; sell when it breaks;
There are many methods, but the best is what suits you.
Trading isn’t hard because there are no methods; it’s hard because of execution.
Stick to one method blindly; over 90% of people don’t ask why.
9. When a stock meets your buying criteria, act decisively; when selling, be resolute!
Have strong execution, be swift and decisive;
People who mix emotions and indecisiveness will inevitably miss opportunities or ride the roller coaster!
10. Only add positions when in profit; do not add when in loss!
Before adding, ask yourself: if you hadn’t bought this stock before, would you buy it now?
If yes, then do it; if no, then sell!
I usually look at the candlestick charts backwards, so the tops and bottoms change, which works well! $BTC $ETH $SOL