During a volatile market, prices tend to bounce back and forth within a range. The core strategy is "buy low and sell high, enter and exit quickly," and it is important to avoid chasing rallies or panic selling.

Recognition and Entry

Confirm the pattern: Observe whether moving averages are converging and whether Bollinger Bands are tightening, confirming that the price is moving within a clear range.

Boundary operations: Buy near the lower boundary (when the price touches support + RSI is oversold / reversal candlestick), sell near the upper boundary (when the price touches resistance + RSI is overbought / stagnation candlestick).

Risk Control and Discipline

Strict position management: Keep each trade’s position at 10%-20% of total funds to prevent repeated trial-and-error from eroding capital.

Timely stop-loss: Set stop-loss below the lower boundary of the range (e.g., if it breaks below support). If the price effectively breaks out of the range, exit immediately and switch strategies.

The key to profit in a ranging market is "accumulating small wins to achieve big gains," by making multiple small profits to cover trial-and-error costs, rather than chasing single large gains.