Cryptocurrency exchanges - operations without leverage are not good operations!

Is it good for men to go without a condom? Let’s not discuss that issue for now. Operating without a condom is definitely not a good move, especially for large amounts of funds! There are two types of condom use: active and passive. What is passive condom use? It means entering a position without knowing why you’re entering, being caught in a blind state. There’s also a very wrong theory that says you should cut losses when the loss reaches a certain point. Operating this way, success is ultimately impossible. Almost all investors are in this passive position; they are caught by being caught.

In fact, there is never a true stop-loss problem; only whether the stock is still within a manageable range. Only in this sense does a stop-loss exist: when a stock’s trend shifts from manageable to unmanageable. Note that from a profit and loss perspective, this does not mean the operation has failed; it may have already yielded significant profits. The only reason to exit is that the stock’s trend can no longer be managed. A worst flaw in the investment market is entering and exiting based on profit and loss, but profit and loss is not a priori; it is determined by the current trend at the moment. It is passive. Entering and exiting based on profit and loss is based on passive factors. If that’s not passive condom use, what is?

What is active condom use? There are two meanings here. First, entry cannot be completed in one step, especially for large funds. Without adopting active condom use, how could one buy enough? Those claiming they never use condoms are definitely not operating large funds. But more importantly, any entry involves an active protective measure: once the trend becomes unmanageable, immediately exit the buying process. This protective measure is unrelated to profit and loss; it only depends on the current trend.

For example, in the buying process described in the previous chapter, for the first buy point, if an upward move still shows a “male top” entanglement, you must exit. Why? Because the basis for the first buy was the divergence after the last “male top” entanglement, and now the “male top” entanglement reappears, indicating that the previous entanglement that triggered the buy process was not the last one. This means the program’s judgment has a problem, so you must exit. Usually, this exit is profitable, but that is not a reason not to exit. It’s even possible that after exiting, the entanglement gradually turns into a “female top” through time, and the stock still surges significantly (even if this happens, you can re-enter based on the principles of the second buy point, so the real opportunity is not lost). But even then, you must not have a lucky mindset because of this possibility. The bigger risk is that after entanglement, the stock accelerates downward. The trend may be directionless, but the realization has a direction. All operations can only be based on a directional trend, which should be understandable to those familiar with the “Analects” explained by this ID. Half of the “Analects” can govern the world, so forget about the stock market; to transform the stock market fundamentally, read the “Analects” explained by this ID—it’s the source.

(Buy and sell)

Regarding the second buy point mentioned in the previous chapter, if the entanglement breaks below the previous “male top” (note: a new low), it indicates a problem with the buy process. You must clear the stock during any rebound. In this case, a rise may occur later, but as explained above, no operation is 100% accurate. If a special situation occurs, you must exit first. This is the most important point for long-term survival in an investment career. Of course, experienced traders will follow procedures and exit in an orderly manner. This is similar to warfare: if you see the opportunity is not right, you must withdraw; stubborn resistance will only lead to destruction.

Investment is a long-term endeavor. Don’t hold a gambling mentality and try to succeed in one shot. If you do, the final outcome will be tragic, as countless examples have shown. Why study a buy-sell procedure that suits you? Because it is the only safe harbor in the market’s stormy waters. Sometimes the harbor faces typhoons, but you shouldn’t abandon the harbor just because there are typhoons sometimes. Also, the success rate of the buy process is related to market strength. In strong markets, the success rate of the buy process is generally above 90%. In weak markets, this success rate drops significantly.

Any buy-sell system based on moving averages or other technical indicators is just a sub-judgment within a comprehensive judgment. It doesn’t mean that one move is enough. At least one thing that any technical buy-sell system cannot solve is why stocks selected by the same system perform differently—some rise more, some less. Can we select the most powerful stocks based on this? This is a very meaningful question in actual operation. To use a vulgar analogy, technical systems are “preliminary screening,” and what follows is “second round” and “PK” (competition), to truly select stocks worth entering. This issue will be gradually elaborated later. **$L3 **$MOCA **$UXLINK **