Every project should have the base, a foundation, foothold on which absolutely everything is based. The overall strategy of trade and risk management is the foundation of our project.
According to this foundation, we:
-We create content with potential trading situations
-We make personal trading decisions in the cryptocurrency market
-We manage the deposits of our investors
-We conduct copytrading for both large and small deposits.
The main goal of the strategy is to ensure profitable trading at any stage of the cryptocurrency market. Highly volatile market, or low volatile, falling or growth trend, global price movement or short-term – this strategy takes into account all these factors and allows you to make a profit on each of them.
The three main principles of a general trading strategy
• Complementarity;
• Different risk control schemes in one trading situation;
• Constant redistribution of profits between local strategies;
General Trading Strategy Components
The general strategy includes:
• Medium-term strategy (basis of general strategy)
• Short-term strategy (for low volatility and fast trades)
• Long-term strategy (for rapid deposit growth)
• Investment strategy (for accumulation)
Each of these local strategies works well in one phase of the market. Thus it is possible to achieve a stable positive average result and not to miss both small and large price fluctuations.
“Cooperation of local strategies” during trade
Consider the work of the General Strategy in one trading situation.
Assume that the price has reached the entry points for each of the local trading strategies.
In this case:
• According to the long-term strategy, a limit purchase order will work
• According to the short-term strategy on the small timeframe we will look for the culmination of sales to catch a quick rebound. Enter the position immediately with a stop order and profit targets
• Trade on a medium-term strategy in anticipation of retest and local bottom check.
• The investment strategy is purchased in a wide range and so far the price has not reached entry points.
In case of mistake, we receive controlled losses on the short-term strategy and a drawdown on the long-term strategy. However, the rest of the deposit will not be used in trade, which reduces losses.
In the case of price movement in our direction on 3 strategies out of 4 the profit fixed.
Such risk control will not allow the total deposit to fall sharply, even in the darkest times in the cryptocurrency market.
In addition, in the case of price movements in our direction, we record profits in different places (according to the rules of local strategies) and do not allow the option of “overstaying profit”.
This is a short and concise example, many modifications of which can be made. However, this example shows how risks are controlled and the return on the total deposit is recorded.
Distribution of the deposit by local strategies
No less important factor is the ratio of the distribution of the deposit by different strategies. For example, by allocating 90% of the total deposit to a high-risk strategy, you can get rich very quickly and lose the entire deposit in one wrong step. Therefore, we offer the following balanced deposit distribution scheme for comfortable profitable trading:
In the chart we see, in addition to the distribution of the initial deposit is important and the distribution of profits. High risks are allowed only on earned funds from medium-term and short-term strategies. Also, to maintain profits from long-term trade, they are redistributed into an investment strategy, where capital enters a stage of calm and smooth accumulation and reinvestment.
However, this chart is perfect for a comfortable phase of trading. If your goal is to form a priority deposit or move to long-term investments as soon as possible, there are other ways to redistribute capital (link to another page)
Join us and trade confidently and profitably!
You can get acquainted with each local strategy in more detail by following the link: