2025-12-29 15:24:55

After many years of trading, someone asked me why I can consistently make profits every month. To be honest, the secret is simple, but it requires long-term discipline—the core principle is to use half of your position to stay in the market, placing "controlling losses" before "pursuing huge profits."

I have repeatedly tested this method in real trading and also used it to guide some traders. I can't guarantee you'll skyrocket overnight, but it can help you avoid many fatal mistakes.

**The first key: Split your position, never be carried away by a single market wave**

No matter how much your capital is, divide it into 5 parts. Use only one part for each trade. This way, even if you make 5 wrong calls in a row, your total capital only decreases by 10%. Set your stop-loss at 10%, controlling the maximum loss per trade to 2% of your total funds. If your direction is correct, your take-profit space will definitely be larger than your stop-loss, and over the long term, you'll naturally win.

**The second key: Follow the trend, don't try to be a hero against the trend**

A rebound during a downtrend? That's mostly a trap. A pullback during an uptrend? That's the real entry point. Instead of struggling to catch the bottom, ask yourself: am I betting on the direction, or am I really adding to my position in line with the trend? Once the answer is clear, trading becomes simple.

**There are two more execution details worth noting**

First, avoid coins that experience short-term rapid increases. Whether mainstream or small-cap coins, very few can sustain multiple major upward waves. After a sharp rise in the short term, the market often faces stagnation or sell-offs. Chasing high at the top has a very low success rate, but many still can't resist. Second, technical indicators like MACD are only auxiliary tools; don't rely on them blindly. They are references, not gospel.

The core logic of this system is: survive first, then make money.

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ChainDoctor

· 8h ago

It sounds like the only way to make money is to live longer, and there's no problem with that logic. --- Losing 5 times in a row with only a 10% retracement sounds easy, but how many people can actually execute it? --- I just want to ask, can monthly profits really be sustained, or do we just make money this month only to lose it all back next month? --- Short-term skyrocketing coins are indeed easy to get cut, but sometimes not chasing them makes you watch them rise helplessly, which is even more painful. --- I’ve memorized the 2% stop-loss figure; it's much better than my previous casual stop-loss approach. --- Adding positions in line with the trend sounds simple, but judging the trend itself is a big trap, right? --- I don’t believe blindly in MACD, I agree, but how many real traders dare to operate without looking at indicators? --- Half of the position lives in the market, what about the other half? Are they still waiting for an opportunity? --- Living first, then making money—this phrase is worth repeating, unlike those nonsense about getting rich overnight. --- Having 5 parts of your position seems diversified, but if the overall direction is wrong, losing 5 times still means you have to exit.

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OptionWhisperer

· 8h ago

You're right, the key issue is really mindset. Most people die because of greed. Controlling drawdowns is spot on; I've seen too many people go all-in and end up out of the game. I have deep experience with following trends—so many times trying to bottom fish turned into depleting my assets. The five-part position method sounds simple, but in practice it's easy to break discipline; you have to be really strict. I've also learned to resolutely ignore coins that surge short-term; the temptation is still there. The most important thing is to stay alive—once you're dead, everything is over.

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SnapshotDayLaborer

· 8h ago

That's right, living is the most important thing, but very few people can truly stick to this discipline. Making a profit every month sounds comfortable, but the key is having a stable mindset. That's why most people lose money; greed kills. Splitting positions is really useful, but most people simply can't endure it. The point about riding the trend hit the nail on the head; many people get caught on the wrong side of the trend when bottom-fishing. It sounds simple, but actually executing it is deadly. I always want to take a gamble too. That's the core, but why are so many people aware of it yet only a few actually make money? The execution of stop-loss determines life or death, no doubt. I always regret chasing at too high a position every time.

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SelfSovereignSteve

· 8h ago

That's right, controlling drawdown is about living longer; only by living longer can you make big money. Stop-loss is really the hardest to execute; clearly, a 2% loss should be cut, but I always want to wait a bit longer. Bro, this 5-position method is indeed classic, avoiding the tragedy of being washed out by a market wave. I just couldn't control the stop-loss properly, and I've never recovered since. Following the trend is so much better than bottom-fishing, especially for beginners who always want to be heroes, but end up dying at the bottom. Once you feel it, you're just afraid that people who understand these principles still can't shake the gambler's mentality when executing. Don't touch coins that are skyrocketing; I've been caught in the trap several times, I just can't control my hand. This is the simplest truth in trading, but unfortunately, most people have to go through a margin call to understand.

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PessimisticOracle

· 8h ago

Well said, but executing it is a bit of a torture. Surviving after 5 wrong guesses, I really respect that. The bottom-fishing strategy really needs to be changed; every time it gets slapped in the face. There's nothing wrong with position management, I'm just afraid human nature can't pass the test. Short-term skyrocketing coins? I've quit, learned my bloody lesson. Indicators are not gospel, so what did I believe in before? You have to be alive to make money, it's easy to say but hard to do. Monthly profits? I just want to know how much the maximum drawdown was. This systematic approach is definitely better than random guessing, but how much is the actual execution rate?

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