Ten years ago, I entered the market with just 20,000 yuan, and now I can make a living from trading without worrying about money—sounds unbelievable, but that’s exactly what I did.

There’s no secret, and I didn’t get lucky. I just stuck to a set of rules that might seem “dumb” to most people, but I followed them religiously. I’ve used this approach for years, and now I’m laying it out for you:

**Rule 1: Learn to Divide Your Money**
Don’t go all in. Split your principal into five parts and only use one part per trade. Limit each trade’s loss to 10%, which translates to a 2% loss of your total funds per trade. Even if you lose five times in a row, you’re only down 10%, but if you catch a big win, you can make up for earlier losses and still have gains left over. Once you get this math, you’ll stay calm.

**Rule 2: Don’t Go Against the Trend**
Buying the dip when prices are falling? You’re likely catching a falling knife. In a rising market, cashing out too early? You’ll often sell halfway up. The market’s direction is smarter than you—following it is a hundred times better than fighting it.

**Rule 3: Don’t Touch Coins That Have Soared**
Tempted by coins that have doubled in a short time? Those are almost always traps to draw in new buyers. Whether it’s a major coin or a small one, if it’s spiking crazily, it’s a hot potato. Keeping your hands off is more effective than any technical analysis.

**Rule 4: Indicators Are Tools, Not Magic**
I often use the MACD: when the DIF and DEA lines form a golden cross below the zero axis, it may be worth entering; when they form a death cross above the zero axis and head downward, it’s time to get out. Another rule—never add to a losing position, only consider adding when you’re already in profit. This cures the itch to overtrade.

**Rule 5: Volume Tells the Story**
A breakout on high volume from low levels usually signals a trend is coming. To track the trend, focus on the 3-day, 30-day, 84-day, and 120-day moving averages—only act when they all turn upward. Don’t guess blindly, only act when the odds are in your favor.

**Rule 6: Reviewing Is More Important Than Trading**
After every trade, ask yourself: Why did I buy? Where did I go wrong? Has the weekly trend changed? Real winners aren’t just lucky guessers—they refine themselves through constant review.

This approach isn’t fancy, it’s even a bit old-school. But the market doesn’t care how flashy you are—it only cares if you stick to your rules. After ten years, I’ve learned one thing: if you can stay calm when others are anxious, and keep your rhythm when the crowd is excited, the money will naturally come to you.