Short-term trading strategy for altcoin_Summary of practical skills in day trading
Jul 15, 2025 pm 10:39 PMShort-term trading strategy for altcoin_Summary of practical skills in day trading
Altcoins have become a hot spot for short-term traders to pursue due to their violent volatility and relatively low liquidity. Intraday trading requires quick capture of market opportunities, control risks, and pay attention to strategy and execution. Mastering a set of practical short-term operation skills is crucial to improving profitability.
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1. Choose the right trading type
- Altcoins with sufficient liquidity: Avoid excessively unpopular currencies causing excessive bid-ask spreads.
- Pay attention to the types of trading volume: active trading is often accompanied by short-term trends.
- Choose currencies with clear technical support and reduce blindly following the trend.
2. Use technical indicators to assist in judgment
- K-line pattern: captures reversal signals such as engulfing lines, hammer lines, crosses, etc.
- Moving average system: Short-term moving average crossing can be used as a buying and selling point prompt.
- Combined with the Relative Strength Index (RSI) and MACD assist to confirm the overbought and oversold status.
3. Set reasonable stop-profit and stop-loss
- Short-term trading is sensitive to stop loss, and a stop loss ratio of 2%-5% is usually set.
- Set a stop-profit target to avoid greed and lose profits.
- Tracking stop loss method can be used to lock in profits while retaining room for upward.
4. Control positions and batch in and out
- Avoid full position operations and retain liquidity to deal with sudden fluctuations.
- Adopt batch buying and batch selling strategies to reduce the risk of wrong choice of buying and selling points.
- Adjust positions flexibly according to the market rhythm, and do not blindly increase or reduce positions.
5. Pay attention to market sentiment and news
- Short-term fluctuations are easily stimulated by news, so pay close attention to the market and industry trends.
- Use changes in community popularity to help judge the strength of short-term trends.
- Avoid chasing highs or panic selling when the news is extremely positive or negative.
6. Trading Psychological Management
- Stay calm and rational, and avoid emotional operations leading to major losses.
- Develop a transaction plan and strictly implement it to avoid arbitrary changes to strategies.
- Learn to summarize experience and continuously optimize trading methods.
Summary: Short-term trading of altcoins requires speed and discipline. Reasonable selection of currency, combined with technical indicators, strict risk control, and a good trading mentality are the key to success. Although the profits of intraday trading are considerable, the risks are high. It is recommended to do what you can and gradually accumulate practical experience.
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