Risk Warning
Advanced trading strategies involve significant risk. Never invest more than you can afford to lose. Past performance does not guarantee future results. Consider starting with paper trading to practice.
What You'll Learn
- Four proven trading strategies
- Technical analysis indicators
- Risk management techniques
- Automation with trading bots
Trading Strategies
Dollar Cost Averaging (DCA)
Reduce volatility risk by buying at regular intervals
Steps
- 1Choose a token you believe in long-term
- 2Set a fixed amount to invest regularly (daily/weekly)
- 3Use our DCA bot to automate the process
- 4Monitor performance over months, not days
Pros
- Reduces timing risk
- Emotional discipline
- Works in all markets
Cons
- May miss quick gains
- Requires patience
- Still exposed to overall market risk
Grid Trading
Profit from sideways markets with automated buy/sell orders
Steps
- 1Identify a token trading in a range
- 2Set upper and lower price bounds
- 3Configure grid levels (typically 10-20)
- 4Let the bot execute trades automatically
Pros
- Profits in sideways markets
- Fully automated
- Consistent small gains
Cons
- Vulnerable to trends
- Requires range-bound markets
- Complex setup
Momentum Trading
Ride strong price movements with technical indicators
Steps
- 1Use RSI and MACD indicators
- 2Look for volume confirmation
- 3Set tight stop-losses (2-5%)
- 4Take profits quickly (10-20%)
Pros
- High profit potential
- Quick gains possible
- Works in trending markets
Cons
- High risk of losses
- Requires constant monitoring
- Emotional stress
Arbitrage
Profit from price differences across different exchanges
Steps
- 1Monitor price differences across exchanges
- 2Execute simultaneous buy/sell orders
- 3Account for trading fees and slippage
- 4Use our arbitrage scanner for opportunities
Pros
- Low risk
- Consistent profits
- Market neutral
Cons
- Small profit margins
- High competition
- Requires significant capital
Technical Indicators
RSI (Relative Strength Index)
Measures if a token is overbought (>70) or oversold (<30)
Usage:
Buy when RSI < 30, sell when RSI > 70
MACD
Shows the relationship between two moving averages
Usage:
Buy when MACD crosses above signal line, sell when it crosses below
Bollinger Bands
Price channels based on standard deviation from moving average
Usage:
Buy near lower band, sell near upper band
Volume Profile
Shows trading volume at different price levels
Usage:
High volume areas act as support/resistance levels
Risk Management Rules
Position Sizing
- • Never risk more than 2-5% per trade
- • Use position calculators
- • Scale position size with confidence
- • Keep emergency cash reserves
Stop Losses
- • Always set stop losses before entering
- • Use 2-5% for swing trades
- • Trail stops in profitable trades
- • Never move stops against you