The 1. Jiang En theory is a unique analytical method and market measurement theory established by William Gann, a master of investment, through the comprehensive application of mathematics, geometry, religion and astronomy. It combines his remarkable achievements and valuable experience in the bitcoin and futures markets, including the time rule of Jiang En, the price law of Jiang and the line of Jiang En.
Gann's theory holds that the trend of market price movements is not chaotic, but can be predicted by mathematical methods. Establishing a strict trading order in seemingly disordered markets can be used to find when prices will be callback and what price will be callback.
2. Gann believes that most people lose money in the trading market for three main reasons:
(1) frequent operations, short lines and short lines in the market are required to have high operational skills. Before investors have no control of these skills, too much emphasis on short lines often leads to loss.
(2) investors do not set up stop points to control losses. Many investors suffered huge losses because they did not set up a suitable stop point, resulting in their mistakes developing indefinitely and losing more and more. Therefore, learning to set up stop points to control risks is one of the basic skills that investors must learn.
(3) lack of market knowledge is the most important reason for loss in market transactions. Some investors do not pay attention to the knowledge of the market, but the view that how the market is, does not distinguish the authenticity of the news, the results are misleading and suffer huge losses. Some investors only use some books to guide their practice, and do not discriminate, resulting in huge losses. Gann emphasizes market knowledge and practical experience. And the knowledge of this market tends to be in the market for a long time.
3. Jiang's rule of callback: the callback refers to the temporary reversal movement of price in the main movement trend. The theory of callbacks is an important part of Gann's theory of price. According to the concept of price level, 50% and 75% as a callback position constitute strong support or resistance to the trend of price movements.
Each 8 equal and 3 equal price horizontal lines represent support lines or resistance lines for different grades of future price movements. Of these, 50%, 63% and 100% were the most powerful. Whether the price rises or falls, the most important price is in the position of 50%, and the price callback often occurs in this position. If there is no callback at this price, there will be a callback at the price of 63%. In the price, 30%, 63%, and 100% are most important. They correspond to 45 degrees, 63 degrees, and 90 degrees respectively. These prices are usually used to determine the 50% tone belt. After the price reversal, it often reaches the location of the Gann price belt and reverses again. Even though the price of the day is faster than that of Gann's callback, the closing price often falls in the callback zone.
4. law of sale:
(1) divide your capital into ten shares, and each time you enter the market, the loss will not exceed 1/10 of the capital.
(2) set the stop loss position to reduce the loss that may be caused when the transaction is wrong.
(3) not to overdo the sale;
(4) not to allow the holding of the position to be lost;
(5) instead of going against the market, it is better to look at the market when the market trend is not obvious.
(6) be firm when entering the market, and do not enter the market when hesitant. It is not appropriate to operate in active markets only when trading is light.
(7) avoid limiting prices and enter the market and buy and sell in the market.
(8) the profit can be guaranteed by the use of the stop loss.
(9) in the market, after Lien Chan wins, some profits can be raised to prepare for urgent needs.
(10) buy bitcoin only to hope for interest.
(11) when the business is lost, avoid increasing the price and try to pull down the cost.
(12) do not enter the market because of impatience, nor do you want to clear out because of impatience.
(13) do not make a deal to earn less.
(14) the stop loss placed in the market should not be cancelled at random.
(15) to make more mistakes, to enter the market to wait for opportunities, not to sell too much.
(16) not to make a single side only.
(17) do not absorb because of low price, nor do you want to be empty because of the high price.
(18) avoid pyramid overweight at inappropriate times.
(19) never hedge.
(20) avoid changing the trading strategy of the positions held without proper reasons.