2026-01-02 21:21:59

$MAGMA this asset has some interesting technical aspects recently. Seeing a volume breakout through a key resistance level, combined with the 5-day, 10-day, and 20-day moving averages all showing a bullish alignment, this is a signal to open a position.

How to manage risk after entering? Start with 30% of the position size to avoid being fully locked in at a loss. Clear stop-loss levels are defined: if the price falls below the breakout level or the 5-day moving average, exit immediately. Keep individual losses within 2%, so even a few stop-losses won't wipe out the principal.

It's time to take profits, and the strategy must be clear. The first wave of selling takes 30%, targeting previous high points, locking in gains. Keep the remaining position and wait until the previous high plus the measured increase range, then close all remaining positions. This way, profits are locked in while still leaving room for a big market move.

There is a strict rule during holding: as long as the 5-day moving average hasn't been broken, continue to hold. But never chase the high to add to your position; increasing risk without purpose. Strictly following this discipline will greatly improve stability.

MAGMA6,08%

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GweiWatcher

· 01-04 00:21

Speaking of this stop-loss logic, it sounds so familiar, but how many can actually execute it... I feel most people will still resist closing their positions😅 I just want to ask, is the 5-day moving average really that magical? Last year, I saw quite a few people get stuck here. Whether this MAGMA can really break out depends mainly on whether the trading volume can keep up. Fake breakouts are exhausting. The 30% initial position idea is pretty good, at least it reduces psychological pressure a bit, so you don't have to go all-in right from the start.

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JustWaitQuietly

· 01-03 11:38

It's just a bunch of shills gathering here all day. Is it interesting? No matter how much you post, there's no popularity. Everyone disperse.

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DeFiGrayling

· 01-02 21:51

Reasonable, this risk control logic has no issues, 30% testing is indeed stable. Just worried that during execution, the mentality collapses; when hitting the daily limit up, wanting to go all-in, but ending up with a sharp dive and heavy losses. Clearing the position immediately when the moving average breaks is something I approve of—no entanglement. By the way, how is MAGMA's current volume? Is it really a valid breakout? Where is the previous high stuck? You need to have a clear idea. A 2% stop loss is a bit tight; a large slippage can wipe it out immediately. Not chasing highs is the hardest part; watching others soar to the sky kills me.

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TestnetFreeloader

· 01-02 21:51

The moving averages are arranged so beautifully, it feels like this wave is secured. Set your stop-loss properly and don't be afraid; I can accept within 2%. But what I fear the most is the moment of chasing the high; a little carelessness and it could turn into a crash. The 30% partial position is indeed a safe move; learned that. The 5-day moving average is the red line; if it breaks, run—no discussion. Being able to steadily profit is much more appealing than full positions leading to sudden wealth; spreading out risk is the key. We must strictly adhere to this discipline; greed is just for making money.

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DataChief

· 01-02 21:49

I have to say, this logic is indeed solid with a 30% initial position, but how many can actually execute it properly? No matter how well you phrase it, there will still be doubts at the moment of stop-loss. I've seen too many manipulative moves involving moving averages. However, this risk control framework is much stronger than full-position gambling. The key is whether you can hold onto that 5-day moving average; once it's broken, I will exit. It's not easy for the market to reach such a breakout point in this wave, so this is a rare opportunity.

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MetaReckt

· 01-02 21:42

This risk control approach still has some merit; opening 30% of the position is indeed prudent. I'm just worried that if it really breaks the level, it might not be able to be pulled back.

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