Sustainable trading profits are often built on adherence to fundamental principles rather than complex predictions. The following is a proven framework designed to help you stay resilient amid market fluctuations.

First, develop sensitivity to market sentiment cycles. When a strong asset declines for more than nine consecutive days during widespread panic, a rebound opportunity often emerges. Conversely, after any asset rises for two consecutive days, consider taking partial profits to lock in gains. For assets with a single-day increase of over 7%, the risk of chasing the next day is very high; wait until market sentiment stabilizes.

Second, maintain discipline in technical operations. Avoid trading assets that have experienced sharp gains in the previous bull market, as heavy trapped positions can hinder further rises. If the price consolidates for more than three days, be cautious; six days without direction may lead to long-term consolidation, which is not suitable for participation. If after opening a position the next day’s price remains below the cost, it usually indicates a wrong timing; consider stop-loss.

Volume is key to judging true momentum. Low-volume breakouts at low levels are opportunities, while high-volume stagnation at high levels signals an exit. Additionally, follow the short-term rhythm pattern of "three after five, five common seven": look for opportunities after two consecutive days of gains, and pay attention to short-term highs around the fifth day. Operations should follow the trend: a 3-day moving average trending upward suggests short-term trading; a 30-day moving average trending upward is suitable for swing trading; an 80-day moving average trending upward means you should not exit easily.

Finally, capital management is the foundation of survival. For small funds, the key to turning around is patience and waiting for high-confidence opportunities, rather than frequent trading. Before achieving stable profits, avoid full-time trading or borrowing to invest. The most reliable approach is to repeatedly execute simple, proven-effective actions to survive long-term in the market.