From Failure to Financial Freedom: My Trading Journey and Winning Strategies

A few years ago, I ventured into the world of stock trading, full of optimism and ambition. In the first three years, I invested 1 billion VND just to see my account drop to only 100 million VND due to poor strategies and impulsive decisions. Determined to turn the situation around, I promised my partner that I would use the remaining funds wisely and make one final transaction. I spent months studying market patterns, refining my approach, and developing rules to minimize risks. This commitment has been rewarded spectacularly: I turned 100 million VND into over 2 billion VND in just 1 year. This is not a stroke of luck, but the result of relentless learning, discipline, and systematic approach. Below, I share the main principles and strategies that have helped me succeed. Whether you are a beginner or an experienced trader, this profound understanding can guide you to make better trading decisions. Main Trading Principles

1. Understand market psychology The market operates as an emotional entity, and recognizing these emotions is crucial. Trading volume often reveals fundamental psychology: During a recession: If the trading volume increases but the price stops decreasing, it may indicate the end of the downward trend. Breaking important levels with large volumes often signals the continuation of the downward trend. During an uptrend: Continuous increase in volume in an uptrend indicates strength. A sudden increase in volume may signal an upcoming reversal.
2. Identifying important price levels Important price levels—such as support, resistance, and trend lines—are the foundation of successful trading. To identify these levels: Use tools like Fibonacci retracement to determine reversal potential. Monitor price reactions near these key levels and take decisive action when they are tested or broken. Time Frame for Successful Transactions Different time frames bring their own advantages, depending on your trading style: 1-minute chart: Ideal for accurately identifying entry and exit points.5-minute chart: Useful for short-term trading and immediate price volatility observation.1-hour chart: Helps you grasp the overall market trend and assess long-term trends. Professional tip: Never chase losses. If a trade doesn't go as expected, take a step back, review your plan, and consider the next trade as a fresh start. A simple and effective trading method This beginner-friendly approach revolves around moving averages, helping smooth out price fluctuations and revealing trends:
3. Setting up the moving average line Add moving averages to your chart: 6-day moving average: Reflects short-term trends. 20-day moving average: Represents medium-term trends. 40-day moving average: Acts as long-term support or resistance level.
4. Capital allocation by stage Divide your trading capital into three equal parts: Stage 1: When the price crosses the 6-day moving average, invest 33%.Stage 2: If the price crosses the 20-day moving average, invest another 33%.Stage 3: Allocate the final 33% when the price crosses above the 40-day moving average.
5. Escape strategy Protect your profits by selling in stages: Sell 33% if the price falls below the 6-day moving average. Sell another 33% if the price falls below the 20-day moving average. Exit completely if all three averages are broken.
6. Immigration re-entry rules If the price recovers above the 6-day or 20-day moving average, re-enter by using a similar phase allocation strategy.
7. Sell at a high level In a downtrend, reverse your buying strategy: Sell 33% when the price falls below the 6-day moving average. Continue to sell in stages when the price falls below the 20-day and 40-day moving averages. The power of discipline No strategy, no matter how reasonable, can guarantee success without discipline. Trading on emotion, ignoring stop loss levels, or deviating from your rules can lead to significant losses. The essence of successful trading lies in consistency, patience, and unwavering adherence to your plan. This method not only changes my trading career but also changes my life. Although the journey is not easy, the rewards are worth every sacrifice. Remember, success in trading is not about pursuing perfection but about managing risks, continuous learning, and maintaining discipline. If I can turn 100 million VND into over 2 billion VND, you can achieve remarkable results too. Start small, be persistent, and have faith in the process. By following these principles, you will not only become a better trader but also build the necessary resilience to overcome market fluctuations. Good luck on your trading journey.