My futures experience comes from Tianya Forum Sea Turtle

Let's talk about the turtle trading rules in detail below. If you want to make money in the stock market, you have to buy low and sell high, but how to judge when it is low and when it is high? There is a judgment method in the turtle trading rules, which can be used as our reference.
1. Support and resistance levels
Now you can imagine a stock market price chart in your brain, the K line goes up and down, just like an electrocardiogram. At this time, you intercept a certain K-line, and you find that this K-line always fluctuates between $15 and $17. Here, $15 is called the support level, and $17 is called the resistance level.
It means that around $17 is like a resistance that keeps the price from rising, and $15 is like a support that keeps the price from falling. Once the price breaks through the support and resistance levels, the price will continue to move in the direction of the breakthrough, and it will continue for a long time, which is called a "trend".
The reason for the phenomenon of support and resistance is the irrationality of people in the trading market. The anchoring effect and recent preferences will allow people to judge the stock market price based on the recent information that is easily obtained, which causes the stock market to fluctuate between support levels and resistance levels.
2. Market entry strategy
When is the best time to buy? The first is a short-term strategy. You have to refer to the price trend of the last 20 days. Once you break through the resistance level within 20 days, which is the highest point, you are buying and doing long stocks. Conversely, once it breaks through the 20-day support level, which is the lowest point, then sell and short the stock.
The other is a long-term strategy. You have to refer to the price trend of the last 55 days, and then operate the same as the short-term strategy. Break through the resistance level, buy, and go long; break through the support level, sell, and short the stock.
3. Timely stop loss
There is an old saying in the trading industry: "A person who is safe in his pocket will never go bankrupt." Therefore, in order to prevent losing money, you must set a stop loss point. Once the price reaches the stop loss point you set, you must exit. Don't hesitate, all hesitation will lead to disaster. At what price should the stop loss point be set?
The author believes that if you use a short-term trading strategy to enter the market, once the price falls below the lowest point in the past 10 days, you should get out. Conversely, if you are shorting stocks, then refer to the highest point in the past 10 days, and exit once it exceeds the highest point. If you enter the market with a long-term trading strategy, you have to refer to the price of the past 20 days to decide whether to exit.
So when to sell to get as much profit as possible? Only after the trend stabilizes, that is, when the stock price begins to hover around the support level and resistance level again, should it be considered to sell stocks to cash out. The author believes that as long as you strictly abide by this set of trading strategies, in the long run, you can buy at low prices and sell at high prices.
Remember to control losses, the most important thing is to determine the exit criteria before entering the market. Once the price reaches your stop loss standard, you must get out, steadfast, without exception. hesitate and move