How I made $4,700 in one month trading crypto

How I trade this setup

I look for a trend that's already moving, then wait for a pullback to enter. The idea is to catch the next move in the same direction.

I split the position into three limit orders. That's what I mean by DCA here. Each order adds to the same leveraged trade.

• In an uptrend, I look to buy the pullback after price breaks a significant previous high.
• In a downtrend, I look to sell the bounce after price breaks a significant previous low.
• I wait for the trend, wave position, and EMAs to line up before entering.

See examples of a long continuation ↗ and a short continuation ↗.

My three limit orders

I draw my Fibonacci levels across the impulse move and place limit orders at 0.618, 0.382, and 0.17. Each order is larger than the last. My stop stays at -0.05, and I move the take-profit target closer as more orders fill.

Adding more improves my average entry, but it also means a bigger position while price is moving against me. The order sizes, targets, and stop all need to be worked out before the first order fills.

The Fibonacci template

These are the levels for my entries, take profit, and stop. Having them on the chart makes the plan easier to follow, but price can still go straight through them.

• 0.618 is the first pullback entry.
• 0.382 is where I add the second order.
• 0.17 is where I add the third and final order.
• 1.272 is the first order's take-profit level.
• -0.05 is the stop for all three orders.

What I check before entering

I want all three of these to line up before I take a trade.

Long setup

1. Price breaks the previous significant high.
2. The pullback appears inside the third Elliott wave.
3. EMA 20 is above EMA 50, and EMA 50 is above EMA 200.

Short setup

1. Price breaks the previous significant low.
2. The bounce appears inside the third Elliott wave.
3. EMA 20 is below EMA 50, and EMA 50 is below EMA 200.

Counting Elliott waves takes some judgment. I look at the wave count alongside the previous high or low that broke and how the EMAs line up.

Six completed examples

These charts show winning long and short setups after one, two, or three orders filled. Click any chart to take a closer look.

How much I risked

I risked a maximum of 20% of my account per trade, across all three limit orders combined. On a $10,000 account, that meant risking up to $2,000 for a $400 target at 5:1 risk.

The calculator below works out the order sizes, adjusted targets, and potential profit. You enter your account size, the three limit prices, your first target, and your stop.

It starts at 10% risk. The original method uses double the account-size input for 20% risk, or half for 5%. Check the numbers against your exchange's contract and margin rules before placing orders.

Crypto DCA trend continuation strategy calculator ↗

When the third limit fills

When my third limit order fills, that's where I get emotional. My heart starts racing because I know one loss could wipe out the profits from five wins.

I start thinking about those five wins and how I could give all of that back on this one trade. I knew the risk going in, but it's still hard when I'm watching it happen.

But I've got to trust my setup and the strategy I chose to follow, even when I'm feeling that pressure.

My setup checklist

Market conditions

• I look for price action and an Elliott-wave structure I can read clearly.
• I avoid extreme volatility, major news, and geopolitical shocks.
• I avoid 8:00–10:00 a.m. Eastern around the New York open.

Timeframes and direction

• I check the daily chart for the trend and major levels.
• I decide whether I'm looking for longs or shorts, then look for entries on the 3-minute chart.

Levels and review

• Mark prior-day highs and lows, weekly levels, and round numbers.
• Watch for breaks or rejections.
• Backtest every rule.
• Record fills, exits, invalidations, and win rate.

I'm looking for a setup I can read clearly. Sometimes that means waiting.

Disclaimer and learning resources

Leveraged crypto trading can cause substantial losses. Past results do not predict future performance. Use only money you can afford to lose, check local regulations, and seek qualified advice for your circumstances.

Risk management

• Trading in the Zone by Mark Douglas
• Technical Analysis of the Financial Markets by John J. Murphy

Further study

• Elliott Wave theory
• Fibonacci trading methods
• Price-action trading