Copy Trading Master’s Winning Strategies Review — Episode 54
Easy Follow, Smart Trade! Discover the winning strategies of our popular traders.
- Copy Trading Master’s Introduction
User Nickname: BlingBling~
Trader’s Profile: https://www.lbank.com/copy-trading/lead-trader?id=LBA3D77565
Trading Style: Swing Trading
2. Trade Operation Recap
Short ORDI with 10x leverage on cross mode, opening at 31.23 USDT, closing at 28.229 USDT, achieving a profit of +96.09%.
3. Trade Review
3.1 Market Background
On Friday, August 2nd, U.S. July non-farm payrolls plummeted from the previous 179,000 to 114,000, significantly below the expected 175,000, while the unemployment rate rose to 4.3%, a three-year high. This triggered the “Sahm Rule,” a highly accurate recession indicator.
On Thursday, August 8th, data from the U.S. Department of Labor revealed that for the week ending August 3rd, initial jobless claims were 233,000, lower than the expected 240,000 and the previous 249,000, marking the largest decline in a year.
By August 14, the US Bureau of Labor Statistics announced that July CPI increased by 2.9% year-over-year, below both the expected and previous rate of 3%. This marks the fourth consecutive month of decline for core CPI, reaching the slowest pace since early 2021, potentially paving the way for a 25 basis point rate cut by the Fed in September.
The weak July non-farm payroll report heightened the risk of a hard landing for the U.S. economy, triggering a wave of risk aversion. Following this, U.S. July inflation data was released, showing a much better-than-expected result. The disappointing employment data caused panic, leading to a sharp drop in U.S. stocks. Subsequently, officials from the Bank of Japan and U.S. economists reassured investors, leading to a gradual market rebound.
3.2 Trade Analysis
From August 3rd to August 19th, Bitcoin’s 4-hour chart showed a continuous decline, followed by a rebound and another drop, as shown below:
On July 31st, the Bank of Japan announced its latest interest rate decision, raising rates by 15 basis points and setting the policy rate between 0.15% and 0.25%. The decision was passed with a 7–2 vote, contrary to market expectations of no change.
On Friday, August 2nd, U.S. July non-farm payrolls plummeted from the previous 179,000 to 114,000, significantly below the expected 175,000, while the unemployment rate rose to 4.3%, a three-year high.
The Bank of Japan’s unexpected rate hike squeezed international arbitrage trades, and the subsequent underperformance of U.S. July employment data exacerbated the situation. These macroeconomic shifts led to panic in U.S. stock markets, causing a significant market retreat.
The weak July non-farm payroll report triggered a wave of risk aversion. However, when U.S. July inflation data was released, it was much better than expected. The disappointing employment data caused panic, leading to a sharp drop in U.S. stocks. Subsequently, officials from the Bank of Japan and U.S. economists reassured investors, leading to a gradual market rebound.
On August 13th, Bitcoin fell from $62,000 to $58,500, followed by a rebound. On the 1-hour chart, BTC encountered strong resistance around $62,000.
On August 12th, ORDI quickly rose from $26.8 to around $31.5. The next day, ORDI prices fluctuated slightly within the $31–30 range. At the same time, Bitcoin prices continued to be suppressed by the $62,000 resistance. It was judged that ORDI might be primarily catching up in price. Considering that Bitcoin had repeatedly failed to break through $62,000, it was likely to experience a significant pullback. Therefore, a short position was opened near ORDI’s short-term high.
As the market overall retreated, prices gradually declined. When ORDI dropped to its previous low of $26.5, it began to rebound. After that, prices consolidated again around $28. At this point, the short position was closed. As shown below:
3.3 Winning Strategies Summary
Since August, U.S. financial markets have experienced significant volatility, with the cryptocurrency market also entering a period of high volatility.
In fluctuating markets, the strategy generally involves buying at sub-low points within a “box range,” setting stop-loss orders below the lowest point; and selling short near the upper boundary of the range, setting stop-loss orders above the highest point.
In a volatile market, short-term swing trades are preferred, with a focus on buying low and selling high. Avoid chasing the market or panic selling.
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