I Teach a Beginner How to Trade Memecoins

This is Martin. He's a complete beginner in meme coin trading. So tell us why you're here Martin. Well, I've been constantly getting rugged. My portfolio is at all time low. I need some help. Today I'm going to be showing Martin how I win my meme coin trades using a reliable strategy that I've used for Brett, Floki, Mumu the Bull, all of the big winners that we've talked about on this channel. Just keep in mind that meme coins are extremely volatile. I ain't your financial advisor, bruv. This video is for educational purposes only. Let's get started. So the strategy I'm using is called order block trading. It basically means a zone of interest for buying opportunities. So isn't this the same as support and resistance? Yes, exactly. It is the same as support and resistance, but order blocks focuses more on horizontal TA lines rather than parallel channels. And out of all the assets in crypto, meme coins respect horizontal lines a lot more. It's literally like a magnet. So how do you execute your strategy? Can you show it to me step by step? So basically there are four steps when I implement order block trading strategy. So first of all, I look for high volume, high attention meme coins. Then I look at wallet distribution. Then I multi-chart the several meme coins that I've selected at a four hour time frame. Then lastly, I evaluate my risk management and buy accordingly to my risk profile. I have to write all of that down. Don't worry. I'll explain in detail for each of these steps. All right. Okay. First step looking at high volume, high attention meme coins. So I look at Twitter first and I want to see what people are talking about. So there's this person I follow. He's called Melo Metrics. He updates every day about the recap on meme coin scenes. So here he talks about the different metas of meme coins. You can see that there's the Huck Tool meta, right? There's the dog meta coins. There's slang meta. There's Matt Fury meta, which I like trading and I'll get into that later and other different types of metas of meme coins. Okay. Now that I've read this, I have an understanding that, okay, these metas are in play. Are there any other tokens belonging in this meta that have seen a 20 to 40% drawdown? Then I look at the tokens that are trending on bull X and photons. So these are also great websites that you can see. So specifically, what I'm looking at is their volume and their price action represented in percentage. What I want to look for are tokens that have good community, strong marketing, really good team, preferably if they're doxxed, good collaboration with other meme coins, in particular, the really good meme coins. That's why I like Matt Fury meme coins. Basically, the meme coins that I look at are older meme coins, not necessarily new meme coins. This is where the order block trading strategy comes into play because you need some sort of historical data in the chart for the order block to be formed. For example, spike. So spike is talked about in the tweet, right? So you can see that there's an order block being formed here. There's a very strong buying interest here between 29 million and 31 million market capital. Now that it's already pumped, it might come down. So there's two possibilities that will happen. It will come down again to the order block or it will send back up. So how you become profitable from this, even though you miss this order block, I will talk about that later on in the later steps. So sometimes I see a lot of price action. There's a lot of attention in the coins that I'm looking at, but how do I avoid getting rugged? How do I counteract that? Okay, so that is the last step when it comes to your fundamental research, right? So you pick the coin that has good community, good marketing, good price action, good momentum, good plans in the future. The last and most important step is to look at who the top holders are. This is what I mean by step two, wallet distribution. So recently, there's a token called WATER, right? It's a very popular token shilled by Lionel Messi. But what it turns out was that 30% of the token supply is controlled by the developer. You can see that even though the number one holder here holds 5.78%, this wallet is connected to all of these different wallets that are highlighted in light blue. This is important because they are the ones who are controlling most of the token supply. So you're literally at their mercy if you're buying this token. They have the power to dump 30% of their supply into the market causing a very big crash. So you end up being the exit liquidity. So it's a red flag when they have 30% of the supply. Yes, most of the time. Now on to step three, the actual charting then the trading, right? So for order block trading strategy, I primarily look at the four hour time frame. So what are the differences between the different time frames? That's a good question. So selecting a time frame depends on your exit strategy. So if you're looking to scalp in and out very quickly, usually people go for the one second, one minute, five minutes, sometimes even 15 minutes. The one to four hour is better if the meme coin has been out for several weeks at least, right? You need maturity, you need the price action to form in order for you to draw the order block. So how do you draw an order block? For you to draw an order block, there has to be a lot of lateral movement in the span of days and even weeks. The longer time where the lateral movement is stuck between that range is where the order block is gaining more strength. The swing low should be the starting point of your order block. But that swing low has to have a lot of lateral movement preceding that swing low. Here you can easily tell that there's a lot of buying interest between the 29 million and 31 million market cap, right? Whenever price dips back down here, it gets absorbed by the market. People just start buying. And here's the tip that I want to give you. This is something that is overlooked a lot. Is that the first pump off of the order block doesn't necessarily mean that it's just going to go up, you know? Like, oh, we're going to the moon. Not necessarily. The first pump is usually a confirmation of strength. Okay? So recently there was the mad coin, right? The mad coin, you can see the order block being formed here. I actually drew this back here last week and it started taking off. It started taking off and then it got rejected. Price kept declining on the four hour chart reaching this order block. Now, the supply gets absorbed again. This first pump right here, this first candle on the four hour chart signals that this coin is strong. It's not dying. It's here to stay. The first pump is not for me to take profit yet. It's for me to recognize that there's strength and momentum in this token and it's just going to take a while for the token to form in terms of price action. And will it be pushed further by interest in retail? Same thing happened with Pongke in the early days, right? Way back January 17 all the way to late February. You can see whenever price dips down here, it moves sideways. And the more it moves sideways, the more strength that the order block has until one day it starts pumping like really strong, right? And people are asking, well, why did it pump? Why did it pump? Because the more lateral movement, the higher the volume, the more the token is being talked about on Twitter, the stronger their marketing. So Pongke has a lot of Instagram posts that you saw those memes, right? You saw those memes, really money ass memes, even on Twitter. These sort of activities then smart investors will know, okay, this is worth buying, right? So another rule of thumb here is don't buy into green. Wait for it to retrace. Border blocks are like a magnet. They always come down. Price always come down compared to other altcoins, sometimes even Bitcoin and Ethereum. I've never seen an asset that respect horizontal TA line much more than meme coins. So as long as MAD is performing well, pushing out more content, doing more marketing, collaborating with other strong meme coins and even other strong Solana protocols who are willing to list their assets. So for example, maybe if Camino Finance wants to list their asset as a borrowing and lending asset, that could also be a factor, right? The most important thing you need to know is if there's development happening behind the scenes outside of the TA that reinforces your bias. So this is a time to be dollar cost averaging. Yes. So which brings me to step four, risk management and trading. You've drawn your order block. What do you do? When do you enter? So best case scenario, of course, is just to wait for price to come down to the order block and buy, right? That's no brainer. That's no brainer. But how you mitigate your risk, Martin, you tell me. You have 10 Sol in your wallet. How much Sol are you willing to risk? All in. All in. Yeah. Now this one is dangerous. You shouldn't do that because there's no risk management done there because you don't know if the token will go up and down. Order block is just giving you a structure to follow. It's limiting your choices, right? Either it breaks below the order block and never reclaims it or it sends all the way up. So I'll sidetrack a little bit and look at Landwolf. So Landwolf, you can see same same time frame, four hour. Back in June, you see this strong order block being formed here, right? Whenever price comes down here, it gets absorbed by market and it pumps back up. Then the final breakout was here, but it fails to pump and it dumps, right? It breaks below the order block and now it's in price discovery. So this is where you manage your risk, right? If you lose 10 Sol, you're going to be angry. You get emotional. You do stupid things if that happens, right? Emotions are not something to be overlooked at. It's very, very powerful, very destructive, if not handled properly, if not managed properly. So looking back at MAD, because I'm currently trading this right now, I have entered at the 10 million market cap. So my first buy was at the 7 million here on July 6, right? Then I took profit at 10 million. I see that, oh, it's pumping again. I should enter. So I wait for it a little bit and when it was around here, I bought back in because there was another order block being formed here, right? Yet again, a lot of lateral movement, you see? Lateral movement. When these candles are hugging together, this is also considered an order block. So I bought back in here. Obviously I didn't put all everything, right? I have 50 Sol in my wallet. I'm willing to risk 20 Sol for this trade because I like this project, right? So what I do is I don't put 20 Sol yet. I dollar cost average. So how I dollar cost average is I determine how many buys I'm going to make. I'll make three buys. So my first buy will be 33%. So 33% of 20 Sol, that's 6.6. So I would buy 6.6 Sol here at the 10 million market cap. If it takes off, then that's great. Then I make a profit on my 6.6 Sol. That's okay. I don't have pennies riding on the wave, right? But if it comes down here, this is a blessing in disguise. Because if I know that this project is going to do very well, then I'll just split it up again. So my second buy will be 6.6 Sol again, right? So I put 6.6 Sol here, okay? Then if I'm anticipating that it's going to flirt around the order block, then I put another last buy at 6.6 Sol here. So currently, I have 13 Sol on this trade right now, right? Well now it's a little bit less below 13 Sol because I did buy here. But because I'm averaging it out, my average buying price is around here. So I am down 3 Sol for now. So by DCAing, even if I am wrong, right? If my bias is wrong and this token never ends up going up, I'm like, okay, this project is dead. I'm just going to take my loss and sell all of my position. At least I'm selling it at this price here instead of here, right? So I cut my loss a lot more than I would sell fully here. So that's how you DCA into meme coins. And it's not a sexy strategy because it's a lot of management, a lot of position managing. That's what you have to do. So in conclusion, order block trading strategy focuses more on horizontal TA lines, horizontal support that is, right? It's literally like a magnet and this is a textbook play. This is actually the easiest asset that I've traded compared to other altcoins because it's also a 100% fair launch. Most meme coins have 100% fair launch and which is why I also think that they respect horizontal line TAs a lot more because it's 100% fair launch compared to parallel channels. Because when you see like these sort of movements, it means manipulation, right? It means manipulation. This one is like a straightforward pump and dump but the horizontal line, the support after the dump represents buying interest if it does pump. So trick here is not to catch the falling knife. Draw your order block. The first pump after the order block should be the signal for you that this coin has strength. There's buying strength in this coin. So first pump, right? Don't feel bad that you missed the first pump. The first pump is actually your recognition, right? So I hope that helped you. There you go. Thank you so much, man. I'm gonna be a meme coin millionaire now. All right, man. Good luck. Shunna now!