I recently came into contact with a trader whose state was extremely poor after getting liquidated.

The phone has become a nightmare - it's either debt collection calls or spam ads, I don’t even dare to look at my old number from 2015. What's worse is the sleep; as soon as I close my eyes, I see the market charts, and when I wake up, I'm drenched in cold sweat. Finally, I couldn't take it anymore and sought help.

At that time, I organized six underlying trading logics for him, and it indeed helped him to find his way out.

**Identification of Pumping and Dumping**
Rapid rise combined with slow decline? Most likely it indicates that the main force is in the accumulation phase. The true characteristic of reaching a peak is a sudden surge in volume followed by a waterfall-like drop—that is the signal to take over.

Conversely, do not mistake a slow rebound after a flash crash as a bottom-fishing opportunity. The thought that "it won't drop any further after such a big decline" is often the beginning of losses.

**The True Meaning of Trading Volume**
There is sustained volume at a high level, which may indicate further upward potential; however, if there is a sudden decrease in volume at a high level, that would be a dangerous signal.

Don't rush to enter the market even if there is a surge in volume at the bottom. A single day's volume increase may just be a trap to lure more buyers; you need to observe whether the volume remains consistent for several consecutive days. Only continuous volume increase after stabilization in a sideways movement is a true indication for building positions.

**The Essence of Trading**
The candlestick chart is just the result; the trading volume reflects the real sentiment. A shrinking volume indicates that participants are leaving, while a sudden increase means that funds are truly entering.

The last and the hardest lesson - learn to "do nothing". Not every fluctuation is worth participating in; staying in cash is also a strategy.

Half a year later, he sent a message saying that the debt was paid off, life returned to normal, and the phone ringing at midnight was finally not about debt collection, but an invitation from friends for a midnight snack.

The market is always fluctuating, but preserving capital and sanity is more important. The opportunities in the next cycle always belong to those who are still alive.

This is not about metaphysics, nor is it about making empty promises. It is only suitable for traders who truly want to change and can execute strictly.