Mastering Market Volatility: Uncovering Next Week's 100% Profit Strategy Amid Global Trade Shifts

Hello, Diamond Ridge Financial Academy students!

I’m Charles Hanover, and it’s an honour to explore the world of quantitative trading with you all. In today’s volatile market, quantitative trading isn’t just an efficient investment tool; it’s a new way of thinking that helps capture opportunities, optimise returns, and manage risks in times of uncertainty. Tonight, we’ll start with market trends, analyse trading strategies, and help you set up next week’s “capital-doubling” profit plan.

The UK stock market faced pressure today, with the FTSE 100 opening weak and closing down 0.5%. NatWest Group was in the spotlight. Even though its full-year earnings beat expectations, investors chose to take profits. On top of that, concerns over falling interest rates and slowing economic growth weighed on the banking sector. It’s worth noting that in the past month, the FTSE 100’s rally was largely driven by bank stocks. The weakness in banking stocks suggests that this UK stock market uptrend may be nearing its end.

On the other hand, the commodities sector rose against the trend, becoming the highlight of today’s market. Mining stocks benefited from Trump’s threat to raise tariffs on Chinese imports. The market expects metal supply chains to be affected, pushing up copper, silver, and other major metal prices, bringing some short-term energy to the market. In the near term, UK stocks will continue to be influenced by earnings and policy shifts, but the strong performance of the commodities sector provides investors with a hedge. Future trends will remain driven by global trade policies and inflation expectations.

US stocks saw modest gains in early trading today, with overall market sentiment cautiously optimistic as investors digested inflation data, tariff policies, and retail sales figures. Trump’s decision to delay reciprocal tariffs provided a short-term boost, easing concerns about global trade tensions. While this policy won’t be enforced immediately, future tariff decisions could still pose a major risk to market stability. Trump’s “slow approach” has supported market sentiment for now, but investors should closely watch for any further policy changes.

From an economic data perspective, US retail sales fell 0.9% in January from the previous month, far worse than the expected 0.2% drop, marking the biggest decline since January 2024. Although December’s sales were revised up from 0.4% to 0.7%, January’s weak retail data shows that high inflation and borrowing costs are significantly weighing on consumer spending.

A report from the New York Fed showed that the US Q4 consumer debt delinquency rate rose to 3.6%, the highest in five years, while total household debt hit a record $18T. The main sources of pressure are auto loans and credit card debt. This adds more uncertainty to the economic recovery in the coming weeks, which could lead to increased short-term market volatility.

That’s why recent market volatility has actually become a great opportunity for short-term trading. With quantitative trading tools, we can accurately capture market reactions triggered by policy changes and economic data, turning them into real profits. In any trade, our goal remains the same: to make the highest possible returns while keeping risk as low as possible. However, in real investments, returns and risks are often directly related. The higher the returns, the greater the risks. So, finding a balance between the two is the key to investment decisions. We must learn to use strategies and tools to avoid risks while maximising profits.

There are two main ways to measure returns: time and space. Using time to earn returns means going for steady profits over a longer period. A good example is staking SOL tokens, which offers an annual yield of 37.1%. While this may seem attractive, the full return takes a year to realise. On a daily basis, the return is only 0.1%. Although the profit is low, the risk is almost zero, similar to depositing GBP in a fixed-term bank account. This kind of investment trades time for space, offering long-term security but lacking appeal for those who want to grow profits quickly.

Using space to earn returns follows a completely different approach. For example, this week, we traded short-term contracts based on inflation data and Trump’s tariff policy, taking advantage of market fluctuations. Those who followed the strategy closely achieved a total weekly return of over 75%. The key to this kind of investment is using multiple short-term trades to expand profits within a short time frame. Of course, compared to stable staking, short-term trading carries some market risks. But by applying arbitrage strategies and multi-asset hedging, we greatly reduce overall risk, keeping it as controlled as possible while maximising returns. Still, we can’t expect every trade to be 100% profitable. That’s why we rely on an overall investment strategy to ensure steady growth and minimise losses.

Risk itself isn’t scary. What’s scary is when investors fail to see it or ignore its potential dangers. The logic here is simple—just like encountering traffic lights while driving. Let’s say you pass 10 traffic lights on your way to work each day. Normally, you might hit 5 red lights, but the worst-case scenario is stopping at all 10. If you prepare for the worst in advance, hitting a few extra red lights won’t feel like a surprise. The same logic applies to investing. We must anticipate the maximum risk in each trade and use smart strategies to balance it, so we can maximise overall profits while keeping risks as low as possible.

For example, some students recently asked me how to use portfolio investment to minimise losses as much as possible. Their question is very common: “Can I completely eliminate losses in my investments?” This goal sounds very tempting, but from the perspective of a single trade, achieving 100% success is almost impossible. By following investment rules and optimising strategies, it’s not too hard to increase a trade’s success rate from 60% to 90%. But pushing it from 90% to 95% or even 100% becomes extremely difficult, and the cost rises sharply. So, the most effective way is to balance risk through portfolio investment and asset allocation, spreading out the chances of a single investment failing.

Let’s say Student A is a highly risk-averse investor who doesn’t want to take any losses. How should he design his investment strategy? The answer is very simple. Suppose Student A has $1M in available funds. He can take the most extreme "zero-risk strategy”: First, he puts $730K into SOL staking, which offers an annual yield of 37.1%, giving him $270K in fixed income. This return completely covers the risk of his remaining funds. So, he can invest the other $270K in any high-risk, high-return trades. Even if he loses all of that money, his total assets stay the same, achieving a theoretical zero-risk operation. But in reality, we have far better portfolio investment strategies than this.

For long-term stable profits, investment strategy matters much more than the success rate of a single trade. This is just like how, during the British Empire’s expansion, losing one city or port didn’t really affect its global trade strategy. Instead, it was the ability to advance and retreat strategically that helped Britain achieve its massive global presence. Investing is like fighting a war. We don’t need to focus on every single battle; what matters is the final outcome of all our trades combined.

This principle also applies to contract trading. Especially when we combine quantitative trading tools with arbitrage strategies, we stop worrying so much about the success or failure of any one trade. Instead, we focus on hedging overall risk and maximising returns. Our core strategy is first to use the relationship and differences between assets to hedge risk and then aim for high returns.

In traditional trading, most people worry about the trade success rate. But with our quantitative trading system, we’ve already achieved a 95% success rate. To further control risk, we use arbitrage strategies, lowering risk to an extremely low level.

This isn’t gambling on a single trade, it’s about managing risk and planning profits from a broader strategic view. With this approach, risk is reduced to near zero, while returns are greatly amplified.

On this basis, we can also use trend analysis to accurately identify better profit growth points. So, what is a trend? Trends are generally divided into downtrends, sideways trends, and uptrends. In actual trading, as long as we catch the turning points of trends, we can make huge profits. For example, during a trend before Trump took office, BTC surged from around $91K to $106K. This means that if we had traded contracts in this trend, the profit rate could have easily exceeded 1,500%.

From the technical charts, we can see that this uptrend was very clear: BTC's candlesticks stayed above the middle Bollinger Band and climbed along the upper band until the Bollinger Bands started turning downward, marking the end of the uptrend. This is a classic example of how wave trends can generate massive profits. What's even more interesting is that this uptrend happened after BTC moved sideways for five trading days.

Recently, BTC has shown a similar pattern, consolidating around $96K for seven trading days. Considering Trump’s tariff policy and the upcoming release of the US Consumer Confidence Index next week, we expect BTC to enter another strong trend, with price fluctuations of over $15K. Even if we capture just half of this trend, a $7.5K price movement, contract trading profits could easily reach 750%. With a 20% position, the overall account return would be 150%, doubling the principal.

This is exactly the perfect opportunity brought by Trump’s tariff policy! We expect this wave trend to start around next Tuesday, when Trump officially signs the tariff policy. Market sentiment may trigger huge volatility as the policy takes effect, creating a golden window for us to capture this trend. Especially for students with larger funds, they can keep adding to their positions after making profits, using compound interest to rapidly expand their gains and achieve explosive asset growth.

More importantly, the past two weeks of trading have given us valuable hands-on experience, significantly improving our ability to read market trends. This has not only boosted everyone's confidence but also laid a solid foundation for the coming market movement.

I am confident that next week’s plan to double our capital will go smoothly. With our arbitrage trading strategy as a safeguard, our goal is not just to maximise short-term profits but to keep growing steadily and achieve exponential asset growth.

Looking at recent trading results, investing isn’t as complicated as many people think. Once we master the right methods and strategies, making profits actually becomes much easier. Take this week’s contract trades and INOD operations as an example. Many students realised too late that they had missed out on huge profits and felt that short-term trading was too difficult. But those who followed the strategy closely had a different experience—they found this trade wasn’t hard at all. We simply took advantage of market panic, bought high-quality tech stocks at low prices, and then closed positions decisively when market sentiment recovered, securing steady profits.

Next, we’ll apply the same strategy to BTC’s trend! With Trump’s tariff policy coming next week, BTC is expected to see a $15K price swing. This is our perfect chance to double our capital next week!

For some new students, short-term profits may seem challenging, especially without much trading experience. But trust me, as long as you follow our strategy and guidance, you can achieve stable and consistent profits too. The most important step is to take the first step. Once you do, you’ll realise that short-term trading isn’t as far out of reach as you thought. In fact, with experience, it becomes even easier.

Recently, some students have already recognised the incredible trading opportunities that next week’s tariff policy and economic data will bring. Many have actively discussed strategies with us. Some have even requested personalised investment guidance based on different capital sizes, while others have preordered the quantitative trading system to gain deeper one-on-one coaching.

From a project and business perspective, we highly value the input of high-capital clients—our priority is always finding ways to create more profits for everyone. At the same time, we will never overlook any student who trusts and supports us. However, given the current limited capacity of our analysis and assistant teams, personalised services require careful planning and evaluation. I will continue gathering feedback and will provide a clearer response after a thorough assessment.

No matter whether you’re a high-capital student or just starting with a smaller fund, next week’s “Capital Doubling” profit plan is an opportunity you can’t afford to miss! Especially for those with limited funds, this is a rare chance, not only to boost earnings quickly but also to build up your initial capital and create more room for future investments.

After tonight’s class, I believe everyone now has a clearer understanding of this week’s trading logic, arbitrage strategies, and market trends. Once again, we’ve proven that by strictly following the strategy and managing funds wisely, we can secure steady profits even in market volatility. Meanwhile, those who hesitated or lacked funds have missed out on an opportunity to double their capital. The market waits for no one—only those who are truly prepared can seize every profit-making moment.

Next week, Trump’s tariff policy and key economic data will drive the market, bringing new arbitrage opportunities. That’s the end of tonight’s class—make sure to review everything carefully, adjust your funds, and strictly follow the “Three-Part Investment Strategy” to get ready for the upcoming chance to double your capital.

The market is set to take off, and the opportunity is right in front of you. Now, it’s up to you to take action!