Docs / Best Practices

🎯 Best Practices

Pro strategies for using VETTR effectively and managing risk

⚠️ IMPORTANT DISCLAIMER:
VETTR provides information and analysis tools only. We do NOT provide financial advice, control your trading decisions, or guarantee any outcomes. All trading decisions are YOUR responsibility. Past performance does not guarantee future results. Only invest what you can afford to lose. See our full disclaimer for more information.

The following are common strategies and practices used by some traders. These are informational examples only - you make your own decisions. VETTR does not control or direct your actions.

Signal Selection

Prioritize by ML Tier

Not all signals are equal. Some traders focus capital where historical odds appear strongest:

Tier Success Rate Position Size Priority
💎 Diamond 90.8% Large (30-50% of portfolio) Highest
⭐ Gold 80.2% Medium (15-25%) High
✅ Verified 68.6% Small (5-10%) Medium
(No label) 30.6% Very small (1-3%) Low/Skip
Conservative Strategy Example: Some traders enable Quality Filter in /settings to only receive Diamond/Gold picks. This typically results in fewer signals but may have higher historical win rates. You decide what works for you.

Check Multiple Indicators

Many traders don't rely on tier alone. They look for signals with multiple positive indicators:

  • ✅ Diamond or Gold tier
  • ✅ LOW rug risk (0-30)
  • ✅ Creator with 70%+ success rate
  • ✅ Smart wallet alert present
  • ✅ Liquidity $10K+, 100% locked
  • ✅ Top 10 holders under 25% supply

Example of a signal with multiple positive indicators: Diamond tier + LOW risk + 85% creator + Elite smart wallet. Some traders find signals with multiple positive indicators more appealing, but you evaluate each signal yourself.

Use the Creator Button

Many traders click "👤 Creator" to review:

  • Total launches and success rate
  • Recent rug history
  • Best past performance
  • Famous coins they've launched

Red flags:

  • 60%+ rug rate
  • Recent string of rugs
  • Zero successful launches

Risk Management

The 1-3-5 Rule Example

Many traders follow risk management principles like this:

  • 1%: Maximum risk per trade (for conservative traders)
  • 3%: Moderate risk per trade (balanced approach)
  • 5%: Aggressive risk per trade (high risk/reward)

Example: If you have $10K allocated for trading, some conservative traders might limit individual positions to $100 per signal. You determine your own risk tolerance.

Diversification

Many traders avoid putting all capital in one token:

  • Spread across 5-10 signals minimum
  • Even Diamond picks can fail (4.7% failure rate)
  • Diversification smooths out variance
Example calculation: Based on historical data, if someone bought 10 Diamond picks at $100 each ($1,000 total), historically 9-10 hit 2x. However, past performance does not guarantee future results. You decide your own position sizing.

Set Stop Losses

Some traders use stop loss strategies to limit downside:

  • Tight stop (20%): Exit if down 20% from entry
  • Moderate stop (30%): Give it room to breathe
  • Wide stop (40%): For volatile tokens

Note: Solana DEXes don't have automatic stop losses. Traders typically monitor positions and exit manually if needed.

Profit Taking Strategies

The Ladder Strategy

Take profits at multiple milestones:

Milestone Action Reasoning
2x Take 50% Secure initial investment + profit
5x Take 30% Lock in solid gains
10x Take 15% Take most off the table
20x+ Sell remaining Let runner ride or exit

Potential outcome: This approach allows securing profits at each level while potentially capturing additional upside if price continues higher. Results vary - you make your own decisions.

The All-Or-Nothing Strategy

Some aggressive traders with smaller positions use this approach:

  • Hold until 5x or stop loss
  • No partial exits
  • Higher risk but higher potential
  • Only use with small position sizes

Best for: Diamond picks with strong smart wallet alerts and excellent creator history.

The Safety-First Strategy

For risk-averse traders:

  • At 2x: Take 100% out (secure 2x gain)
  • Re-enter if it dips 20%+
  • Lower potential but more consistent historical results
  • Perfect for building confidence

Do's and Don'ts

✅ DO
  • Focus on Diamond/Gold picks
  • Check rug risk always
  • Review creator history
  • Verify liquidity before buying
  • Set position size limits
  • Take profits at milestones
  • Keep a trading journal
  • Use stop losses
❌ DON'T
  • Buy every signal blindly
  • Ignore rug risk warnings
  • Chase after 50%+ pumps
  • Risk your entire portfolio
  • FOMO into late entries
  • Hold through huge dumps
  • Trade without stop losses
  • Ignore smart wallet alerts

Advanced Strategies

Smart Wallet Momentum

When you see a smart wallet alert, especially Elite tier:

  1. Check if it's combined with Diamond/Gold label
  2. If yes → increase position size
  3. If Elite wallet + Diamond → highest conviction trade
  4. These have the highest win rate historically

Creator Pattern Recognition

Track creators across multiple launches:

  • If a creator has 2-3 winners in a row, they're "hot"
  • Their next launch is statistically more likely to succeed
  • Click "👤 Creator" to see recent performance
  • Build a mental list of reliable creators

Volume Analysis Deep Dive (Premium)

Before buying, click "📊 Volume" and check:

  • Buy/Sell ratio: Prefer 60%+ buys (buy pressure)
  • Average TX size: Prefer $500+ (avoid bot spam)
  • DEX status: Prefer verified DEXes (Raydium, Pump.fun)
  • Total volume: Prefer $50K+ for 24H (organic interest)
Red flags: 70%+ sells, avg TX under $100, unknown DEX, or very low volume suggests weak demand or manipulation.

Timing & Execution

Speed Matters

Premium signals arrive in real-time. Act quickly:

  • Have SOL ready in your wallet
  • Pre-configure your trading bot (Bullx, Photon, etc.)
  • Review signal in 30 seconds → decide → execute
  • Being first matters in low MC plays

Don't Chase Pumps

If a token is already up 50%+ when you see the signal:

  • ❌ Don't FOMO in at the top
  • ⏳ Wait for a retrace (10-20% pullback)
  • ✅ Enter on dips, not rips
  • 📊 Check chart for resistance levels

Use Limit Orders

Market orders in low liquidity can get rekt by slippage:

  • Set slippage to 5-10% max
  • Use limit orders if available
  • Check liquidity before buying large amounts
  • Split large buys into smaller chunks

Common Mistakes to Avoid

Mistake #1: Buying Without Checking

The Problem: Blindly buying every signal without reviewing data.

The Fix: Spend 30 seconds checking tier, rug risk, creator, and liquidity. Skip signals with red flags.

Mistake #2: Holding Too Long

The Problem: Token hits 10x, you don't sell, it dumps back to 1.5x.

The Fix: Take profits at predetermined milestones. You can always re-enter if it keeps pumping.

Mistake #3: Revenge Trading

The Problem: You lose on one signal, immediately buy the next one to "make it back".

The Fix: Take a break after losses. Emotional trading leads to worse decisions. Stick to your strategy.

Mistake #4: Ignoring Rug Risk

The Problem: Buying HIGH rug risk tokens because they're labeled Diamond.

Common approach: Many traders find ML tier + LOW rug risk to be a strong combination. High rug risk tokens are typically avoided by most traders unless they have a very aggressive risk tolerance.

Mistake #5: Over-Leveraging

The Problem: Putting 50% of portfolio into one signal.

Common approach: Even Diamond picks fail 4.7% of the time historically. Many traders limit individual positions to 10% or less of their portfolio per trade. You determine your own risk limits.

Portfolio Management

The 70/20/10 Split

Allocate your trading capital strategically:

  • 70%: Diamond and Gold picks (highest probability)
  • 20%: Verified picks (good secondary opportunities)
  • 10%: Unlabeled high-conviction plays (lottery tickets)

Keep SOL Reserve

Always maintain liquid SOL for opportunities:

  • Keep 30-50% in SOL (not deployed)
  • Allows you to act on Diamond picks immediately
  • Provides buffer for gas fees
  • Can buy dips on existing positions

Psychological Best Practices

Manage Expectations

Realistic goals lead to better decisions:

  • Not every signal will be a 100x moonshot
  • 2-5x gains are considered strong results by many traders
  • You'll have losses — that's normal
  • Focus on overall portfolio performance, not individual trades

Keep a Trading Journal

Track your trades to improve over time:

  • Token name, ML tier, rug risk
  • Entry price and position size
  • Exit price and reason
  • What went right/wrong

Review monthly: Which tiers perform best for you? Which creators? What's your average win rate? Adjust strategy based on data.

Don't Compare to Others

You'll see people posting 50x wins. Remember:

  • You don't see their losses
  • Everyone has different risk tolerance
  • Focus on YOUR strategy and results
  • Consistency beats home runs

Settings Optimization (Premium)

Quality Filter: When to Use

Enable if:

  • You want fewer, higher-quality signals
  • You're risk-averse
  • You can't monitor signals 24/7
  • You prefer 3-5 great signals over 20 mixed signals

Disable if:

  • You want maximum opportunities
  • You're comfortable with higher risk
  • You can evaluate signals quickly
  • You want to catch everything

Market Cap Limit: How to Set

Set low ($50K) if:

  • You want moonshot potential (10x+)
  • You're comfortable with high risk
  • You prefer early-stage tokens

Set high ($500K+) if:

  • You want more established tokens
  • You prefer lower volatility
  • You want better liquidity (easier exits)

No limit: Some traders prefer to see all signals and decide case-by-case

Summary

Common Practices Used by Some Traders

  1. Focus on quality: Some traders prioritize Diamond/Gold picks with LOW rug risk
  2. Manage risk: Many traders use 1-5% per trade and diversify across 5-10 signals
  3. Take profits: Some traders ladder out at 2x, 5x, 10x milestones
  4. Cut losses: Many traders use 20-30% stop loss thresholds and avoid revenge trading
  5. Stay disciplined: Some traders stick to their strategy and track results

Remember: VETTR provides information and analysis tools. You make all trading decisions yourself. Past performance does not guarantee future results. Only invest what you can afford to lose.