If you're dipping your toes into the wild world of Dynamic Liquidity Market Making (DLMM) on platforms like Meteora AG on Solana, you know it's not just about jumping in blindly. DLMM lets you provide liquidity to token pairs, earning fees from trades while potentially profiting from price movements. But without a solid plan, it's easy to get rugged or miss out on gains. A recent thread from Logical TA (@tendorian9) breaks it down into three key pillars: coin screening, entry criteria, and exit strategy. Let's unpack this systematic approach to help you trade meme coins like a pro.

Mastering Coin Screening: Spotting Winners Amid the Scams

Coin screening is your first line of defense in the meme coin jungle. Not every high-volume token is worth your time—many are straight-up rugs waiting to pull the liquidity and leave you holding the bag. The goal here is to develop skills in identifying legit projects from the scams.

Start by looking beyond just trading volume. Check the project's community, dev activity, and token

- The panda image shows a teaching scene, matching the tweet's content on Coin Screening, Entry Criteria, and Exit Strategy.
omics. For instance, use tools like Dexscreener or Birdeye to analyze liquidity locks, holder distribution, and recent transactions. Avoid tokens with suspicious wallet concentrations or unlocked liquidity. Logical TA emphasizes that spotting rugs early is a must-have skill in this scam-filled space. Test different filters—like minimum market cap, age of the token, or social buzz—and refine them based on real-market outcomes. As markets evolve, so should your screening rules.

Entry Criteria: Timing Your Moves for Maximum Advantage

Once you've screened a promising meme coin, it's time to decide when to enter your DLMM position. This isn't about gut feelings; it's strategic.

Your entry depends on your playstyle. If you're going one-sided with SOL (Solana's native token), wait for a pump to enter—this way, you're positioning to earn fees during consolidation or further upside. On the flip side, for token-sided positions, look for a dump to buy low and use DLMM as a way to DCA (dollar-cost average) out while collecting fees as a bonus.

Tailor this to the market phase. In a bullish trend, enter after breakouts confirmed by simple indicators like moving averages. Remember, DLMM shines in volatile meme markets where fees can rack up quickly during chops. Experiment with rules like entering only after a certain volume threshold or price confirmation, and backtest them to see what sticks.

Exit Strategy: The Make-or-Break Part of DLMM

Exits are where most traders falter—holding too long for more fees or panicking out early. Logical TA shares a refined approach using technical indicators to signal when to pull the plug, building on supertrend as a base.

First, the supertrend indicator acts as your trend guide. Stay in while price is above it (uptrend, good for chopping fees). When it breaks below, that's your cue to prepare for exit.

Combine it with these for precise timing:

• RSI(2)​: Set RSI length to 2 and upper limit to 90. After a supertrend break, wait for RSI to spike above 90—exit on that pump to maximize profits.

• MACD: Post-supertrend break, watch for the histogram to turn positive (green bar). This catches reversals early in some cases.

• Bollinger Bands: Exit when price spikes above the upper band after a support break—it's often a sell-off signal as price deviates too far from the mean.

These aren't foolproof—meme markets are volatile, and rugs can ignore TA. Always prioritize coin selection and use safe ranges to avoid liquidation cascades from big sellers. Logical TA notes that no system is perfect; it's about consistency and discipline.

For more on coin selection, check out his earlier insights here. And for pool/range choices, see this thread.

By nailing these three elements, you'll turn DLMM from a gamble into a consistent fee-earning machine. Remember, this isn't financial advice—test everything in small sizes and adapt as the Solana meme scene shifts. Stay disciplined, and happy providing!