Bitcoin Forum

Trading is 90% psychology, but

- you can't build confidence without a profitable system.

- you can't have consistent gain without a profitable system.

- you can't be disciplined without a profitable system.

- you can't win without a profitable trading system.


Trading gives you money, in order to to protect your money risk management is paramount.

I agree with this point because when you are having a profitable trade then it will build your confidence level. If you have failing trading system, the confidence is not there anymore. This is why at any time you begin to make profit, the confidence level increases. However, building a profitable system is a task that is very difficult to achieve.


How do you mean by this maybe you need to explain on this  Being disciplined IMO is not about having a profitable system because you can be loosing while being discipline as losing can also be temporary.

You are totally wrong with that statement. Trading is not 90% psychology it is 100% real and have rules. I agree that control over ones emotions is a necessity for traders but calling it a 90% psychological game isn't a fair statement regarding trading.

Your confidence automatically builds up when you trade for more than a year. You will learn that trading requires understanding of the market during that year and your mistakes will guide you as a teacher. Even if you have a profitable system you won't have consistent gains. Trading isn't an easy thing and having constant gains with it is almost impossible unless you own a supernatural power.

You are wrong because a trader can be disciplined without gaining profits most of the time. It's the losses that help you to be disciplined. If you lose more you chances will increase because you will have learnt big lessons from the losses.

Now the final statement makes sense as it's required to have a profitable system set with proper plans, good strategies and timing. If all those are with you then your chances for having good profits is a confirm thing. You should also keep in mind that trading isn't a get rich quick scheme and that's why a proper trading system is required with have good gains from it.

Trading doesn't give money when you don't know the rudiments of Trading, many people has been handicapped financially today because of trading due to what they had in mind before coming to trading is to make millions, but that's not how trading works, because you make profit in trading you most have known the necessary scopes  related to the conditions and the timing before you can as well venture into Trading, with what your concept implies it pointing that trading is not risk business, while in trading two things are involve, either you end up on the disadvantages aspect of trading or the advantages aspect of trading. But when you see some people discussing and narrating on trading, you may think its easy and when you enroll in trading you will make surplus profit. Op want you withdraw with some of your conclusion or statement concerning trading.

OP, it sounds like gambling. when we deposit money in the casino and play. then lose but we are always curious about when we will win. when we want to get out of the casino, we are even given a bonus to play. and it keeps us from leaving the casino and ending up making another deposit.

mastery of a trader's emotions can indeed affect the results of the trades that we manage. but that is not entirely a determining factor of whether the trader will benefit or not. a trader of course must have skills that must be mastered. the psychological factor I think only has to do with the trader's experience in the market.

Trading is more like gambling

It’s a 50/50 thing, you may trade today and hit it hard

Tomorrow you trade and lose everything in secs

That’s where risk management comes into play

Instead of just putting all your liquidity or margin at once into one trade, you split it into portions called DCA (Dollar Cost Average)

With this strategy, you can only lose a little if at all your trade goes on the opposite direction of your prediction or analysis

It gives me the feeling that I'm reading an advertisement that I used to see on pop up ads on websites that are partnered with Google ads. They keep on telling about profitable system.

But actually, it's true that when one doesn't have that. Well, that means that there's no profit at all and it's a struggle for that trader.

And for one to learn that, it requires experience and capital and upon having those, it's true that risk management is also a must.

What do you think the remaining 10% is, and also what profitable system do you mean?
During my trading experience, I don't think I have ever or should use any system to achieve my version of success as a trader. The ending is the most interesting, it sounds like a trading system that should be built to fight the retail.

 
When you mentioned system repeatedly I thought you were going to define what trading system you mean in detail, but then you moved over that and that made me more confused about your point in all this, 90% psychology also is not true, because trading have a pattern to follow and it doesn't follow human mind because as a trader the easiest way to lose in trading is by becoming emotional so trading has little to do with physiology as you asserted in your writing.

And it will be great to see your reply on what system you were talking about because that will give us more understanding for more discussion.

There is no doubt in the fact that trading is accustomed to risk but how the trader manages such risk is what matter whether he remains in profit or loses.

Yes, psychology is crucial to successful trading. When making trading decisions, it's critical to have the appropriate attitude and emotional control. To succeed in trading over the long run, a good trading strategy is also essential. A successful trading strategy lays the groundwork for acquiring self-assurance, achieving steady profits, and maintaining a disciplined attitude. Making confident trading selections becomes challenging without a successful method, and steady profits become elusive.

Trading is based on the tracking of the economic flow of certain currency.If you find the exact flow of the money,it became the easier one for the investments.The profitable system only achieved with the immediate input to the exact coin,Until you find the strategy for your trading.The process became a complicated one to earn profit from the trading.All your motive is based on the profitable trade.But for the profitable trade,it’s essential one for the trader to build their strategy.Building strategy take some time with some investments.The traders should ready for the trading process.Minimal trading loss should not consider as the loss in the market value of trading,when the trading market give you profits.Surely you will over come from the old losses.

This is correct since you are fighting against other trader to buy low and sell high. It’s not against the exchange which means human psychology is almost the way of being successful on this field.


But what is a profitable system? It’s very hard to develop one because you are making an assumption to human mind decision base on the circumstances of your trade. It’s easy to say than done because there’s no consistent profitable system on crypto trading unless you have an inside source tipping you the news in advance to make an early position. But as normal trader, It’s almost impossible to have one.

As with any trading platform, you face the risk of loss along with profit.If people do not have complete knowledge and experience in any business they invest in, there is a risk of loss.Most of the losses are always done by new and inexperienced people. Those who have experience earn very well from trading.Therefore, trading should not scare people so much that they do not turn towards trading.The lesson learned after a loss is the experience.

If trading is done after gaining complete knowledge and experience in trading, it can prove to be very profitable.If trading is not easy, it is not difficult either. In the beginning, whatever field you go into, you will find it difficult, but with time, you will find it very easy after gaining experience.

because it has to do with money. of course psychology here is very important so we have to be able to control our emotions during trading, if it fails it usually affects our decision to buy which coin in what conditions at the time, most people trade with emotion or greed leading to losses compared to people trading with focus even if they only do several trades a day.

Bitcoin trading is profitable quite alright but should we also act in disguise wheb we receive the other experience aspect of trading bitcoin when we are running on loss and loose confidence? the two must ve involved and balanced that eve when we fall, we can rise up multiple times and recover.


If someone tells you about a particular profitable system in place then it's a lie, you have to create time and discover yours a d see which system or trading strategy best fit in for you.


Are you saying your disciplined acts relies on how profitable you're in trading, for me that's bot good enough, we need to main a constant and disciplined lifestyle in trading, that act of being disciplined is what attract us more closer to a profitable investment or trading.

Those traders that can't help themselves but get attached to their emotions are the ones that are losing more. Everything that you think about it that affects the results of your trades can really exist based on how you want it to be projected with your trades.
Yes, there's the psychological effect with those factors and points that we think of but then, it all combines with the emotions that we're putting on it. If you're too emotional and you're still new in trading, you're at greater risk of losing all that you've got.
But that doesn't stop there when you experience losses, only the losers quit but learners will keep on learning from those losses until they win.

Trading's a mind trip, no doubt. Emotions, thoughts – they sway our decisions. It's like juggling logic and feelings. But here's the deal: we can't ignore the big role of a money-making system in trading.

A cash cow system? It's our success roadmap, showing us what works best. It's like our loyal sidekick, pumping us with confidence, keeping us on track, and making us disciplined. With that system, we hit the market with a winning attitude, backed by a solid game plan.

And risk management? Super important. It's like a tightrope walker's safety net, keeping us safe when things get wobbly. By acing risk management, we tackle trading with smarts, shield our bucks, and boost our long-term success. Amazing!

it is very influential on psychology because in trading at the emotional level a person can be unstable in a state of wanting to buy, hold, to sell, of course there are things that make us tempted to do that for the sake of big profits, but our impatience and insecurities make it all not real and change be a loss. emotions must be controlled in trading it is quite necessary.

It is very difficult to control emotions when trading but that is what we must do to succeed. Money risk management is needed in this case so that we don't exceed our set limits. And we also won't use all our capital to go all-in because the movement is good. And as long as we can deal with the emotions that can come up suddenly, we won't be affected by what's happening in the market so we can trade well. But all of that takes time to have good self-control in trading.

Trading isn't 90% psychology, trading has nothing to do with phycology. To be successful at trading you must learn how to trade practically, it can't just come from observing people like how they behave or trade. You have to learn how to understand charts yourself. Becoming a successful trading require you to be dedicated and disciplined, without this habit you won't succeed.

All successful traders are good at risk management and protecting their profits. If you aren't good at those and you're not interested in learning then trading isn't a profession you should try to learn. Trading isn't complicated and can be learnt, you just need to have patience.

For something like trading, that a lot of skill is required, 90% is too much for psychology alone, and 10% is too small to quantify the amount of skills needed. Even traders who have very little knowledge and skills are not advised to start trading on a funded account to prevent blowing up the account, just to show that skill in trading is very important.  A psychologically strong individual with any or very little skill in trading will still not be successful. Trading requires psychology and skills, but skills most importantly.

Well I think the discipline comes more even and faster when the losses are more or am I missing out  on something?
There is this saying that if you want to taste the discipline  of a man, he should  be given money and power  a d I think same also applies in this case and if you really want to see how committed on is to its system l, I think the losses has to come very often and then you can judge because I'm 85% sure that many persons will abandon their almighty profitable strategy  the moment the losses are getting too much but it takes only the fateful to be committed to their strategy  in losses and not just losses but rapid losses.


Exactly  and I also wondered as much as I think 90% is way too much to push to only psychology because i think skill and also trading capital has alot of role to play in trading  aside just psychology.

No but i think it works vice versa as well. You won't be able to build a profitable system on day 1. You'll have inconsistent gains, you'll lose, you'll be quite indisciplined and yet you'll have to keep that 90% psychology correct for you because only that is the thing which will work for you and take you places and it's the only thing that can help you build the system as well. So the money that you'll get is obviously because of psychology that you once made.

I agree with all of your points but what is that aforementioned "Profitable System", because in the title you said "My trading constitution" and just shared some basic facts that we all know or i should say shared some problems we all faced by didn't share the solution. As Confidence can be built if you make more profit but how? same goes for others.

No wonder, when you enter in trading you learn many psychological behavior (which you already have but just realized after starting trading). For instance, when i started trading i was like so stunned to learn the basic skill of risk management as before i have never performed such a task that needed money involvement in strategic ways so that i can reduce risk while covering more profit. After learning Risk management (no doubt at a basic level or at least when i get familiarized with it and some strategies) i developed a skill to control my emotions and anger which could be a reflection of market behavior. And before trading, i was like a little strict with words (more likely frustrated and angry all the time) but by doing something on my own, managing strategies to manage risk, and developing a sense of market and confidence i started to control my emotions.

But Trading is not all about emotions, most of the time, you have to focus on facts and figures too, because emotions help you out only a few times (only when you are lucky) but most of the time when you trade with emotions you always lost, I have already shared my experience on this topic before --> Emotion and Trade? (https://bitcointalk.org/index.php?topic=5441656.msg62216674#msg62216674) So, i hope this might help you out.

I agree with this because most of the new traders who are starting out are not properly learning the cores or the basics before they start trading.
This is required proper risk management which will help you to have profitable system, by this way, it will help to protect or preserve your capital and maximize profits.

I think that what they mean is that it is way easier to stick with your strategy if you know for sure it is a profitable one, and I think this is true, since one of the big problems new traders have to face is that when they begin to experiment some losses they lose confidence on their strategy, and instead of sticking to it they begin to experiment and do something completely different than what they have trained.

However someone which backtested their strategy and which is completely sure it is a profitable one can make profits with their strategy way more easily and deal with such short term losses.

This should be the other way round. You can't have a profitable system if there is no discipline. It is the discipline that brings about the profit. A disciplined trader sticks to the strategy/analysis that works and anything that doesn't seem clear is avoided. As for every other thing listed in OP they need a profitable system to maintain them but discipline is the reverse.

Trading requires 100% psychology and you cannot do trading. Trading requires confidence and long term statement. There are many people who before trading think that they will earn huge profits by investing in the future. But they did not think that in order to trade, they must know the details of the market. Those who have not acquired good knowledge about trading, if they go to invest, they have a huge amount of risk in business. So before trading it is very important to know the pros and cons of following a trader here. With all these concepts and gaining knowledge later investing with trading skills, there will be no business risk, so you should be careful about all these things.

Trading does involve the emotions but calling it a complete mind game is not correct in my opinion. You can say that trading needs skills and luck and you would not be profiting of you were only making predictions based on your gut feeling. The gambling aspect of it comes from the fact that you might get addicted to it and there are non-Spot modes of trading that are very risky.

If you can keep track of how to trade, mainly buy low sell high, you shouldn not get into trouble. That too if you are keeping a ledger and following your sells with your buys.

Just don't trade only based on emotions, see the charts and previous trends and then decide what trade to place.

Not many traders can maintain their discipline, especially when the market changes drastically. At that time, traders only think about how much profit they can get while they forget that the increase can stop and go back down again.

That makes them trapped and because they have lost discipline, their emotions are also disturbed and in the end, they will choose or decide something they should not have chosen. And that causes them to suffer losses in trading.

Many traders have experienced it. Some can learn, while others keep repeating the same mistakes. Disciplined traders can adapt to unstable markets and even make good decisions to avoid losses that can occur at any time.

You really have a profitable system, but if it involves your mentality, like controlling your emotions, it is still useless. Just imagine you have those systems and confirmations in place before doing an entry, but because you lack patience and are greedy and overconfident on a trade, you'll hit the entry without following your confirmations. Emotions really play a big factor in your system; it is not only about the method; emotions are also needed.

Seems more ideal is 50 percent of knowledge comes from the sources of information you can use and apply with your trading journey, and 50 percent for decision making why? because most of your trading will depends on this if you know what are the possible price movement the technical indicators you could use gives you an idea to entry or to exit, but in that case, your emotions give you a doubt or a guts to place the position.


Emotions could be a cycle if you make a trade when it comes to get profit for sure you'll get greedy but with the use of your TA sometimes you are trying to get more than focusing to your plan, and getting lose to decide to cut your loss or still holding your coins.

Trading relies on keeping track of a particular currency's economic flow. If you can determine this flow precisely, investing will be simpler. The profitable system can only be achieved with an immediate input to the precise coin, however, until you figure out a trading strategy. This makes the process more difficult. Your entire goal is to make a profit from trading, but in order to do so, the trader must first construct a profitable trading strategy.

One of the first requirement and prerequisite is a profitable trading strategy though it's 100% perfect because there isn't any Holy Grail therefore money management should be utilize in trading.

Consistency in earning profits will in a long run enable the trader to have an edge over the market therefore the trading strategy should have a reasonable rewards to risk ratio.


Trading requires strict discipline by following the lay out rules to trades defying such rules will result to incurring losses.


Above all money management is the key to a successful trader how well a trade is managed by trailing stop a winning with a Stop Loss.

this point is good and understandable because if a person regularly wins then it is possible to achieved the desired goals so confidence in that person increases therefore he will talk about his trading system with confident attitude to the others.

But I think making a profitable trading system will requires time it cannot happen quickly and during this duration you will face losses as well as gaining so I think that confidence will create only when you see different situations. A profitable trading system can only originates when you have complete knowledge about the crypto market and have spend lots of years for getting the basic point to be a successful trader.

For point number 1, I say may be that. Trading is heavily influenced by psychology, as emotions and mindset play a significant role in making decisions. But, I wouldn't necessarily say it's 90% psychology, as there are many other factors to consider. A profitable system is indeed crucial for success, as you've mentioned.

While psychology is undoubtedly a significant factor, it's not the only determinant of success. A well-rounded approach that considers all aspects, including a profitable system, psychology, and risk management, is more likely to yield favorable results. Without a profitable system, it's challenging to build confidence, achieve consistent gains, maintain discipline, and ultimately win in the trading world.

In my brain, a profitable system is the foundation of successful trading, while psychology and risk management act as essential pillars that support and enhance the overall performance. It's vital to strike a balance between these elements to achieve long-term success in trading.

You can’t really build and code a system and trade that way. It will work for a while but eventually it will stop working and you will have to adapt and tweak your system. This is why those trading bots never make money in the long run.

Only way to do this is basically experience and you can’t teach experience you just need to put in the hours. When you have enough screen time you will see what is going to work and what wont. And with enough screen time you will still need to manage risk properly so you don’t revenge trade and lose your entire account.

I see that many have responded above. Each one assumes what the word "profitable system" means, but we still do not know its meaning, or at least what @OP means.

It's like saying "In order to make a profit in trading you have to be smart, stupid people always lose" which is a correct sentence but what is the definition of intelligence and what is the criterion that determines smart from stupid?

There is no such thing as a "profitable system", as trading in itself is subject to profit and loss, and there is not always the possibility of profit, but there is always the possibility of loss, and therefore there is a "losing system", but there is no "profitable system".

profit and loss is making by probabilities of what the demand will be in the future.

Yeah, Absolutely. While psychology is a crucial factor in trading, it's crucial to keep in mind that a profitable system is just as essential. A profitable system aids in developing confidence, achieving consistency, maintaining discipline, and ultimately prospering in trading. Risk management is indeed vital in safeguarding your investment. Hence, it's imperative to create a sound trading strategy, adhere to it and manage risks efficiently. Remember that trading is an adventure that requires patience, persistence and a constant drive to learn and enhance your skill

That's an interesting point, but how do we get a profitable trading system in the first place? I agree with you that it makes sense to create a trading system around our profitable trading ideas. Probably most beginners have the same problem to find trades that will make money consistently. Doing research and using technical analysis is a great way to find such trades. But it also requires a lot of testing to see if our trading system is correct. Just because we make money during a few weeks doesn't mean that our trading system is profitable long term. For example, if the general crypto market moves into our favor it will likely rise all our positions, even if we didn't pick the best coins. A constant form of oversight and testing can protect us from losses, I wouldn't trust a trading system blindly just because it was right in the past. 

Psychology is indeed very important in trading, especially for those who are often emotional in trading. those who are easily provoked, emotional, greedy will definitely not get big or easy profits here. because such things affect their decision to invest behind what they predict. it's good to understand how your mood before making a decision.

I agree that risk management is definitely the important part in trading because you cannot profit if you always lose what you have earned and that's definitely a problem. You cannot be profitable if you're not consistent.

It's weird to call a constitution without so much details lol.

This is quite a huge percentage and I don't agree to this statement, because you are implying anybody that has basic knowledge of crypto and charts will survive in the trading world which is far from the truth!

Trading requires one to have the skills to trade, know how to control their emotions and lastly apply proper risk management which you have pointed out.

Risk management without the right skills is useless and btw based on personal experience the thing that messes  up peoples trading journey is actually emotions and greed, if you can't manage this then trading is not for you.

You can manage everything, but if you don’t have knowledge and basics of any work that you do, then you won’t excel in that particular task. Same happens with trading also. If you want to do good trading and that too without losses, then you have to at first gain knowledge on trading. Do dry calculation and estimations and then do miracles with the market. At last do proper risk management and then do trading in limit.

For trade profits management we should need more experience with full heart risk confidence. Otherwise we Couldn't make any profits from trade. When i loss 200$ something of trade then i will put stop because less money in my pocket. But if you have money then trade best option for making daily profitable.

Being an emotional person can be a very important setback when it comes to trading, as becoming a successful trader depends very heavily on math, probabilities and logic, and if you take decisions on a whim based on your emotions then most likely you are going against your trading strategy and what it recommends for you to do at the time.

And it does not matter who you are, if you are taking decisions which consistently go against what is supposed to be the best decision for you then eventually those decisions will be reflected on your trading account as negative outcomes and huge losses.

Proper risk management will help you protect your capital. Applying it correctly, your account will never be blown out. But as you said you had to have a profitable system. That will determine your success. Your risk reward ratio, how much time do you need to get in front of charts, and how many research should you need? And after that, the battlefield of your own psychology. If one missing, your system will be flawed because all of these complement one another to a successful; trading.

I think daily trading may not be profitable for everyone if they are not taking time to look through what went wrong with the previous trades. It's just like practice and putting in logs on how you are performing would definitely help if done correctly or dummy trading for that matter. Risk is equating to a reward but if done without experience can lead to fatal consequences and this never recommended for newbies. The ones who are taking risk and making money are rare and you should not try to copy them because there are a lot of background things that we don't know of, many of them are drowning in loans and those are only few profitable trades that they are showing.

I say cut your trade according to your earning. Don't spend more than 10% of your income on trading in total, these are not hard and fast rules but guides to help you come through.

You don't have to wait until you lose $200 to stop because that amount is too much for some traders. We have to know when to stop and for that, we can set a stop loss to reduce trading losses and if we can prevent losing trades, we don't have to lose a lot of money. We can also start trading in other coins with more potential to increase. But losing will affect us psychologically so some traders want to recover their losses. If they could find another coin, they could recover their losses. Otherwise, they can get another loss.

Trading is more of a combination of psychological strength, insight (analysis and the like), and capital. or maybe there are other additions. But what makes it always profitable is when we have broad insight into the assets being traded (know the fundamentals), have good emotional management (psychological) and make the right decisions (analysis). And another addition is financial management. in financial management there is discipline regarding the ratio of losses that can be borne and the potential profit that is targeted. and others.

but psychology is sometimes the determining factor above all. because decision makers and others are certainly in the psychological realm.

Go get a comprehensive knowledge on TA and FA

With this knowledge, you can minimize your losses and maximize your profits

A tweet from Elon Musk can cause a boom market in the crypto space

A tweet from him also can cause a dump

That’s FA (Fundamental Analysis)

even though you have designed a good strategy, but if the psychology is not good it will be useless and the strategy will be damaged, so that the expected results are not achieved. indeed the role of psychology is the most important in trading, although psychology is not the only determinant of trading success, because it must be supported by analysis and money management. On the other hand, as long as we are trading, we should not treat the market according to us, but we must be able to serve where the market wants to move and we follow it. on the other hand having several accounts would be better for maintaining our psychological stability, so that we can group trades based on the level of risk

Trading gives you money after you have learned and shown yourself approved through the trading system, and the evidence to do so is when you start making profits in most of your real trades. When you have fully written out some trading rules that you are going to be bent on acknowledging, this will prompt you when to trade, days to trade, when to leave the market, when to try new things, when to take the big risk, and when to avoid it. All that comes with having a timetable as well.

There was this movie I watched where they said, "If you sit around for so long on the problem, then you will find the answer or solution staring you right in the face." But in trading, if you sit around for long during practice days, surely you will learn how to unlock the profitable system that leaves you the choice of either getting disciplined or making a joke and losing everything. Also, when you sit around for so long when you are not making profit, you may be carrying out bad risk, so the best is to leave your monitor and rest, and you can't do some things without having some trading rules you have made for yourself.

                     Can't complain more mate , you have mentioned everything that
                               we need to understand .

         - We can't make money out of just trust but with knowledge..

       - We can't win anything if we will not encourage others to join us in our
                    trading journey(meaning must have Buddy and
                                 this is what I learned .

In this crypto world , there is one thing that very important , and that is to have knowledge and courage , because this is our key to success .

The mentality of each trader is something that is often ignored and yet as you mention is very important, after all it makes no difference if someone has the perfect strategy if at the end of the day they cannot put it into practice.

However while this is an aspect that may seem easy to improve this is not the case, as this requires that we reflect in a profound way about what is what we are looking for by becoming traders, and as simple as it may seem this is seldom done by most traders out there.

If you want to trade, the first thing you need to do is increase your patience. If you don't have patience, then you will never be able to profit from trading. If you want to trade, you must trade according to both your profit and loss. If you always think of investing.  You will be very foolish if it will benefit you later.  After investing your money may be in loss. Then you have to wait patiently.  When the price rises, they should be sold and if traded in this way, there is a chance of profit.

Are you saying that for investment you should not buy shitcoins, but rather buy bitcoins? Or do you want to say that you need to invest money for a longer period, and not engage in speculation?

Risk management is the number 1 ingredients to be a successful trader. Because I was told by my mentor who's profitable already that risk management to success. I also follow someone in twitter that he turn his small sum of money into 300k and I thought that his strat is 90% working but when I see his past trades he encounter many loses therefore I conclude that risk management must be in your trading. This was also proven when I started trading, even though you're winning but with no proper risk management you couldn't be profitable.

I have often made a lot of profit by trading. But sometimes I have lost a lot of money due to my own mistakes. But we have to think about one thing to trade. I should never be disappointed. I have seen that there are some people who never make a profit by trading.  Rather, they lose their money because of their own mistakes. I have seen some people who trade and now own a lot of money.

It's normal if you can get profits and losses from trading because we can't expect to continue to make profits, especially since the current market conditions are not good.
Many traders are also in a situation like yours but we can still try to make a profit from trading.
And we shouldn't feel disappointed if we lose because there must be a lesson behind it all so this will make us learn again.
And if there are people who have never made a profit, they should need to introspect what was wrong with them and if the mistake was due to never learning about trading, they should immediately change it and start learning more seriously.

Trading does not depend on psychology. Gaining profit or loss from trading depends entirely on the experience of the traders. One person has enough knowledge about trading and understands the charts and when trading is likely to be profitable, and another person who has no knowledge or experience in trading trades based on guesswork. Whose money is at risk here? There will be and chances of a person making profit is definitely the first person because the first person is not making a trading decision depending on his own luck, he is using his experience and having an idea about trading and then trading. So trading is never dependent on psychology.

Ops's title was too demanding and the post is a bit weird in my view because in the constitution how he is gonna prove his wor profitable system the whole story I can say the motivational theory is based on the profitable system and Op forgot to. explain what that profitable system actually is. No recommendations no rules and zero output after reading so what I want to say is Constitution needs to be eliminated by passing a collective-supported revolution 😂😂.

Bro first point is too good, the rest is boring and outdated stuff. Yes, I do agree that after making some profits. trades you can boost your confidence but I think posts should be needed to be related to the point of building a profitable system not about the features of it anyway.

indeed investing in Bitcoin can be said to be safe, but in terms of volatility Bitcoin is also the same as Shitcoin,
if you look at the chart the highest price of Bitcoin is at $64k and currently it is only at $26k,
yes it has fallen by more than -50% even it could be even deeper if the bearish is still strong,
but Shitcoin is indeed much worse -90% but if it's for investment this is the right time to buy Shitcoin.

A proper understanding on how a thing work is needed if we are new to them. There are people who are already struggling financially. This is the reason why they want to learn trading because they see those videos online about trading where a trader can make huge profits. Trading is not easy but once we grasp it, it is now possible to make quick profits on it. A lot of things in the world has a concept of risk and reward.

It's only up to us if what earning sources we will choose. Knowing the market conditions is one of the recipes to get successful in trading. Of course there is timing too. It's also important to be realistic and act only according to our own capacity.  Drawbacks are already there and bound to happen but we must not be afraid with them.

For sure, man! Trading is like a lock for which you need a master key, an elaborate grasp of its secrets. But hold up - it's beyond just predicting the dance of market figures, it's about wrestling with your own demons and your piggy bank. The knack for flowing with the currents of market changes, paramount, like solving a whodunit. But the bravery to stick with your stratagem, especially when the market turns into a roaring roller coaster, that's a different chapter. Are we syncing?

Consider this - even the best in the trading biz occasionally slip on banana peels. The secret lies in coping with these speed bumps. The emotional IQ of trading often goes unnoticed, but it's as instrumental as the last piece in the Tetris of lucrative trading. Kind of like driving - knowing your vehicle's nuts and bolts is essential, but reading the hieroglyphics of the road and your rapid reactions are equally important.

So rather than treating trading as a magic potion to mend your financial turmoil, it might be more sensible to treat it as a craft, requiring both cognitive agility and emotional backbone.

What is the role of emotion in trading? We are here to make money by trading, if we are emotional then we can never make money. When we want to give a job interview, if we express our emotions without expressing our experience there, we will never get the job in that interview board. The organization will give us a job after seeing our skills and talent. If we get emotional and say that I need the job very much or I will benefit a lot if we get this job, we will never get a job. Same is the case with trading here we have to express our skills. If we focus on emotions instead of skills, we are more likely to lose money than make money.

How are you going to manage the risks when you only talk about profits? Profits and losses are both a part of the trading system. You need to have experience in both in order to learn the whole system. What are losses? Mistakes? Miscalculations? Emotions? Whatever it is, if that happens, we need to learn from it. And how can you only focus on profits while even the pros are making loss now and then?
We need to experience both and then create a mindset which will not get effected by such things. This will give us the best advantage in trading because only then we can control our emotions.

We always learn from this mistakes though its a costly mistake but at least, you have something to correct and push yourself to be more better. Trading requires experience and right knowledge, you have to learn this slowly and don’t ever rush yourself to become a profitable trader because it takes time. I agree that trading is more about your emotion so make sure that you take your time mastering that emotion and start trading with the best strategy.

Expecting too high, namely wanting big profits in a short time, is also always the initial trigger for a trader to fall into a loss. Because psychologically and mentally he has started from the wrong emotions. You are right. we have to be more realistic in trading. be it in the hope of profit or in learning the trade itself. Don't be in a hurry and do it slowly and carefully. As you said we must understand the fundamentals, market conditions and monitor and analyze when is the best time to enter and when is the best time to exit. It's just that very few choose to learn more before entering into trading. because most beginners are in a hurry to start trading even though they don't have sufficient insight into trading analysis. They would rather hope for luck than for in-depth analysis.

In theory we should learn from our mistakes, but how many times you have seen a person that seems to make the same mistakes over and over again? This is a very common occurrence, and as you may guess this happens to traders as well.

Basically instead of accepting the mistakes they made and learn from them they get convinced that specific circumstances were the main reason their trades got derailed, so they keep performing the same strategy hoping for things to change this time around, a thing that as you may guess it does not happen.

I liked this thought and i'd like to add that:
The longer you trade, the higher your confidence
How do you deal with your mistakes and what happens with them?
It is important to remember that trading is not a sprint, a marathon and loss is a neccesary part of it.
Seeing other people trade and trading by yourself are two different things.

90 percent includes very subjective.
Why not 91 or 60?)
But I agree that trading is a very emotional thing and a lot depends on psychology

Confidence should be tied to our competence, a trader with years of experience and good results on this market has all the right to be confident as they know they have the skills to back that confidence.

But many newbies have all the confidence on the world about the potential they have to obtain a good performance, but that confidence is completely out of place as they do not have the skills to justify it, and when the market proves them wrong they still have the nerve to think the market is wrong and they should become profitable given enough time, a mistake as they are not willing to change their ways and improve due to their overconfidence.

a trader must have self-confidence, but excessive self-confidence will actually be a weapon that strikes back at us. what usually happens is that beginners trade at first and make profits according to their thinking. so they feel very confident thinking that trading is easy, so this is actually the beginning of their downfall. because at any time a trader must continue to study the market, but people who do not have confidence are also not good, because there will be many doubts in deciding something

Totally agree with you that trading depends on how much you know about trading. Trading is not just a name for speculation but it requires complete skill and experience. People who have experience and have complete knowledge about the market are generally considered to be successful traders.

It is very important to keep aware of market fluctuations or any coin's support and resistance levels and surrounding news. My own experience is that if you just guess trading without thorough analysis, you will always face losses. An experienced trader's profit rate is always the best.

My trading constitution serves as the guiding principles that govern my approach to the dynamic world of trading. It embodies discipline, patience, and a comprehensive understanding of the markets. I vow to conduct thorough research and analysis before making any investment decisions, ensuring that I am well-informed and equipped to navigate the inherent risks. I commit to managing my emotions, embracing rationality, and avoiding impulsive actions that could jeopardize my long-term success. I will adhere to a well-defined risk management strategy, limiting my exposure and preserving capital. By maintaining unwavering dedication, continuous learning, and adaptability, I aim to achieve consistent profitability and financial growth while upholding the highest ethical standards.

Trading constitution is most importance to develop trading  and avoiding impulsive actions that could jeopardize my long-term success. I will adhere to a well-defined risk management strategy, limiting my exposure and preserving capital. so they feel very confident thinking that trading is easy, so this is actually the beginning of their downfall. When we want to give a job interview, if we express our emotions without expressing our experience there.

Knowledge and skill is not enough, they are key but you still need more than that, but what else you may need to become a good trader? And in my opinion the ability to perform under pressure is critical.

A clear example of this happens on sports, there are players which have fantastic skills but when the time comes in which everything is on the line and they have to perform to the best of their abilities they fail at the critical moment, while there are players which have the same level of skill but when faced with such a difficult situation they find a way to win, trading is similar, if you cannot make the right move just when you need it the most then your trading journey will be incredibly hard.

Hey OP, basically you said nothing at all, and everyone talked about it for four pages, and I am not any different considering I am currently writing this here as well. I mean "you need profitable system" is not really a great investing strategy if you ask me, there is nothing wild about that and should be considered as normal as it gets.

I get it, I mean sure there is something more at play here as in you need to focus and learn more about build a strategy that will yield you better return but is that really so hard to figure out on your own? It's such a normal thing to say like you should eat so you do not starve, did anyone really needed this at all? And since it's so simple, why did people wrote here for 4 pages long, sometimes humanity shocks me.

I have established my own trading constitution as a guide for my investment efforts. I am committed to a long term perspective, discipline, knowledge and approach to other financial markets. I thoroughly research and analyze fundamentals and technicals before investing in anything. Moreover, prioritizing risk management and following a specific strategy aimed at consistent growth rather than quick profits. I am committed to learning from both success and failure. I pledge to strive for financial success by upholding the trading constitution through patience, resilience and ethical practice.

I like your basic principles or Constitution of trading/investing and everything makes more sense and what you have to say shows that you have quite a lot of insight and experience in trading and investing. Because basically everything has to start with a careful analysis of the various aspects of the approach that we are reaching out to. Be it from a fundamental or technical point of view. After we analyze, we know where the right entry point is and start planning everything from risk management and so on. then carry out the plan and stick to the trading plan that we have made. and all of that requires patience both in analysis and in execution and of course if it's for the long term then we also have to be more patient waiting until the profit or time we plan is reached.

OK, so everything falls back to having a profitable system..
Would have been much easier if you had told us what a profitable system mean to you, as I personally understand that this system could mean different things for different folks.

For some., a profitable system could me a bank/cryptocurrency exchange, for those trading Forex, it could be the broker, or maybe the financial market itself, or generally, it could mean the government and their economic development and policies, or it could mean the economic world at large.

So, what exactly do you mean by profitable system?
If you don't mind me asking of course.

What do you mean by profitable systems,  I hope you don't mind giving further explanation to that since it seems you have been mentioning it over and over again and if you don't give further clearance to what you mean it becomes obvious that you may not get the right replies for this thread.

At some point,  I thought what you mean by a profitable system is a workable trading mechanism or skills that give constant profits.

A trading strategy or trading system is nothing more than a series of steps a trader follows which according to them and their backtesting will on average give them profits.

However a trading system is not everything, because if it was then becoming a winning trader would be as easy as just finding those steps and follow them no matter what, but there are many traders out there with solid strategies that still lose money even with such system, so we need to find another way to explain the failure of those traders other than blaming their strategy.

I have a different view mate. You can build confidence without a profitable system, You need discipline to build a profitable system, You can have a consistent gain without a profitable system but those consistent gains don't happen frequently and it doesn't last too. A profitable trading  system when the trader have a plan as well winning strategy.

How do you try to build a profitable system and do you know that trading doesn't always turn out to be profitable? Trading is not always considered suitable for some people because there are many things that need to be learned.

Management is needed in trading and skill is one that will bring us to the stage of making profits and risk management is an important force that can limit one's psychology to what will happen in trading. You have mentioned the system many times in the discussion and I also want to know what system do you mean?

Trading does not always make money when we do not have basic knowledge and even people who have experience in trading are also unable to avoid losing money at certain times.

Every trader has his own trading constitution. I also have my own trading constitution which I always try to follow. As per my constitution I try to approach financial markets with disciplined knowledge and long term perspective. Before I invest anywhere I independently do my thorough research and analysis. I follow risk management strategies and do thorough research while reinvesting. I think I learn from the financial losses I incur through trading to improve my future performance. I try to stay aware of market trends global events economic indicators and above all I keep my patience consistent thinking long term investment thinking rather than short term investing. I think with these principles I will achieve success in my trading at some point.

Trading completely depends on your own skill. The more skill you have, the more likely you are to profit from trading. Most of us traders take trades based only on a guideline rather than using our skills. The guideline is that the price of a coin has gone up a lot and has gone from a lot up to a lot down. But the trading system does not follow this principle at all. A person has to acquire adequate knowledge about trading only then that person becomes fully skilled about trading.

Well, the results depend on these things;
 - skills/strategies
 - knowledge (this includes TA)
 - market approach or decision making

And we only gain success when we don't stop learning and investing more time in doing this. More experience - more knowledge which means that learning instantly is impossible but we could get this along the way while we are still active in trading. That is why we can't expect instant success while we are newbies, that will take time.

Everything starts with risk management as you can’t be a good trader in the process if you never take some risk and manage it. And once you develop that profitable trading system, then it become easier for you to gain discipline and self-confidence, and consistent gains and profits will be more possible if you stick with the profitable system. That clearly shows that trading needs to be work for, and follow a process to make it work.

It is great that you have your own trading philosophy and approach the markets with knowledge discipline and a long term outlook. Your dedication to making well informed decisionand safeguarding capital is evident in the substantial independent research and analysis you conducted before making an investment as well as in how closely you followed risk management plans. A key skill is the ability to use financial setbacks to better one performance moving forward. You stand out because of your knowledge of market trends world affairs and economic indicators as well as your persistence and persistent long term investing thinking. You improve your chances of succeeding in trading by remaining informed and avoiding short term thinking. You are on the correct track to achieving your trading objectives if you are persistent and apply your trading constitution.

The only skill one needs is buying low and selling high. Keep patience through through the price changes and you will do well in the long run. Trading is a long term game not a one day affair hence patience becomes very important.

This becomes complicated if you are going with altcoins trading and not keeping yourself limited in the number of assets. The altcoins carry higher risk and the risk appetite of every person varies. Traders learn this over time and it's vital to recognise - most traders can handle the stress only if they are doing this well.

Confidence is not something you can gain overnight, people often say that you need to fake it until you make it and other silly statements like that, however confidence is built with a good performance over the years and the knowledge you have of your strategy being very good.

So trying to gain confidence and confidence alone is a completely useless exercise, as a trader could have all the confidence on the world, but if their skills are not up to par then soon enough the market will remind them their confidence is unjustified.

Long term investment is better than short term investment. In long term investment you stay calm and don't get disturbed by various news in the market. You know that no matter how much the market falls, your investment is not for a short period of time but for a long period of time that you will have to wait for. It does not affect the affairs of your life.

Whereas in short term investment you are constantly connected with the market. Sometimes your fear increases when the market falls due to any bad news.You have to keep yourself updated with every moment of market news and constantly monitor the market.Sometimes, contrary to our expectations, our guesses may turn out to be wrong. The point is that short-term trading requires you to be very mentally engaged.So you are right that long term investment should be preferred over short term investment.

I agree with you. This is what I said, experience and a good result give self-confidence. It is worth noting that a good result may not come immediately.
As for newbies, the longer they think they're right and the market is wrong, the better it is for the whole market because someone has to lose money so someone else can make money.

I've come to understand that psychology plays a significant role—about 90%. However, I've realized the importance of having a profitable system as the foundation.

The mindset needs to be fixed and then it is no longer in conflict, this is what I have seen. If you are knowing that the bullmarket is the time to sell and not buy like FOMO-madman, you are doing it correct and the opposite in the bearmarket, although the crowd sentiment might be different. This applies to bitcoin and all the big company stocks, because they are here for the long term.

This may or may not work for altcoins and shitcoins, which I never recommend to a newbie or even a veteran trader.

Also patience is essentially important to be able to time your trades properly.

That profitable system that you all are saying is about the strategies that you're going to apply in trading. There's so much to look at with all of these "systems" and "strategies". But the important part here is how profitable they are. Because if they're not profitable at all, you need to make sure that they've been tested and whichever works for you, that's the actual thing that you've been looking for and can that it is your profitable system as the backbone of why you're into trading because you've discovered how to be profitable on it.

But it is not an easy thing to just know you need to buy low and sell high. How can you execute that if you don't know when the price of the market will be considered low now and later on it will go up? The core skill a trader should have is critical thinking. A trader should be able to come up with his or her own technical analysis, applying the things he or she learned, indicators, trends, and many more ways in order to come up with a technical analysis that you will follow and execute, and if your predictions are right, that's when you can say you buy at the low price of the marketof the market and are ready to sell at the high price. Don't make trading as simple as that because we know how risky and dangerous it is. About the OP, we can't understand what the meaning of "profitable system" is. The OP should elaborate on what this "profitable system" is, what it does, and how you can consider it to be profitable?.

You can have a perfect system and good psychology but can you execute your plan? Because trading is not just that, it's also about performance. How do you journal, how do you look back to trading days and study charts, how do you tweak your system better, how do you prime your mentality before the new trading week.  Trading is a rabbit hole. What you repeat you become. So if you are so inconsistent executing your profitable plan, you may still lose your account any given trading hours.

When the bitcoin price drops below 60k, it is a buying signal and if it further 55k and so on, you should definitely be buying. If it continues to drop, ration your available funds into different buying levels as the price continues to drop. Follow this till you are out of cash to spend on buying from your allotment.

Now the selling starts when you start to break even from each level. Keep the least price of buying held back for the maximum profit form that and you can start selling the rest of the positions.

This is one summary of how to apply a buy low sell high method, there are variations to this and you can modify this as per your funds and needs.

If you don't think about your profit or loss before trading, how can you proceed with trading?  Check and trade for a long time, of course we will get proper success. Trade many times even big traders lose patience so we should not lose patience if we can trade patiently with long term investment then we can build our life beautifully from this trade

Is it just me? Labelling it with such system makes it sound like a scam that we usually see on the web.

However, it is true that it all comes with a strategy or you call it a system.

There have been too many traders that think trading is an easy thing and profitable without having solid foundation and knowledge.

But little did the know, they have to go through extreme losses before understanding the profitable strategy that they will come up with.

If we only think about profits at the start then that's clearly not good, because it can make everything fall apart, like with the patience you said. Of course, if at the beginning before trading we think about profits, that already indicates that we are impatient, whereas to trade of course we have to be patient. It is very unlikely that we can make a profit if we only think about profits without thinking about other things.

I agree with what you say, even with big traders who are experienced if they trade and lose patience they can experience potentially large losses. therefore we must be as patient as possible to get good results. and I think the problem is patience, where many people are of course impatient when it comes to profits.