Tips for Trading

[Yatsan]

I exactly agree on what the OP have stated. Never ever go on what is more than your capacity because a lot of risk is already associated on doing trading and putting yourself into the extent of more than what you can will already put your funds into danger. Better get yourself familiarize with the market you are working with so you will have no doubt on deciding what you are supposed to do. This must be applied not just for the new traders entering this industry but as well as for the veterans because this is always being applied most of the time for we aim on gaining not losing. Although losing is part of trading, but still we are making it a point to manage that so we can be able to gain profits.

[milewilda]

I exactly agree on what the OP have stated. Never ever go on what is more than your capacity because a lot of risk is already associated on doing trading and putting yourself into the extent of more than what you can will already put your funds into danger. Better get yourself familiarize with the market you are working with so you will have no doubt on deciding what you are supposed to do. This must be applied not just for the new traders entering this industry but as well as for the veterans because this is always being applied most of the time for we aim on gaining not losing. Although losing is part of trading, but still we are making it a point to manage that so we can be able to gain profits.

Common Golden rule when it comes to investment.

1. Never get greedy
2. Dont invest on the amount that you cant afford to lose
3. Dont chase losses
4. Familiarize everything and keep learning
5. Dont follow others tips and suggestions

Loses are inevitable but somewhat can be lessen out with due experience that you will gain overtime.

[Cherylstar86]

For new trader i want to share my experience. Follow and hope you will enjoy it.

- Don't trade more than you can afford to loose (Specially Bitmex).

- Do not FOMO buy. (Fear of Missing Opportunity)

- Do not FUD Sell. (Fear Uncertainty Doubt)

- Take Profits Out Often, Don't be Greedy. (Put Stop loss in Profits to book it with steps.)

- Accept Stop Losses. (-7% is better then -30%)

- Never Trade against the Trend.

Not Loosing Money is more Important than Making Profits.

Profits in trading is more important to me, but its painful to lose in reality because we only desire to take gains and we aren't prepare to lose. Trading while in the trend is good when you're at long term holdings, but if not? I always recommend not to do it. Buy and sell is risky when there's no skill involved due to volatility.

[Atek33]

Since I am also a new member, I will try to find out from here what are the tips for me and I want to tell you what I know from my own.  We need to learn. If we can learn to trade from a good trader, it will be very good for us.

[barbara44]

Real trading happens when you check charts constantly from one screen and you check the exchange on the other screen, if you have one screen just divide it into two with left side on chart and right side on exchange, you have to do this seriously for whatever hour you want and that's it. If you just "yeah I trade here and there time to time" you are not going to achieve anything, even if you manage to profit "time to time" in the end you are going to lose all your money. Trading is a serious business and everyone should take it seriously if they want to do it.

Yeah, but I believe you must need at the end of day both luck and skill; it is never 100% luck and it is never 100% skills, it is combination of both. I believe 1% or 1000% doesn't matter you have to be a bit lucky to get there, and it is not always easy, sometimes it takes time and that is why I say it is a bit about expertise as well, because you need to know what would go up but you also need to how to react to each situation, sometimes you need to be more careful, sometimes you need to be more fired up, it is not always the same situation so expertise allows you to react accordingly.

Profits you will make show that you definitely have some veteran expertise in trading but also got a bit lucky in the way you traded, that is how you made some profit, combining the luck you got with the experience you have in trading and I hope you make a lot more returns like this.

[Wind_FURY]

For Bitcoin, all you have to do is, ZOOM OUT, see for yourself that it has always been on a trend that has been going up FOR YEARS, and buy the dip, and HODL. No complicated techncal/fundemanetal analysis required, just HODL.

I ain't sure how those who bought in December 2017 after Xmas will react to this advice of yours because for them it would seem that Bitcoin traded down in bearish market for over 2 years. I would think same way too. Imagining buying at $19,000 and then it went down to less than $4,000. You wouldn't call that uptrend would you? My point is this — there are downtrend and uptrend in Bitcoin whether anyone wants to accept it or not isn't a subject for debate. This 2021 will see that uptrend in Bitcoin but I envisage a downtrend this year after.

I believe 99% of them would sell. BUT, there was a lesson to be learned there, a hard lesson, the hard way. Because if they didn’t sell, then their principal investment would be more than double.

Shower thought, if I tell them the same advice today, would they ZOOM OUT or not?

[Noctis Connor]

Since I am also a new member, I will try to find out from here what are the tips for me and I want to tell you what I know from my own.  We need to learn. If we can learn to trade from a good trader, it will be very good for us.

Yes you can find some tips here and some good information regarding of knowledge on bitcoin and of course you can also learn from your mistake as the tips we're given do not afraid to lose money it's a part of making some good profit and if you wanna learn more from trading you should find a good group chat where you can easily have some wonderful information which coins are they going to buy or to be pump in the next few weeks since other coins are volatile you can also earn profit from scratch if you wanna know more internet is your friend you just need to ask him.

[Inkdatar]

Above tips is helpful especially to beginners this will be their guide on trading. Since others taking steps to start right away on trading just to earn without knowing the possible things might happen that it could bring lose or win. Never trade your money that you need just trade the money that you can afford to lose. It is important also to take profit whenever your portfolio is already increase. We never knew the market since it is volatile.

[angrynerd88]

Acknowledged culminate tips for fledglings and must take after these tips to dodge misfortunes, I think they can't make a benefit and difficult to exchange. You wish continuously to oversee your feeling in trading because that can trigger you to induce covetous to chase benefit. On the off chance that you still try to chase benefit, you superior analyze more profound to discover in case there's a chance for you to exchange more or halt for a whereas since that will depend on the showcase developments. That tip is the essential tip for all dealers, but tragically, we continuously overlooked around that since we need to create a greater benefit.

[isaac_clarke22]

~

To wrap this list into a single guideline for all the newbies: Don't go into trading if you're easily driven emotionally. Regardless if you're winning or not. I've been there when I was still day trading back then.
Panic selling is common thing to happen, but if you know it is just the way that the coin really go when it comes to price then you should think twice what you're doing.

[seleme]

Avoid margin trading and leverage if you have no idea what you are doing. The risky leverages trades can go against your capital profitability if the trade margin can't handle market volatility. Stop-out and margin calls are normal for the average Bitmex trader but for high amounts, the losses can be very serious. I prefer to diversify the risk by increasing the trade size while the market trend goes in my way.

~

To wrap this list into a single guideline for all the newbies: Don't go into trading if you're easily driven emotionally. Regardless if you're winning or not. I've been there when I was still day trading back then.
Panic selling is common thing to happen, but if you know it is just the way that the coin really go when it comes to price then you should think twice what you're doing.

Emotional trading is the worst enemy of any trader, being careful is necessary to avoid simple mistakes. The market can stay irrational longer than we as traders stay rational, day trading doesn't worth watching every single market movement tick in the long term.

[kawetsriyanto]

~snip~

Those tips are very simple, but they really work, I also do the same when trading, moreover I am not good enough at trading. Only just starting my trading journey a few months ago as a daily activity. learning from the basics, managing the funds, and also the risks are also very important.
Additionally, if we are beginners, it is better to start from the spot market at first. Then, if you are ready enough, you may try to get into a Future market. But this is a high risk, so prepare yourself and make yourself really ready for the high risk
Note High risks, high profits, high risks again.

[doomloop]

- Don't trade more than you can afford to loose (Specially Bitmex).

- Do not FOMO buy. (Fear of Missing Opportunity)

- Do not FUD Sell. (Fear Uncertainty Doubt)

- Take Profits Out Often, Don't be Greedy. (Put Stop loss in Profits to book it with steps.)

- Accept Stop Losses. (-7% is better then -30%)

- Never Trade against the Trend.

I guess all of above tips works best when you use a trading bot by this logic. Smooth? Sure a bot would never get FOMO, it would never get hyped, it would never have any feelings whatsoever because its a trading bot and doesn't have any feelings.

Mechanical? Well, trading bot is the peak of mechanical, because its literally a software, how more mechanical can anything get? Adaptable, well you can either change strategies, or make it machine learning, or you could simple have strategies that are adaptive if you can find one.

Risk averse? You could literally put all the danger and alert and emergency things in there, you could be saving money from crashing even while you are asleep. And it is tool oriented, literally a tool itself. So I would say all the things you suggested looks like you should be using a trading bot instead of doing manual trading.

[jostorres]

- Don't trade more than you can afford to loose (Specially Bitmex).

- Do not FOMO buy. (Fear of Missing Opportunity)

- Do not FUD Sell. (Fear Uncertainty Doubt)

- Take Profits Out Often, Don't be Greedy. (Put Stop loss in Profits to book it with steps.)

- Accept Stop Losses. (-7% is better then -30%)

- Never Trade against the Trend.

Even as an experienced trader I still have to follow these rules all the time. And it’s good to always have your own target that you think would be right for you to sell, because when you have that target you wouldn’t really be moved to sell your coins when there is FUD.

The importance of putting your money at the right time means that you will more chance to consider your options; when you invest at the right time the market will go up and you will make profit, and as it goes up there can be a little backslide but because you got in at the right position, you wouldn’t shake like others, you can stay calm and work on your trades.

[Silberman]

• Do a lot of backtesting (testing your strategy based on historical data) and papertrading (testing your strategy based on live data with no real money involved) before jumping on real trade. You can improve your trading skills and trading strategy without losing any money. You will learn your weak points and also it will help you understanding the market behaviour. There are couple of good platforms who offers that.

To me this is by far the most important thing that people need to do and that very few people actually go to the trouble of doing, backtesting is critical, people are always looking for a system to make money in the markets and in fact there are many, but just as there are many successful strategies there are many strategies that lose money, how can you differentiate them? And the only way to do that is by backtesting the strategy over several market conditions and do so in several markets and then see if it works, I know this is a lot of work but it is the only way to be completely sure that you have a chance to make money in markets.

[Mahanton]

• Do a lot of backtesting (testing your strategy based on historical data) and papertrading (testing your strategy based on live data with no real money involved) before jumping on real trade. You can improve your trading skills and trading strategy without losing any money. You will learn your weak points and also it will help you understanding the market behaviour. There are couple of good platforms who offers that.

To me this is by far the most important thing that people need to do and that very few people actually go to the trouble of doing, backtesting is critical, people are always looking for a system to make money in the markets and in fact there are many, but just as there are many successful strategies there are many strategies that lose money, how can you differentiate them? And the only way to do that is by backtesting the strategy over several market conditions and do so in several markets and then see if it works, I know this is a lot of work but it is the only way to be completely sure that you have a chance to make money in markets.

Backtesting is good but due to volatility and the behavior of this market then it is somehow a bit pointless but actually this can really
give you the idea on how you should gonna do in times that you are able to experience or meet up.Backtesting is something that
majority of people do really miss out to do and I agree with that but some are already aware and just that lazy or just found it
that it isn't really that much needed.

Testing out various ways is better rather than on focusing on a single strategy because you wouldn't know on where the price will be going.

[Silberman]

To me this is by far the most important thing that people need to do and that very few people actually go to the trouble of doing, backtesting is critical, people are always looking for a system to make money in the markets and in fact there are many, but just as there are many successful strategies there are many strategies that lose money, how can you differentiate them? And the only way to do that is by backtesting the strategy over several market conditions and do so in several markets and then see if it works, I know this is a lot of work but it is the only way to be completely sure that you have a chance to make money in markets.

Backtesting is good but due to volatility and the behavior of this market then it is somehow a bit pointless but actually this can really
give you the idea on how you should gonna do in times that you are able to experience or meet up.Backtesting is something that
majority of people do really miss out to do and I agree with that but some are already aware and just that lazy or just found it
that it isn't really that much needed.

Testing out various ways is better rather than on focusing on a single strategy because you wouldn't know on where the price will be going.

I will have to disagree with you there, backtesting your strategy is never useless, even if you find out that the strategy that you are using does not work and it loses money at least now you know the truth and you can stop apply the strategy in the market, as I said backtesting should be applied under different market conditions, it is true that the volatility of the market is going to make that harder but you also need to apply your backtest when this market is going through a period of stability, that way you will get a better idea of how your system is going to perform under all kind of conditions.

[Mr.right85]

Always develop or have your own trading plan. It would go a long way to making sure you don't lay yourself too open or close to changing status of the market.

[FanEagle]

backtesting your strategy is never useless, even if you find out that the strategy that you are using does not work and it loses money at least now you know the truth and you can stop apply the strategy in the market, as I said backtesting should be applied under different market conditions, it is true that the volatility of the market is going to make that harder but you also need to apply your backtest when this market is going through a period of stability, that way you will get a better idea of how your system is going to perform under all kind of conditions.

You can't just stop backtesting and "not lose money" because backtesting is free, you just test whatever you want. I honestly think that backtesting is still useless because the future is not written and even if you think you know everything, you really do not know, but at the end of the day it is just another indicator that you could use, that is fine and I think it is not going to be really that difficult to use it for your advantage without hoping that you would be doing nothing at all instead.

What I mean is, if you use backtesting, and take that as 100% true and use that strategy that means you could lose money (you could earn too) but if you do backtesting, and use that as another data that you have in your arsenal along with many other things, that means you will probably profit. So do backtesting, but do not make it 100% the reason why and how you trade.

[Silberman]

backtesting your strategy is never useless, even if you find out that the strategy that you are using does not work and it loses money at least now you know the truth and you can stop apply the strategy in the market, as I said backtesting should be applied under different market conditions, it is true that the volatility of the market is going to make that harder but you also need to apply your backtest when this market is going through a period of stability, that way you will get a better idea of how your system is going to perform under all kind of conditions.

You can't just stop backtesting and "not lose money" because backtesting is free, you just test whatever you want. I honestly think that backtesting is still useless because the future is not written and even if you think you know everything, you really do not know, but at the end of the day it is just another indicator that you could use, that is fine and I think it is not going to be really that difficult to use it for your advantage without hoping that you would be doing nothing at all instead.

What I mean is, if you use backtesting, and take that as 100% true and use that strategy that means you could lose money (you could earn too) but if you do backtesting, and use that as another data that you have in your arsenal along with many other things, that means you will probably profit. So do backtesting, but do not make it 100% the reason why and how you trade.

I am still surprised to see that people think that backtesting is useless, just a question even if we know that the past cannot be used to predict future movements of the markets how exactly then are you going to determine if the strategy that you use actually earns money? The only way to do that is to test your strategy against the past movements of the market, also as I have said the key to backtesting is to do so for long enough for your strategy to face different market conditions, then if the strategy is still profitable then you know with a high degree of certainty that the strategy will actually earn money as long as you follow it.