10 tips to manage one's emotions while trading crypto.

[Latviand]

As much as you all want to believe this is the right thing to do, remember that this stuff takes practice and having a steel nerves when it comes to trading doesn't come as quick as reading the tips. You need to make it a habit and commit yourself to be disciplined to the point that you can do it without being aware that you can do it. I wouldn't agree with not keeping track of your profits and losses though, I think it can help you manage your emotions and at the same time see if you have made progress with your trading. Also, don't practice controlling your emotions just for trading, make it so that you can really control your emotions even on other things.

[ancafe]

It is true that not everyone can enter crypto trading. And some people have even tried to explore crypto trading for quite a long time. But they still can't get used to crypto trading which is indeed more emotionally draining and overall mentality. So we find a lot of users in this forum who talk about they don't trade and they only focus on investing. And for those who feel they are not ready for trading, choosing to invest is the right thing, especially in bitcoin. Especially if you use a DCA strategy that can minimize the psychological impact on the investor.

It is important to recognize our own skills first, so that we do not waste time in a place that cannot give us profit. Many people who often say they are not accustomed to trading and even have learned long enough, trading will be far more risky compared to investment so that the decision to choose one depends on how we are able to be responsible for the money we place. Not that we are afraid of risks because actually the risk must be minimized not to be feared and must act to find solutions.

I agree that experience is the best. Because I personally feel that my mentality is getting better in trading after I get involved in trading more and more. Although I am not an active trader in crypto. But I do it quite often whenever I have free time from my main job. such as when on vacation and when relaxing. And without experience of course someone will not be able to improve their own emotional control in trading. Because it takes direct involvement in this matter to be able to assess the actual situation in trading that looks easy when in fact it is not easy.

We will be taught many things when experience has been formed and almost many people who consistently study trading get results, even when undergoing the learning process we get losses from some trading that we live. I have a friend who is very proficient in trading and when he wants to buy cigarettes and drink coffee usually he will take a trading position first even though not every time he gets a profit. But he told me one thing that even though he understood it more trade patterns, he preferred long -term investment in bitcoin because he could not always control emotions when involved in trading.

[TheUltraElite]

The fact that controlling emotions is something that comes with time and practice not something that can happen overnight and this is applicable to all aspects of life not just trading as some members have rightly pointed out. Being able to prevent the turbulence of emotions is something I personally feel to be as important as controlling emotions is. The major stress here is loans, bills and family issues. They can be prevented by healthy trading habits like not taking loans, keeping the day job running and so on.

Still if someone finds managing their emotions when trading is becoming tough, they should stop trading.

[Richkiedx]

Hello everyone !


10 tips to manage one's emotion while trading crypto

1.) Create a trading plan
2.) Trust your technical analysis
3.) don't be nervous if your pnl is red, you have a stop loss
4.) Manage your risk
5.) Respect your loses not all your trades are wins
6.) don't do revenge trading
7.) Do not trade when the market is too volatile it's hard to analyze like that
8.) Back test your stop loss its help you to improve and next time you won't do it again
9.) Winning everyday is imposible
10.)mostly discipline in trading is the key to success

for me these tips help me but all traders know how to handle their emotions when they trade, discipline and knowledge of the trade is all you need here

[internetional]

5.) Respect your loses not all your trades are wins
8.) Back test your stop loss its help you to improve and next time you won't do it again
9.) Winning everyday is imposible

What’s the difference between the tips No. 5 and 9?

Concerning the 8th idea, I can say that it broke my emotional stability once.

When I set my stop-loss level based on historical data, I actually tailor the outcome to fit the history. For instance, in history, I see that a stop-loss at -4% falsely triggers in 25% of cases, while a stop-loss at -5% only falsely triggers in 5% of cases. So, I once opened 20 positions across 20 assets with a -5% stop-loss, but suddenly, the market sharply declined, hit all my 20 stop-losses and reversed.

History doesn't always repeat itself. Stop-losses are better placed based on a different principle rather than historical data.

[macson]

4. Don’t keep track of profit and loss

i do not agree with the advice in number 4, trading is an activity that deals with money and when you do it, you must record the profits and losses that you generate for a week or a month, the purpose for what?  that is so you can learn where your mistakes are and correct your mistakes in the future, besides that you can also put the brakes on your expenses in trading.

5. Keep your mind on the plan.

yep, this is what many newbie traders often forget, they forget the plans they have laid out from the start, they get carried away by emotions in trading, when they win they don't stop temporarily and when they lose they don't stop too temporarily, it's important to set limits in trading, set what percentage of profit you stop and also set what percentage of loss you stop, get used to being disciplined even in your own plans.

[Distinctin]

Acting on anger will lose your focus. That's what you have to control because having that emotion will make you a reckless type of trader. You won't believe that it actually happened when you're in that position and you will be surprised when it has actually happened.

Thank you so much for presenting these essential tips so beautifully. Emotions are a big obstacle in trading. That's why emotions have to be strictly controlled in trading. Without control emotions we will be loser from trading. I think these tips are very important in trading. Who will follow this tips properly he will be gainer in trading.

It is true, it is an obstacle that you'll never like. Because once you let your emotion be the one to manipulate you, you'll not be able to control the setting of your mood. And with that, that will affect your trading decisions.

Trading is a battle of emotions, and if you are incapable of controlling your own emotions, you will never be good enough to win over your trades. That way, it’s better if you stay hodling your coins for a longer time than trying to engage in trading and yet, you cannot maximize your focus and concentration to stick with your goal. Greed is a naturally human behavior, if you can’t stop it, at least learn how to control or minimize it when you are actually in trading.

[carlfebz2]

Hello everyone !


10 tips to manage one's emotion while trading crypto

1.) Create a trading plan
2.) Trust your technical analysis
3.) don't be nervous if your pnl is red, you have a stop loss
4.) Manage your risk
5.) Respect your loses not all your trades are wins
6.) don't do revenge trading
7.) Do not trade when the market is too volatile it's hard to analyze like that
8.) Back test your stop loss its help you to improve and next time you won't do it again
9.) Winning everyday is imposible
10.)mostly discipline in trading is the key to success

for me these tips help me but all traders know how to handle their emotions when they trade, discipline and knowledge of the trade is all you need here

Some of things needs to be add up too. 

11. Set plan B's or C's
12. Having control of your emotion
13. Learn on your mistakes
14. Be versatile
15. Easily accepts on losses and proceed on
16. Minimize risks as much as possible

Although these things are really that common or really that something it is really that basic but on the time that you are already on trading field or
with the market then you would definitely say that it was never been easy. You would be able to realize these things on the time
that you do have that actual experience but somewhat having be able to read up on the time before you do able to start at least then
you do have at least the idea on what things should be done.

[justdimin]

5.) Respect your loses not all your trades are wins
8.) Back test your stop loss its help you to improve and next time you won't do it again
9.) Winning everyday is imposible

What’s the difference between the tips No. 5 and 9?

Concerning the 8th idea, I can say that it broke my emotional stability once.

When I set my stop-loss level based on historical data, I actually tailor the outcome to fit the history. For instance, in history, I see that a stop-loss at -4% falsely triggers in 25% of cases, while a stop-loss at -5% only falsely triggers in 5% of cases. So, I once opened 20 positions across 20 assets with a -5% stop-loss, but suddenly, the market sharply declined, hit all my 20 stop-losses and reversed.

History doesn't always repeat itself. Stop-losses are better placed based on a different principle rather than historical data.

I think it was just done in a hurry to get some merit and that's about it. But to make it clearer about loses, you need to research them and find out why they were losses and not wins. If you are careful and you figure out what's the reason is, then you are going to end up with a better result without a doubt.

I think it would not be possible for people to make a big difference that quickly and should be a lot better on the long run. I believe that we are going to end up with a result that would be profitable if we know what isn't profitable. If you know the bad ones, then you know how to avoid them and whatever left should be wins, if there are still any bads left, you just learn them too and move on to better results.