Hello; I'm pretty new at trading crypto. I'm interested about thoughts and strategies about stop-loss percentages and strategies you guys use. at first I would not sell at a loss regardless my motto was "at least 5% profit, always" but if I want to trade more with a limited budget, I need to back out from certain coins even at a loss. that's why I'm interested about this topic.
Yes the back out you talking about is the first thing that we should always care about. For getting successful trade we must always keep the loss track and even if it is good coin and we know that it will come back one should always stop the loss. I do this because there is always vulnerability of the coin going more down than what we are seeing. If it does then it gets very hard to come back from the situation like that. There is also one more strategy one can apply and thats buying the coin (the good one) but with -% of signals currently. Because it gives you pre idea that once the coin is in green zone we are ready to sell! The last week was the amazing one and I earned huge with this strategy on. Hope that the negative signs come up again soon!
Frowsiter first you say that we know that good coin will come back, if
good coin will always recover price then why you say "one should always sto
the loss"?
I bought some bitcoins for $4300, soon after price dropped to $3000. I did
not stop cause I knew it will recover, now I am in profit. Choosing coin for
investing in it and having faith is important. Stopping loses is strategy for alt-coins
that are unstable. Always invest in bitcoins, stable alt-coins with future, and wait.
If you wish to be a trader you need to know how to notice peaks and dips. If you
do not know how to do it you need to practice.