Bitinsure. Working ways to save the deposit and increase profits

[Bitinsure]

Hello traders!

We are developing a trading software that helps to avoid losses, increase profits and save time. Having expertise in trading and developing an idea of the software we revealed the most essential topics that were asked by our customers and other traders. We'd like to share what we discovered and cover these topics in this thread.
 
So, here we will aggregate the articles and other materials on these topics that mostly consider building effective trading systems that bring stable profits.


The major topics:
- Risk management in trading
- Money management
- Trader's psychology
- Trading software

Share your experience, request more articles and ask questions!

Best wishes and profitable trades,
Bitinsure team

P.S. Try the software! Free trial is available!
https://www.bitinsure.com/

[Bitinsure]

WHEN IT IS BETTER NOT TO TRADE

https://i.postimg.cc/D0GDnrJB/When-it-is-better-not-to-trade-social.png

Trading is a difficult job. Choosing when to trade is hard too! But they both may result in impressive profits. Sometimes your willingness to trade is so strong that you ignore the crucial factors harmful for your trading performance.
Read about the times when trading is not recommended, even if you are extremely bored of quarantine
Stay safe & keep your deposit safe!
https://www.bitinsure.com/blog/?p=197

[Bitinsure]

Key trading performance metrics. Profit factor

It’s typical of any successful trader to evaluate final trading results for particular periods. It provides traders with plenty of opportunities for more profits, revealing the strengths of the trading system and also rooms for improvement. That is why the evaluation stage is considered to be one of the most essential parts of trading that contributes notably to profitability. Then the question arises: How to assess your results adequately?

Firstly, obviously, you need to have the data to assess. It means that your trading performance should be tracked constantly to be assessed at this or that period. Thus, the first point is to gather trading statistics. By the way, in hedge funds that stably earn huge amounts of money, the statistics is one of the most powerful instruments that is always monitored and controlled by auditors. Just do the same!

Secondly, the “naked” statistics you gather is not enough to get a comprehensive picture of your trading performance. It is helpful indeed, but the trading report also should contain special trading performance metrics that provide you with a tremendous amount of data to test or evaluate your trading system.

To illustrate the obligatory need for supportive calculations, imagine yourself being aware of your final, let it be, monthly, profitability. In this case, you see (hopefully) the positive number, but you are not really able to evaluate your trading strategy because you do not know the price you paid for your earnings, although it might be too high. This way, you are not aware of the trading performance efficiency and not able to increase earnings accordingly.

That is why professional traders use trading performance metrics. Among the key ones, there is a profit factor, maximum drawdown, total, and average net profit, etc. In this article, we explain the profit factor, one of the basic but fundamental metrics.

Profit factor is calculated as the gross profit divided by the gross loss (in other words the total losses including the commissions) for a particular trading period.

Profit factor = gross profit / gross loss

This way, we get a number that reveals our profit amount per risk unit. The number is crucial for traders, as trading consists of wins and losses that you can’t avoid. The profit factor reveals the degree of how your profits are higher than losses, in other words, the efficiency of the trading system.

Find more detailed description here:
https://www.bitinsure.com/blog/?p=207

[4IRIK]

Key trading performance metrics. Profit factor

It’s typical of any successful trader to evaluate final trading results for particular periods. It provides traders with plenty of opportunities for more profits, revealing the strengths of the trading system and also rooms for improvement. That is why the evaluation stage is considered to be one of the most essential parts of trading that contributes notably to profitability. Then the question arises: How to assess your results adequately?

Firstly, obviously, you need to have the data to assess. It means that your trading performance should be tracked constantly to be assessed at this or that period. Thus, the first point is to gather trading statistics. By the way, in hedge funds that stably earn huge amounts of money, the statistics is one of the most powerful instruments that is always monitored and controlled by auditors. Just do the same!

Secondly, the “naked” statistics you gather is not enough to get a comprehensive picture of your trading performance. It is helpful indeed, but the trading report also should contain special trading performance metrics that provide you with a tremendous amount of data to test or evaluate your trading system.

To illustrate the obligatory need for supportive calculations, imagine yourself being aware of your final, let it be, monthly, profitability. In this case, you see (hopefully) the positive number, but you are not really able to evaluate your trading strategy because you do not know the price you paid for your earnings, although it might be too high. This way, you are not aware of the trading performance efficiency and not able to increase earnings accordingly.

That is why professional traders use trading performance metrics. Among the key ones, there is a profit factor, maximum drawdown, total, and average net profit, etc. In this article, we explain the profit factor, one of the basic but fundamental metrics.

Profit factor is calculated as the gross profit divided by the gross loss (in other words the total losses including the commissions) for a particular trading period.

Profit factor = gross profit / gross loss

This way, we get a number that reveals our profit amount per risk unit. The number is crucial for traders, as trading consists of wins and losses that you can’t avoid. The profit factor reveals the degree of how your profits are higher than losses, in other words, the efficiency of the trading system.

Find more detailed description here:
https://www.bitinsure.com/blog/?p=207

THANK YOU!! Waiting for the article about drawdown.

[Bitum]

I have a few questions, how long is trial valid? Are there any statistics where you can judge how effective sofware is? Maybe from other users? Or is it only with your own experience? Because $ 100 is not cheap. Thanks for the answer

[Bitinsure]

I have a few questions, how long is trial valid? Are there any statistics where you can judge how effective sofware is? Maybe from other users? Or is it only with your own experience? Because $ 100 is not cheap. Thanks for the answer

Hello! You can use free trial for 15 days. Also, a basic plan is available ($15)

As for the user experience, you can find some feedback at our official website:
https://www.bitinsure.com

Thank you!

[Bitinsure]

KEY TRADING PERFORMANCE METRICS

Maximum drawdown

Assessing trading performance is an effective way to improve your trading system and get more profits. Read about the profit factor, one of the key performance metrics to rely on. Assess, improve and achieve your trading goals!

In this article we continue discussing key trading performance metrics that contribute to your trading strategy all-round assessment, resulting in crucial improvements and constantly increasing profitability.

What is essential to remind you from the previous article is that there are two pillars of successful progressive trading that are:

Precise recording of trading statistics (manually and/or automatically),
Calculation of additional trading performance metrics.
By completing these actions, you get an idea of your trading performance and a comprehensive picture of its efficiency via key trading metrics that provide you with valuable insights of your strengths and weaknesses. Among these metrics, there are profit factor (discussed in a previous article), maximum drawdown, total, and average net profit, etc. In this article, we are covering the maximum drawdown, one of the most essential risk assessment indicators.

Maximum drawdown (MDD) is a metric that means a peak-to-trough decline of your deposit (before a new high is reached) during a particular period of time. Simply, the maximum losses you suffered.

Read more:
https://www.bitinsure.com/blog/key-trading-performance-metrics-maximum-drawdown/

[Bitinsure]

HOW TO DEAL WITH LOSSES IN TRADING

Nobody likes to lose. It’s an undeniable fact that we should accept. Trading is related to wins and losses that we also cannot doubt about. Thus, having losses and feeling uncomfortable with them is common in trading, however, each perceives it in their own way. And this way of perception significantly influences the results of trading. Here a common mistake appears: The people are not accepting losses. Almost everyone feels more negative emotions having a loss of the amount A and less positive feelings with the same amount of profits (here we deal with humans’ psychology).

Let us look at how it works. Below you can see the charts with two assets you invested in a year ago. The first one (A) is bringing you profits, while the second one (B) – losses. And imagine you have a choice to close one of the trades to buy a new asset. What would you do?

https://i.postimg.cc/k444LK5T/losses.png

Read the full post here: https://www.bitinsure.com/blog/how-to-deal-with-losses-in-trading/