Tips for Trading

[zanezane]

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

Not Loosing Money is more Important than Making Profits.

A regards this, i think as a trader you should not be scared of loosing money; because how can you trade every day without a record of loss? Instead a trader should realize that making more profits than losses is vital; and this is were emotional balance and stop loss comes into play, Always do your researches too; and take a loss in trading as a lesson instead of a loss.

I think what @Hobo66 say do make sense, better to get a 0 than a -1. Understandable that at first you will be losing money but when you have been trading for years now, I think that having a loss should be a problem for you because it indicates that you did not improve overtime. I do agree with your other advice, they are just some of things that I follow. I would love to add that you also should create a safety net for a possible loss especially if you are just a beginner trader, an emergency fund will take you a long way to shoulder some day to day expenses, most recommend a 6 month period of funds but I would like to advice to stretch it to a 1 year.

[blckhawk]

...

I felt I read a lot of threads regarding this but I appreciate it. Of course, it is better to keep reminding it so that newbies make less a mistake as much as possible. To be honest, these tips are easier to be said but when you are in the actual situation I bet you might not able to follow them. Like when making an exit, most folks are getting greedy when they getting so much profit and so does if they chasing their losses. You know what maybe if you can able to control your emotions you could pull it through.

[laredo7mm]

- 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%)

I never use stop loss and I think there is a better option to deal with a negative trade. A good trader always keeps some funds in reserve and use it if one of his trade goes against him. If the market falls below my entry points then I can lower my average buy by buying the dip again. I think this strategy is better than using stop lose.

Not Loosing Money is more Important than Making Profits.

This is one key strategy that could increase a trader's winning rate. A trader can make money not only by winning but also eliminate all of those losing trade.

[fahmimajannat]

There are many things to keep in mind while trading.
1. Never get emotional. Do proper research than invest.
2. Keep faith in Almighty Allah and keep patience
3. Follow the market trend.
4. Never buy while the price is 2x/3x.

[Insanerman]

@OP i think you should add this as well.

Have a trading plan.
Engage with other traders.

For many months of learning how to trade, I also keeps losing even I have enough knowledge in risks and making stop-losses. Having a trading plan relieves all the risks as you would have an overview on what would be your limit and what would be your next step once your trade is going green but you still think that pushing it is fine. Also, having group of people that is active in trading and would love to share their trading position is a plus. And your worries of losing would be less if your friends tell that their speculation is this and you would compare yours to them to come up with a better strategy.

[Silberman]

Not Loosing Money is more Important than Making Profits.

This is by far the important rule, people when they think of trading think of all the money they are going to make not understanding that if they actually try to make as much money with their small capital they will soon lose it all, the most important thing to learn is to trade defensively and not lose money, it is obvious this way of trading will not produce the huge profits everyone wants but over the years and the decades it is the only way of trading that will make you wealthy.

[error08]

Not Loosing Money is more Important than Making Profits.

This is by far the important rule, people when they think of trading think of all the money they are going to make not understanding that if they actually try to make as much money with their small capital they will soon lose it all, the most important thing to learn is to trade defensively and not lose money, it is obvious this way of trading will not produce the huge profits everyone wants but over the years and the decades it is the only way of trading that will make you wealthy.

The main target of trading is to make profits, not the other way around, so stop loss is a common feature for traders but not for long-term holders, they prefer to buy the dip rather than sell at a loss because we know bitcoin value will increase eventually. The idea of trading is like gambling where people who don't know to predict the market will lose but the people who lose money are those who cannot be patient waiting for the price of bitcoin to recover, yes it may take weeks, months, or years but it will someday.
A different situation for trading altcoins, better sell it before its value diminishes for good, hence do not trade shitcoins, stick to some major coins in the market such as eth and ltc.

[gabbie2010]

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.

Good tips I always emphasize trading with the trend in any trade although a trader need to learn how to enter a trending market so as to earn decent profits, I risk 2% for any of my trade which is the highest amount of money I can afford to lose in any trade once the price hits stop loss I humbly accept my loss and move on to another trade with high reward to risk ratio while taking profits at the appropriate price coupled with my own money management. I can well manage FUD and FOMO now unlike when I started trading it was a big challenge for me then.

[Kelvinid]

Have you been successful in your trading carrier?

Well, these tips are simple to say but the question is if traders are consistently applying them. The most common problem why traders had to fail is that they are not committed to their goal( they don't have).

FUDs, FOMO? These are something special and most new traders have been fooled.
Greediness is normal that is why we have to work but in a way we have to set a limit, should not be over otherwise, it also gives you losses.

[tastycereal]

When trading, you also need to have the knowledge, it's not just that you just hold a coin, buy and sell, etc. Before you try, you must first study everything contained in it.
Because once you are there, it will be a puzzle to you every day, whether you will take a risk or wait.
You can actually consider these:
Be Aware. ...
Understand the Exchanges. ...
Understand Value. ...
Minimize Diversity. ...
Don't Cash Out Right Away. ...
Is a High a real High? ...
Be Wary of Exchanges.

[LimLims]

The last line of the OP is truely promising.
It’s better to get no profit then losses.
But yes many traders often make mistakes and they make losses.
If you greed for profits then ultimately you will miss the golden chance to sell and for which you will make loss.
And the most important tip for trading is that, trade when you can afford to lose.
If you do trading like Gambling then ultimately you will end up with losses.

[Wind_FURY]

"- Never Trade against the Trend"  This is the most difficult part to analyze in the world of trading especially if you enter any trades without enough knowledge the most common mistakes of new traders thats why a basic understanding for TA/FA is really needed before entering trades this may saves a lot of money to new traders who wants to earn thousands in just a day of trading activity.

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.

[thecryptogandalf]

I think it is important to test your strategies and learning on backtesting(bases on historical data) and Papertrading(Bases on Live Data without real money involved) and study those results and improve your strategy before you jump on the real trading. There are some good platforms who offers backtesting and papertrading.

Also, risk and money management is so critical, you should do all these well planned before entering the trade. And execute your plan without any change during the trade, because you know emotions are the biggest disadvantage we have during the trade. According to some studies more than 50% of the traders ends up losses coz of psychological factors. We tend to act with panic or ego or greediness or over excitement etc. during our trade which drift us away from rationality.

[Ridwan Fauzi]

Each trader needs to make a good trading system, if they forget it they will always lose their money, yeah how no matter how much money they spend I bet they will lose all of them. Therefore, choosing to get money be it as a side income or even source income is the wrong way if you don't know some step to be a real trader, no trader who just copied someone else prediction or someone else signal.

That only will make you continuously make a deposit without you withdraw your money. Indeed, all the things will have a process, you won't lose forever but you will never get the profit you want. Your target will always exceed the ability you made, as mentioned in the OP, if your target loss is 30% of your capital and you lose it then you will have a big target to get profit in order to your losses can be covered, this is very impossible to do, your psychology will slowly disintegrate.

[Renampun]

...

everything you do has the potential to lose or gain...
for me, it doesn't matter to follow market trends, we just have to be more careful about what are we going to do is right! at least if you want to be a successful trader then you have to be able to make your own decisions and not rely solely on other people's decisions.

[Wind_FURY]

My Bitcoin trading tip of the day:  HODL, and buy the dips below $30,000. I truly believe $30,000 has become the “new $10,000”. The price will move up and down that point before resuming the original path to 6 digits.

ZOOM OUT.

[saffira]

Someone like me needs such a good advise. It is important to set the limit while trading. We should be decided in every move so we do not have regret in the end. Thank you sir for your advice.

[Mpamaegbu]

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.

[Serious475]

One of my biggest regrets is not to put an investment when the price of the bitcoin and there are on the bottom frag this is the time to make a good position trade. People rapidly invested just to follow the flow of the market for sure some people make a trade on this time and use the different conclusion to win their trade. Base on my experience this is what I've learned.

You will not feel the profit in a small amount.
Always set a Take Profit / Stop Loss - TP/SL
Follow the trend
If you have large funds set the leverage to 15-50x

[ice098]

One of my biggest regrets is not to put an investment when the price of the bitcoin and there are on the bottom frag this is the time to make a good position trade. People rapidly invested just to follow the flow of the market for sure some people make a trade on this time and use the different conclusion to win their trade. Base on my experience this is what I've learned.

You will not feel the profit in a small amount.
Always set a Take Profit / Stop Loss - TP/SL
Follow the trend
If you have large funds set the leverage to 15-50x

If you are not willing to lose too much you should set stop loss, I think it is just a precautionary measure every trader should learn how to use trailing stop, stop limit, market and limit and every thing that is related to trading as well as how to compute margin and leverage. We will all learn these things as time passes by and as we move forward a lot of disappointment may come in our way, but we need to learn from this, if we will not learn we will still feel the same way and we will not prevent these things to happen again.