Reversal Psychology !

[milewilda]

One has to focus on both the Technical and Fundamental analysis because poor knowledge in one may lead to inaccurate analysis whereby, making it look like the market tends to work against our trades.
A very good psychology coupled with risk management would be a perequisite for a good trader cause this being one of the  characteristics of successful traders who had really acquired much from the market.

IMHO, you shouldn't pay attention to technical analysis about price forecasting at all, because technical analysis, like graphical analysis, works for the time being and will never predict a price collapse for you. Not a single indicator showed that a collapse was coming soon, the indicators began to work after the collapse began. The best way to determine market sentiment is fundamental analysis, statements of some large companies or states even before they get into the media. Here is the best indicator, and technical analysis is more suitable for trading, leave it to speculators.

Why would focus on one if you can have both? Technicals plus Fundamentals would be a good tandem if you do ask be but somehow this will require more effort and time for you to seek out these information
for you own benefit or to be add up into your analysis. There no thing on this world would able to happen on what would happen next but at least there are some hints which you can really presume out
on possibilities of things to happen ahead basing up into that sentiment that you have seen. Its up to someone on how they would really be taking it and
make out some appropriate actions for you to utilize such stuff.

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[irsykes]

Grateful, panic, it is all in a package with our emotion. Basic thing that we must be good at beside technical analysis. Because if we can't control our emotion, not only we always feel not enough, but panic in every suddenly movement of market can cause we get big losses too and then regret it.

[Hippocrypto]

Grateful, panic, it is all in a package with our emotion. Basic thing that we must be good at beside technical analysis. Because if we can't control our emotion, not only we always feel not enough, but panic in every suddenly movement of market can cause we get big losses too and then regret it.

Sometimes we need to listen to our perspectives which of could came to a wrong decision with respect to losses. However, controlling our emotions would possibly affects us internally because when market drops badly regrets also comes in. You'll think of an idea of what ifs, like you're taking advantage by the time the market got an outstanding price then you'll choose not to panic.
So, this made an idealistic point of view now and we should follow what our heart says to avoid certain regrets.

[GelatikKembar]

Grateful, panic, it is all in a package with our emotion. Basic thing that we must be good at beside technical analysis. Because if we can't control our emotion, not only we always feel not enough, but panic in every suddenly movement of market can cause we get big losses too and then regret it.

Sometimes we need to listen to our perspectives which of could came to a wrong decision with respect to losses. However, controlling our emotions would possibly affects us internally because when market drops badly regrets also comes in. You'll think of an idea of what ifs, like you're taking advantage by the time the market got an outstanding price then you'll choose not to panic.
So, this made an idealistic point of view now and we should follow what our heart says to avoid certain regrets.

In essence we have to be able to control ourselves because in my opinion it is very influential in making a decision,
the most important thing in any condition try to keep our minds calm,
and in such a condition the market falls indirectly it creates panic but we have to control it

[perfect999]

This is all because there are a huge number of short-term and medium-term speculators on the market, and so few really real holders. But the market loves such players, for this, all these dumps and corrections are created, the market loves to shake out all the money from the crowd.

Yeah, which is basically the rich getting richer and poor being wrecked. This is another bi-product of what happens when people follow some influencers and do whatever their idol is saying/tweeting or even sharing. These influencers are going to take advantage of such followers and slowly churn their money.

If you are a trader, withdraw profit as often as possible, if you are an investor and a holder, then never sell on corrections, never do it.

Indeed! Make sure any trades you do should end in profit even if you have to wait for a long period of time. This is unfortunately not possible in futures or that kind of trading and that is why these trading methods are advertised the most because even the exchanges I believe, want people to do futures trading and lose their money.

[Zilon]

Making profit from trading requires you trade in line with the trend since the trend is your friend. Successful traders make profit having a good psychology. To be at the top of the league and for one to be at the profit margin 70% of the times it is expected such a trader should acquire a good strategy which constitutes 20% of his ability to predict the  market and 80% of the right psychology because emotions can make a good trader loose out of the market even if such can predict what the market would do in the next minute. The rught psychology pays when you can use it to sustain your strategy.

[Peanutswar]

anyone who will trade and make profit must be patient enough. emotions will not allow you to attain your goals because it will conflict your thought especially when your holdings are on dip. but deep understanding will make you overcome this. market cycle is full of ups and downs. if you are for long then you dont have to mind every retracement or dip. this is the only way to have long term benefit.

I guess if you bought on the dip and there's a chance of any possible reversal with the use and help of technical analysis there's a lot of help to your decision but if you are trying to buy a coin with a strong downtrend I think this is one of the most possible mistakes you have. Sometimes having too many futuristic thoughts gives a negative impact on you or to us, be this is the reason why each of us must have a trading plan like make a trade just only a daily, weekly or what plan do you make always stick to it. One of the best trader characteristics i guess is having a self management.

[mamahdedeh]

anyone who will trade and make profit must be patient enough. emotions will not allow you to attain your goals because it will conflict your thought especially when your holdings are on dip. but deep understanding will make you overcome this. market cycle is full of ups and downs. if you are for long then you dont have to mind every retracement or dip. this is the only way to have long term benefit.

I guess if you bought on the dip and there's a chance of any possible reversal with the use and help of technical analysis there's a lot of help to your decision but if you are trying to buy a coin with a strong downtrend I think this is one of the most possible mistakes you have. Sometimes having too many futuristic thoughts gives a negative impact on you or to us, be this is the reason why each of us must have a trading plan like make a trade just only a daily, weekly or what plan do you make always stick to it. One of the best trader characteristics i guess is having a self management.

we don't know whether the market will continue to fall or experience a reversal like our analysis. but I think trading is an opportunity and a risk. therefore we must also have the courage to take the risk of loss by placing stop losses when our analysis does not work, because there is still another opportunity to look for profit.

[Renampun]

If I could guess the price would go up I would sell my car, home and take a lot of debt for all in, because I believe I will get very rich doing all of that - I don't think that's a good attitude, nobody knows what the market will look like tomorrow, and betting on luck is not professional. I am of the opinion that the psychological aspect of trading is a most important skill, and anyone who is mentally unstable has no place in this market, they should rather play in the casino

for me, this is a worth bet...

one your mistake, why do you say buying coins is like gambling in a casino? imagine if you borrowed several tens of thousands of bucks in the bank last year to buy Bitcoin or ethereum and then you paid it in installments then you must have made a lot of profit and even paid it off quickly.

[Kong Hey Pakboy]

Making profit from trading requires you trade in line with the trend since the trend is your friend. Successful traders make profit having a good psychology.

I agree that the trend is a friend but the people don't seem to understand this and that when things don't favor what they speculate, they get mad . One example of a trend was Musk's announcement in suspension of bitcoin payment for Tesla, they could have shorted that moment but they want to be mad about it first and stupidly sell their bitcoin when they could've made a profit out of a really bad trend.

[feelideb]

Quiting is not the way to go! you must do better, trade better and hold better as well! The issue of trader's state of mind and his emotion will be a re-ocurrent decimal in trading discussions! You must know what you are doing and be calm as you use tools available to you for decisions making! If your outcome falll short of your expectations, then you must do some post-motem on your appproach and correct the wrongs!

[Xinarae*]

Many traders start with a simple trading strategy for example they may notice that a particular currency pair tends to rebound from a certain support or resistance level. They may then decide to add other components that improve the accuracy of these trading signals over time they may require that the price return from a certain support level by a certain percentage or number of pips learn strategies and move forward with positive thinking.

[semobo]

You are not going to succeed without accepting failures and almost everyone needs to cross this in their life no matter what kind of profession their are doing and what kind of financial stage they are living in, failure is inevitable. Learn from your mistakes which will make you better person in crypto trading and also learn from others mistakes which saves you from losing more of your money while learning a lesson. Be smart and work hard.

[Golftech]

You are not going to succeed without accepting failures and almost everyone needs to cross this in their life no matter what kind of profession their are doing and what kind of financial stage they are living in, failure is inevitable. Learn from your mistakes which will make you better person in crypto trading and also learn from others mistakes which saves you from losing more of your money while learning a lesson. Be smart and work hard.

Learn from your own mistake to enhance your chances of success, while also learn with other's failures / mistakes that

will help you to avoid doing the same, yeah right, it's very important to accept the fact that there's no easy and perfect way

you are not exempted to encounter failures, you just need to work on it and see the positive side out from it, once you deal

with those experienced in the right way, you'll see the best outcome to comes up to you.

[imstillthebest]

I firmly believe that everyone who trades will experience the Psychology of Reversal . If it has a bad influence in your daily life, then you are really a loss.

this mood start to come when we are newbies but as we trade more we are starting to accept things the way they meant to be .
you trade succesfuly for a profit but after it , the price went for another increase . it will still be a big loss for you if you will put this in your head as this can affect your overall health later on .
better not risk your health for some profits because health is more expensive  

[globalpain]

You are not going to succeed without accepting failures and almost everyone needs to cross this in their life no matter what kind of profession their are doing and what kind of financial stage they are living in, failure is inevitable. Learn from your mistakes which will make you better person in crypto trading and also learn from others mistakes which saves you from losing more of your money while learning a lesson. Be smart and work hard.

yes I support you, by making mistakes and wanting to learn from there, of course,
it must be based on patience, success is not something that quickly dies, everything requires a process,
one way is to learn from mistakes, I also often make mistakes when trading, and I always remember and I won't do it again

[Alisha-k]

Market reversal is unavoidable but once you are sure of your analysis stick to your trade the market will certainly come back to your predictions. Overcoming the psychology of a loosing trade makes most traders give up on their trade too early even when their analysis is right and going by this mindset would only make trading difficult for the trade depriving such from profiting from the market.

[andriarto]

The Psychology of Reversal probably only occurs short term if we keep checking the prices too often. I mean right after we buy or sell the chances are probably 50/50 for the price to move in our favour or against us. While it is important to check prices regularly, we shouldn't worry too much about short term gains or losses in my opinion. It is better to trade for the long run. Crypto currencies tend to move in cycles, so if we make some loss this year, we will likely recover next year. Instead of selling while my coins are red, I tend to just hold them longer and sell eventually with at least some profit.

if we want to hold it for a long time, I think the first thing we have to choose is a good coin, so that it is certain that there will be no scam projects. indeed short-term trading requires skill, and not everyone can do it, especially for beginners I think long-term trading will be better

[leea-1334]

The Psychology of Reversal probably only occurs short term if we keep checking the prices too often. I mean right after we buy or sell the chances are probably 50/50 for the price to move in our favour or against us. While it is important to check prices regularly, we shouldn't worry too much about short term gains or losses in my opinion. It is better to trade for the long run. Crypto currencies tend to move in cycles, so if we make some loss this year, we will likely recover next year. Instead of selling while my coins are red, I tend to just hold them longer and sell eventually with at least some profit.

Imagine the difference in checking every 5 minutes as opposed to even 50 minutes.

The brain needs rest and psychology is about behavior and repetition,,, so I agree. The more often you check, the more you build a pattern and repeat, the more your brain craves for that repetition.

That is why reversal psychology kicks in.

[LUCKMCFLY]

The Psychology of Reversal probably only occurs short term if we keep checking the prices too often. I mean right after we buy or sell the chances are probably 50/50 for the price to move in our favour or against us. While it is important to check prices regularly, we shouldn't worry too much about short term gains or losses in my opinion. It is better to trade for the long run. Crypto currencies tend to move in cycles, so if we make some loss this year, we will likely recover next year. Instead of selling while my coins are red, I tend to just hold them longer and sell eventually with at least some profit.

Imagine the difference in checking every 5 minutes as opposed to even 50 minutes.

The brain needs rest and psychology is about behavior and repetition,,, so I agree. The more often you check, the more you build a pattern and repeat, the more your brain craves for that repetition.

That is why reversal psychology kicks in.

In this case, it happened to me particularly, when I was starting in the world of trading, I used to be watching every movement of the market day and night, waiting for the market to make the movement that I had set, and the truth was I was getting sick, so much of the body for sitting all day and of the mind because even sleeping I dreamed of trading.

The best thing for these cases is to get a good Exchange where in just 1 operation you can place:

1.- Stop Loss.
2.-Take profit.

In the case of Bitfinex it has it, and the option of leverage is available, of course not 100x like Binance, but if you have those options, then it is much easier to put the position with the stop and take profit, and go and wait for the movement If it was lost, it is time to assume the loss and if it was won, celebrate and on both occasions it is necessary to learn why it was lost or won.