What you need to know about trading

[southerngentuk]

People get into trading because they want to make money. That's a reasonable and understandable goal. Who doesn't want more money in their pocket? However, trading is not an easy game. The financial market is a complex and volatile place, and there are many factors that can influence the price of assets.

Many people get into trading because they have heard about others who have been successful. They see these people making a lot of money and they think they can do the same thing. However, they do not see the hardships these people have gone through. They don't see the times they lost money and the times they struggled to make money.

[KiaKia]

Trading is for the patience only, because..

1. You need to study price patterns and trends, aka Technical analysis.

2. Understand yourself and choose what type of trader you want to become, some prefer the long term trading, while most want the short term.

3. Practice and practice over again, never get tired of practicing, because this is what will make you a better trader.

4. Find good trading course to join, they can provide you better knowledge about trading.

Also do not forget to risk only what you can afford to lose, trading is one of the most risky play in crypto and stock investment, not recommendable if you aren't ready to learn over and over again or you win keep losing your trades.

[Sim_card]

OP, this topic fits in the trading board and it will be good if you move it there.
One thing that I notice is that people think that trading is easy and they jump into trading because the need quick profit with little or no knowledge on trading. They get disappointed because they were in the market to gamble. I see someone that does not understand trading and goes into trading as a gambler, and this will make him run at loss because gambling depends on luck. Trading is very complex and needs enough time to understand the strategy that you can use to make profit from the market. To stay healthy, only trade with the amount of money that you can afford to lose, and don't trade when you cannot control your emotion.

[atamism]

If you really into trading you should have a lot of patience and understanding. Trading is not for the soft hearted and for the people who panic. Trading is not easy as what you see, you need to study the chart and how the market works. Also, our analytical skills is one of the most needed here. To more analyze the charts so you will not lose. If you feel you are born for trading then go for it. Some people trade then if they failed they switch to gambling. So you really need a lot of patience and be prepared financially and mentally.

[Aanuoluwatofunmi]

Snipped

If you're a newbie in trading, know this facts about it that whenever you're trading, you're taking your chances on risk and trying to make profits as well with your trading investment, so it's either way round that you win or you loose, trading brings in profitable investment from ones bitcoin or crypto portfolio, but it may require a certain level of knowledge and understanding to have a perfect delivery of all trading expectations for the best performance in trading.

[fuguebtc]

OP, this topic fits in the trading board and it will be good if you move it there.
One thing that I notice is that people think that trading is easy and they jump into trading because the need quick profit with little or no knowledge on trading. They get disappointed because they were in the market to gamble. I see someone that does not understand trading and goes into trading as a gambler, and this will make him run at loss because gambling depends on luck. Trading is very complex and needs enough time to understand the strategy that you can use to make profit from the market. To stay healthy, only trade with the amount of money that you can afford to lose, and don't trade when you cannot control your emotion.

You are right, trading without knowledge is like gambling and people with the mindset of making easy money from trading are mostly newbies , they have never known anything about what trading is, even trading stock or foreign exchange. But  many people advise newbies to stay away from trading, is that correct? In my opinion , I will not discourage them from participating in trading but I will advise them to use the minimum amount for experience to get a real feel . Because most newbies will be very stubborn , they will never listen to someone's advice . So let them experience it for themselves, they will know what they need to do in this market .

[EarnOnVictor]

-snip-
Some of the spirit of a trader or invest is "I can make it mindset, resilience...

And this is not a bad mindset, there is nowhere you would hear that resilience is a bad characteristic either. The plain truth is that trading is sweet but you must experience so many journeys before it would really be sweet for you, and by being sweet, I mean it's easy and will consistently be earning for the trader. Yet, a thorough and foolproof trading experience is needed to get to that level, trading is not what you just dabble upon, you have to think like a trader and also act like one in the ability of not giving up but rather continue to find the so-called "secret" behind it. Mind you, there is no secret in trading, everything is well-known and depends on how you've learned and how creatively you use what you learned, but nevertheless, called it secret in a figurative way so as to know the beauty of trading when you eventually reach there. That's how people would believe also that you own the secret, but in practice, it's about training and they might even know more than what you know, only that you use it better than them. So is that a secret? I say No, it's an effort and wisdom.

As an experienced trader, for the journey of learning and training to be short, I strongly advise that traders should focus on;
1. Trading strategy,
2. Trading Management,
3. Trading psychology, and
4. Plan (coordination of what you know).

Knowing all these, I would like the person to ensure at least two trading strategies, of which one must be a trend trading strategy, while the other is a support and resistance strategy. I recommend Trendline for the latter. If done, now focus so well on 2&3 without letting style-drift affect you the way it wastes the time of others as 2&3 holds the true success of traders. But that is after they are sure of 1.

[gabbie2010]

People get into trading because they want to make money. That's a reasonable and understandable goal. Who doesn't want more money in their pocket? However, trading is not an easy game. The financial market is a complex and volatile place, and there are many factors that can influence the price of assets.

Many people get into trading because they have heard about others who have been successful. They see these people making a lot of money and they think they can do the same thing. However, they do not see the hardships these people have gone through. They don't see the times they lost money and the times they struggled to make money.

Those people never knew that those successful traders had paid their dues before reaching the top ladder they had made a lot of sacrifices and failed on several occasions, faces many challenges of complexity of the market consequently incurred losses in trades yet they persevere and continue to learn, gathered and gained more experience in trading thereafter their efforts yielded positive results, unfortunately many new traders who wanted to follow those paths never wanted to learn and sacrifice their time and efforts but wanted to start earning quick profit that is why 95% failed.

[kryptqnick]

Trading is not for everyone. Believing that a person just needs to persevere and push through the losses may lead to even more losses. If a person realizes that trading is too risky for them and that they aren't doing great, it's okay to quit and cut losses, to focus on something else. Patience is important, sure, and realizing that there will be losses is important as well, but I don't believe that always staying put and ignoring the losses is the right approach. Sometimes it might be too late to win the money over, and sometimes waiting longer can result in even higher losses.

[fauzan Ichsan]

People get into trading because they want to make money. That's a reasonable and understandable goal. Who doesn't want more money in their pocket? However, trading is not an easy game. The financial market is a complex and volatile place, and there are many factors that can influence the price of assets.

Many people get into trading because they have heard about others who have been successful. They see these people making a lot of money and they think they can do the same thing. However, they do not see the hardships these people have gone through. They don't see the times they lost money and the times they struggled to make money.

Those people never knew that those successful traders had paid their dues before reaching the top ladder they had made a lot of sacrifices and failed on several occasions, faces many challenges of complexity of the market consequently incurred losses in trades yet they persevere and continue to learn, gathered and gained more experience in trading thereafter their efforts yielded positive results, unfortunately many new traders who wanted to follow those paths never wanted to learn and sacrifice their time and efforts but wanted to start earning quick profit that is why 95% failed.

Indeed, the main thing needed is a strong mentality in learning to trade, so that every failure must be evaluated so that the future will be better, therefore experience is very important in trading, many of us get discouraged in the middle of the road, so we fail. The market moves erratically and has a certain character in each condition, so we need to understand it, therefore a process is needed in learning trading

[traderethereum]

Wise traders and investors will always know when they can trade and buy so they will not do so when the market is volatile. They better wait until things calm down before they analyze further to find more clues.
They will not act in a hurry, especially to follow a rising market, if they do not have any preparation.
Experiencing losses is something that all traders and investors experience but they know how to avoid big losses. They will always learn more about trading analysis than other people.
If they don't have any analysis, they won't force themselves to enter the market because it could pose a risk for them.

[syedakhlaque]

It is fact that trading is a difficult task and it is not easy to earn through trading. It requires study, courage, patience and experience. A person Who is habitual ,living in dreams will not be successful in this business. But it needs a bold dicision maker and trading mind set. A person who has good experience working in stock market is also successful here because he is aware about ups and down of market ,how to study graph, history of the  company ,its credibility and its index etc. To make right decision at right time is very important in all business so same is there is crypto currency.

[Youngkhngdiddy]

Most people think life is a bed of roses, is all about sunshine,  enjoyment etc not knowing that there's always a  tough time and the ability of one to overcome this time makes him great.  Tough time is the point through which poor and successful people emerges depending on the choices and decision they take.
Most traders and investors are inpatient they only think of the positive side of it ( making profit) not knowing there will always be a loss someday,  well most of them know but when they make losses they became frustrated and unstable,  some will give up because of that little experience.  Sometimes we make losses and we have bad experience like we offend God but no, we are only been tested.  Some of the spirit of a trader or invest is "I can make it mindset, resilience...

 Do your own research, before making any trade, it's essential to conduct thorough research on the cryptocurrency, its underlying technology, and the overall market conditions. This will help to identify potential opportunities and risks. Develop a trading strategy, having a well-defined trading strategy can help to minimize losses by providing a clear set of rules for entering and exiting trades. A trader should also define their risk management strategy and stick to it. Being emotional. The best trader is the trader without any emotions, that is not phased by a 200% increase or a 70% dip and just takes profits or rebuys more.
  Understand diversity. You need to have a portfolio mentality of building many smaller investments into a portfolio so that the failures in one investment are made up by successes in another. You can not predict the future or time the market. You might be able to see trends, but the number of ways that the future can shift around are varied and numerous. So when things get weird, and they always get weird, then diversity is the thing that saves you.

[Lorence.xD]

People get into trading because they want to make money. That's a reasonable and understandable goal. Who doesn't want more money in their pocket? However, trading is not an easy game. The financial market is a complex and volatile place, and there are many factors that can influence the price of assets.

Many people get into trading because they have heard about others who have been successful. They see these people making a lot of money and they think they can do the same thing. However, they do not see the hardships these people have gone through. They don't see the times they lost money and the times they struggled to make money.

Those people never knew that those successful traders had paid their dues before reaching the top ladder they had made a lot of sacrifices and failed on several occasions, faces many challenges of complexity of the market consequently incurred losses in trades yet they persevere and continue to learn, gathered and gained more experience in trading thereafter their efforts yielded positive results, unfortunately many new traders who wanted to follow those paths never wanted to learn and sacrifice their time and efforts but wanted to start earning quick profit that is why 95% failed.

Indeed, those people especially those who started from nothing obviously experienced a lot of challenges in the trading industry such as losing money, affecting their mental health and physical health, etc. Some people could have options to decide is it either to continue as they learn from their mistake or give up as you lose money. Starting in trading could be a win-win situation cause if you lose, you will learn as part of your development and if you profit, for sure you find your own technique and skills. I would like to add that not all successful traders literally experience some kind of sacrifice as they are already born rich, like trading is just one way for them to invest money. Surely they would experience some losses but it would be a different story to some people who literally started from nothing.

[cafter]

Most people think life is a bed of roses, is all about sunshine,  enjoyment etc not knowing that there's always a  tough time and the ability of one to overcome this time makes him great.  Tough time is the point through which poor and successful people emerges depending on the choices and decision they take.
Most traders and investors are inpatient they only think of the positive side of it ( making profit) not knowing there will always be a loss someday,  well most of them know but when they make losses they became frustrated and unstable,  some will give up because of that little experience.  Sometimes we make losses and we have bad experience like we offend God but no, we are only been tested.  Some of the spirit of a trader or invest is "I can make it mindset, resilience...

that's why 90% of the traders fail. trading is not easy as it seems from the outside world and what influencer teach us like buy at support and sell at resistance. if it was that easy then they should been became a millionaire not some teacher who teaches to draw lines on charts.
also 70% work in trading is controlling emotions when losing or winning. losses and wins are part of this game people take more risk after a small loss and eventually make that small loss a lot bigger.

[mirakal]

Most people think life is a bed of roses, is all about sunshine,  enjoyment etc not knowing that there's always a  tough time and the ability of one to overcome this time makes him great.  Tough time is the point through which poor and successful people emerges depending on the choices and decision they take.
Most traders and investors are inpatient they only think of the positive side of it ( making profit) not knowing there will always be a loss someday,  well most of them know but when they make losses they became frustrated and unstable,  some will give up because of that little experience.  Sometimes we make losses and we have bad experience like we offend God but no, we are only been tested.  Some of the spirit of a trader or invest is "I can make it mindset, resilience...

Life could sometimes be unfair. Even with trading and investing, we don't get to make consistent profits but most of us only lose our capital especially if we trade or invest without prior knowledge and experience on the market. But I think that's how trading works in reality. We lose so we can learn its lessons and becomes more motivated to develop useful skills and strategies that will improve our performance in trading.

However, if you see those losses in trading as a sign to quit and move forward, then you are wrong in there. Everyone started from a scratch and you will only be successful in trading if you trade harder and continue to enhance what you need to improve and develop.

[Sanitough]

I think this topic should be posted in the Trading section. You might consider moving it there so it can be discussed properly.

Most people think life is a bed of roses, is all about sunshine,  enjoyment etc not knowing that there's always a  tough time and the ability of one to overcome this time makes him great.  Tough time is the point through which poor and successful people emerges depending on the choices and decision they take.
Most traders and investors are inpatient they only think of the positive side of it ( making profit) not knowing there will always be a loss someday,  well most of them know but when they make losses they became frustrated and unstable,  some will give up because of that little experience.  Sometimes we make losses and we have bad experience like we offend God but no, we are only been tested.  Some of the spirit of a trader or invest is "I can make it mindset, resilience...

Yes positive affirmation is a good habit that every trader must inculcate in their daily exercise because it has it's way of impacting on how we make trading decisions. Trading success does not come by chance, it is a deliberate process that involves both technical and psychological preparedness.  First step is to believe that success is possible and achievable.

Trading is not just a battle of skills but emotions as well. So if you trade and you lose after, that does not mean that you should lose your faith and decide to quit. You will never be a successful trader with that kind of mindset, but instead learn to stay strong and positive, trading is not just all about losses but profits as well but we need to work harder for it to make it happen. We need to build stable emotions as well so that whenever we experience the hard days in trading, we will chose to move on and trade harder.

Success in trading is not achieved instantly. Sometimes, you need to dwell with your losses first because the lessons you will learn from it will serve as your back up when you face bigger challenges with your future trades.

[Abu-Naim]

Most traders and investors are inpatient they only think of the positive side of it ( making profit) not knowing there will always be a loss someday,  well most of them know but when they make losses they became frustrated and unstable,  some will give up because of that little experience.

Traders and investors who think only of the positive side of bitcoin or any other investment entirely are new to the market, because if a trader or investor has been there for a long time, they weren’t supposed to worry about how the market turns out, and before entering the market, they were told that the crypto market is volatile.

However, for the investors or traders panicking about the market, they should find themselves to blame because in any risk you want to take, whether trading or investment, invest what you can afford to lose, so if they do invest the amount they can afford to lose, they won’t panic; they will endure any movement of the market and leave the funds there. till it reaches there target.

[Viscore]

Most people think life is a bed of roses, is all about sunshine,  enjoyment etc not knowing that there's always a  tough time and the ability of one to overcome this time makes him great.  Tough time is the point through which poor and successful people emerges depending on the choices and decision they take.
Most traders and investors are inpatient they only think of the positive side of it ( making profit) not knowing there will always be a loss someday,  well most of them know but when they make losses they became frustrated and unstable,  some will give up because of that little experience.  Sometimes we make losses and we have bad experience like we offend God but no, we are only been tested.  Some of the spirit of a trader or invest is "I can make it mindset, resilience...

This is the reason why we don't need to jump into any conclusion or just decide to trade in wish for bigger profits, if you do that, you will only fail in the middle of your trades. Having your own due diligence to research is a must, not only on the fundamentals and technicalities in trading but also on the experiences made by long time traders. Learning from their experiences will help us motivate ourselves to be great traders as well. And by doing so, we become aware that trading is hard, and quitting is never an option in trading.

There might be inevitable losses in trading but if we can do things to prevent from losing, then it will be a lot better. Trading losses are never bad because somehow you learned from them, but consistent losses and frequent mistakes in trading are never good and healthy at all. You need to find solutions to it.

[Kelvinid]

That is the reality in trading but there is nothing wrong with thinking positively despite the struggling situation of the market and losses as we can't change the nature of trading. Losses seem normal and I was certain that every trader knew it before they started. That is why every trader must know how to control their emotions, every trader must know how to accept reality and think what they can do to avoid big losses. Perhaps, it was a given scenario already and the only thing we can do is to deal with it in the right way.