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Author Topic: Newbies and even pro traders making the same mistake but here is how to do it  (Read 170 times)
Lakai01
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December 17, 2023, 12:52:01 PM
 #21

1. if you see that the price is starting to fall and you are already at a loss, sell 80-90% of the coin immediately with this action, you will have money reserves, if the remaining 10%-20% falls, you will be able to buy it again with your 80-90% money reserves. (It work like magic - allmost)
I disagree with this approach. If you have already lost 90% of the value of your asset, then lose it completely. It is true that it may seem smart to exit even by 10%, but from the beginning, do not invest in an asset that you are skeptical about, or at least withdraw from the first 10%, but since you waited until price has dropped by more than 50%, so time is already running late.
In principle, I agree with you, but it depends very much on the type of trade. For short-term trades (< 24h), I personally don't care what asset I'm trading. As a rule, I don't know much about the coin, I just look at the relevant charts (or am made aware of the coin in question by trading groups).

For coins that I hold long term, the situation is of course completely different. Here, however, I usually don't mind -90% price losses (to the ATH, not to my investment of course), as I personally always assume that the coin will recover - otherwise I would have sold much earlier.
However, I usually only take such losses with coins where the staking returns are comparatively very high. An example for me here is AVAX (Avalanche), where holding out through the trough from 2021 until now has already paid off again, as enormously good returns were paid out in staking rewards.

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Parklane777 (OP)
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December 17, 2023, 01:29:13 PM
 #22

1. if you see that the price is starting to fall and you are already at a loss, sell 80-90% of the coin immediately with this action, you will have money reserves, if the remaining 10%-20% falls, you will be able to buy it again with your 80-90% money reserves. (It work like magic - allmost)
Selling 80-90% of the coin and buying it back later is a good idea but this will work well only if the coin is not going continuously downwards. And if you know the point of reversal or will you wait until it reverses before you join the upwards trend. This method seems effective but if you time it wrongly it's Gona backfire immensely.

2.start buying with 1%-2% of your total money allocated for this operation, just make daily purchases of 1%-2% for this coin even if the coin is in an uptrend.
I know that people sell all their coins quickly out of fear and panic when they see that there is a big loss but this is wrong you only have to sell 80%-90% and the rest you can already control with your money reserves it is like driving a car where you you must not panic but control the situation with a cool head by acting correctly with the steering wheel and gas pedal following what you have been told or the same as self-defense where you have to not follow your emotions but act with a cool head according to the instructions in order to achieve maximum control over the situation.

Not panicking when your cars goes off control implies that the driver is not only an experienced driver but he is also emotionally and morally strong to withstand and defeat fear. We should also not forget the confidence factor. A non confident driver will end up bashing his car because of fear. Same is applied to trading, even if the trader is a pro but if they are not emotionally strong, mistakes and regrets are inevitable.


What i do is when Market goes up i keep buying when Market goes down i keep buying.
When Market goes up a lot Im selling most of my coins.
I reapeat over and over again.
It don't matter what the market is doing ...i win anyways.
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