Lack of capital or knowledge, which one is holding traders back from profits?

[freedomgo]

Lack of knowledge is the main reason why a lot of traders don't really end up profiting from what they're doing--that and experience. A lot of people who have the capital dive immediately to the war room thinking they can outsmart millions of other traders and take their lunch money just because they watched something on youtube and think that everything they've watched is applicable to all scenarios. Little did they know that even experienced traders guess the wrong trades a lot of times, what more about themselves?

It's not always about the money in trading, as you can start small and increase your capital with the trades you're doing. Eventually, you'll build asizeable fund to play with which will enable you to make more money in trading.

I have to agree. Lack of knowledge will put you at a risk of losing your funds because of wrong decision making. And because you have no clearer goal why you have to trade, you end up being greedy and believe that trading is so much easier that anyone could turn into a millionaire in just a single sleepless night.

Also, having a sufficient capital to trade is still crucial before trading. You can’t expect to trade and profit immediately, you should have a stable amount of funds first so that if you lose, you can still make a back up trade hoping that this one will already work. However, having the right amount of knowledge should always be the first goal.

[Natsuu]

What can you say about this two problems, how will you advice a trader that is suffering from any of this problems or how did you get out of the problem if you had suffered from having lack of capital or lack of knowledge. Which of this problem is more common among traders?.

In the beginning of your trading probably our first 1 year, you don't need a large amount of capital to learn how to trade, how to read price action, and to manage risk. You can even learn without any money because paper trading accounts are available right now. So there is no problem with that. You are only worrying about the money because you want to make money right away which is not the case in trading. On your first year, you will absolutely lose a lot of times. And instead you should focus on the process and building good habits. Discipline and commitment is the common problems among traders that holds them back from being profitable.

[Yukyzu]

I have to agree. Lack of knowledge will put you at a risk of losing your funds because of wrong decision making. And because you have no clearer goal why you have to trade, you end up being greedy and believe that trading is so much easier that anyone could turn into a millionaire in just a single sleepless night.

Also, having a sufficient capital to trade is still crucial before trading. You can’t expect to trade and profit immediately, you should have a stable amount of funds first so that if you lose, you can still make a back up trade hoping that this one will already work. However, having the right amount of knowledge should always be the first goal.

It's true what you say, a lack of knowledge about trading will of course mean that we won't know the right time to enter the market and won't be able to make a profit from the trades they make, but for some people who already have the knowledge and skills, of course they will make an analysis first before deciding to trade and if the results of their analysis are good of course they will trade and will be able to make a profit, the profit we get really depends on the capital we use to trade and it would be better for us to use capital that we can afford responsibility if you experience failure in trading.

[jrrsparkles]

Lacking either one of them will make it difficult for someone to make profits in trading, to do something knowledge and skills are key but when it comes to trading how much capital you have plays a major role as well depends on what kind of trading you are into. But higher the capital the chances of making profits is kind of easier, they no need to do multiple trades, all they need is to buy at low and sell at high even if their trade complete once in a while still it's going to bring decent profits.

[Hamphser]

This question came to my FYP on X and I could relate because at a time in my life it was the lack of knowledge of not knowing how to trade that was holding me back from making profit until I started learning how to trade from my mentor and I can make some profits when I get my reading of the market right. I also had the challenge of getting capital that I can use for trading because I was depending on my trading profits until I got to know that trading needs a trader to have other jobs because you can not only depend on trading profits when you do not know how to trade excellently. Other traders are having difficulties in trading because they do not have the right information that they need to become good traders or because they lack the capitals.

What can you say about this two problems, how will you advice a trader that is suffering from any of this problems or how did you get out of the problem if you had suffered from having lack of capital or lack of knowledge. Which of this problem is more common among traders?.

Make decisions accordingly on the life situation that you do have on which if you have decided to make out some engagement with trading but in some sort on making it as your main source of income then better think not because this isnt something that could be easily be able to do so considering that you would really be needing up to learn up the skills that you would really be needing on dealing up with this market
and it doesnt really take up short time with that but rather it would really be taking up a couple of years or might longer. This is why on the time that you have decided on making up some trades then make it sure that you are really just that putting the money on which you can afford to lose and since you do have a job then always allocate on the amount that you are willing to lose.

On the time that you've seen that you are self sustainable when it comes to your trading dealing then this is the time that you might considering on having full time but
of course you would needing up to think off for how many times on how you should really be making yourself that kind of decision.

[|MINER|]

I think both are causing different problems for different people.  No one can invest in trading due to lack of capital. Because if there is not enough capital, one cannot invest properly in trading. Again, many people have enough capital but due to lack of knowledge they face repeated losses in trading. Because many people assume that trading is easy in the beginning and they  They don't follow the rules. That's when they face loss. And I think the lack of knowledge is more noticeable in the case of loss in trading. If the capital is less, the amount of loss is not seen so much.

[tvplus006]

I think both are causing different problems for different people.  No one can invest in trading due to lack of capital. Because if there is not enough capital, one cannot invest properly in trading. Again, many people have enough capital but due to lack of knowledge they face repeated losses in trading. Because many people assume that trading is easy in the beginning and they  They don't follow the rules. That's when they face loss. And I think the lack of knowledge is more noticeable in the case of loss in trading. If the capital is less, the amount of loss is not seen so much.

But still, I think it is much easier to learn trading with sufficient capital than having theoretical knowledge of trading and not being able to practice due to lack of money. And there is no guarantee that after receiving training, you will be able to trade profitably, since you will lack experience that money cannot buy.

[Issa56]

This question came to my FYP on X and I could relate because at a time in my life it was the lack of knowledge of not knowing how to trade that was holding me back from making profit until I started learning how to trade from my mentor and I can make some profits when I get my reading of the market right.

Before you will start trading, the first thing which you are suppose to acquire is knowledge, you can’t just jump into trading without having knowledge about what it’s all about and you think you will be making money, if you are financially stable, and you decide to go into trading without having knowledge, don’t be surprise that you are going to lose most of the money which you are trading with.

I also had the challenge of getting capital that I can use for trading because I was depending on my trading profits until I got to know that trading needs a trader to have other jobs because you can not only depend on trading profits when you do not know how to trade excellently.

If you want to start trading, you need capital to do that, and if you are a beginner, you shouldn’t just expect profit when you start trading, you might end up losing everything you started trading with, but in the process of losing, I am sure you are going to be learning. So I don’t even encourage traders to depend on trading alone, having multiple sources of income is just the best, don’t depend only on one source of income.
 
If you are knowledgeable about trading and you don’t have much capital, I am sure the more you keep on trading and you are making profits, you will be able to grow the money that you are using to trade, so I believe someone who has knowledge with little capital will still survive. You will be able to grow your account, but it might take time.

[livingfree]

how will you advice a trader that is suffering from any of this problems or how did you get out of the problem if you had suffered from having lack of capital or lack of knowledge. Which of this problem is more common among traders?.

Gain knowledge and capital.

For everything that someone is lacking of, you need to fill them in and there will be no other solution to that problem but that. If you can't do anything to fill that gap in, then you're the problem.

And being you as the problem, you need to realize that you're in a big trouble that yourself is a problem when you can't fill that in for lacking money or capital.

It only means that you need to work for yourself and as for the knowledge, you need to spend time reading and learning more materials about trading.

[Distinctin]

I think both are causing different problems for different people.  No one can invest in trading due to lack of capital. Because if there is not enough capital, one cannot invest properly in trading. Again, many people have enough capital but due to lack of knowledge they face repeated losses in trading. Because many people assume that trading is easy in the beginning and they  They don't follow the rules. That's when they face loss. And I think the lack of knowledge is more noticeable in the case of loss in trading. If the capital is less, the amount of loss is not seen so much.

But still, I think it is much easier to learn trading with sufficient capital than having theoretical knowledge of trading and not being able to practice due to lack of money. And there is no guarantee that after receiving training, you will be able to trade profitably, since you will lack experience that money cannot buy.

Trading is less risky if you both have the knowledge and capital in the first place. Lacking one of it will only compromise the outcome of your trade, hence you’ll most likely to panic when bitcoin price goes the other way since you’re not fully equipped with the requirements needed before trading. Although knowledge is often most important as a starting tool, but trading with lack of money won’t still make you focus on winning your trade because it’s hard to maximize trading outcome when one is lacking.

[Maslate]

Lacking either one of them will make it difficult for someone to make profits in trading, to do something knowledge and skills are key but when it comes to trading how much capital you have plays a major role as well depends on what kind of trading you are into. But higher the capital the chances of making profits is kind of easier, they no need to do multiple trades, all they need is to buy at low and sell at high even if their trade complete once in a while still it's going to bring decent profits.

Yes, trading while lacking one of it will never end up at its highest advantage. However, I must say, that if you aim to be trader, be a learner first and gain all the necessary learnings that a successful trader should have. Through that way, you will be able to get rid somehow of losses and be able to manage your trades rightly because you were trained first before you decided to trade for real.

[$weetne$$]

But higher the capital the chances of making profits is kind of easier, they no need to do multiple trades, all they need is to buy at low and sell at high even if their trade complete once in a while still it's going to bring decent profits.

What about those people that do not have a better knowledge of trading but have the capital only, having high capital will not make them a better trader. Having a high capital only becomes an additional advantage when you have good knowledge on trading because you can use that capital to make more money. For me I think what is holding traders back from making profits is the lack of knowledge and not the lack of capital, if you have the knowledge and you know how good you are as a trader, you can look for ways to raise capital to use in trading. After they start they can make money from trading but most cryptocurrency traders do not have the accurate knowledge and act on instinct, they are not making profit because they do no know how to monitor the market and be able to detect the next direction the market will be going.

[jrrsparkles]

But higher the capital the chances of making profits is kind of easier, they no need to do multiple trades, all they need is to buy at low and sell at high even if their trade complete once in a while still it's going to bring decent profits.

What about those people that do not have a better knowledge of trading but have the capital only, having high capital will not make them a better trader. Having a high capital only becomes an additional advantage when you have good knowledge on trading because you can use that capital to make more money. For me I think what is holding traders back from making profits is the lack of knowledge and not the lack of capital, if you have the knowledge and you know how good you are as a trader, you can look for ways to raise capital to use in trading. After they start they can make money from trading but most cryptocurrency traders do not have the accurate knowledge and act on instinct, they are not making profit because they do no know how to monitor the market and be able to detect the next direction the market will be going.

Theoretically making money from trading is easy while the reality gives contrast results, for someone to be consistent in profits whether they are highly knowledge in technical analysis still their fate is not in their hand entire cause the market is affected by lot of external factors while someone with very basic knowledge but got huge capital to trade it is much more easier and we can expect them to make profits than the one who are highly skilled with all the technical analysis and stuffs.

[AnonBitCoiner]

Lacking either one of them will make it difficult for someone to make profits in trading, to do something knowledge and skills are key but when it comes to trading how much capital you have plays a major role as well depends on what kind of trading you are into. But higher the capital the chances of making profits is kind of easier, they no need to do multiple trades, all they need is to buy at low and sell at high even if their trade complete once in a while still it's going to bring decent profits.

Knowledge and experience are the basics and one cannot step forward without knowledge but in case of trading more you use your money more you will be profitable but for making it real knowledge is a must. Successful traders give importance to both knowledge and money but newbies think that if they have money then they can double the sum from such an amount but it looks difficult without knowledge.

The amount of money has greater effects on your profit or loss so if you have knowledge and you use greater amounts then your profit will also be greater but if you don't have knowledge then any amount you are using you will be empty handed as knowledge is the building block of success.

[el kaka22]

Unless we are talking about zero dollars, then knowledge is definitely the one that is keeping you from profiting. Of course if you have nearly no money then capital is an issue as well, but that is rare situation, if you have even as little as hundred dollars to spare on this, then it means that someone with a good knowledge about trading would be able to make profit from it, and you could be that person.

I believe that the best thing to do would be just realizing that getting that knowledge is one of the most important things you can do in the crypto world and we could make a good chunk of money from it. Trading is hard, but the more you study the better you will get about it and you should always keep that in mind.

[SOKO-DEKE]

This question came to my FYP on X and I could relate because at a time in my life it was the lack of knowledge of not knowing how to trade that was holding me back from making profit until I started learning how to trade from my mentor and I can make some profits when I get my reading of the market right.

Everyone is expected to have enough knowledge before becoming involved in trading. There is no way that someone will be successful in trading without having good knowledge about trading. the reason why most people hardly make profits from trading it because they lack of proper knowledge, despite that trading is difficult when you have good knowledge about trading it may not be that hard for someone to be making profits from trading.

I also had the challenge of getting capital that I can use for trading because I was depending on my trading profits until I got to know that trading needs a trader to have other jobs because you can not only depend on trading profits when you do not know how to trade excellently.

The capital you started with is not capital, or what you are trying to say is that it was not enough capital? As this is your first time trading, you don't need a lot of capital because there is a high probability that you can lose on your first attempt. It is not bad to depend on your profit to grow your trading capital. But the truth is that you need alternative sources of income when you are in crypto, either crypto investment or trading.

[lovesmayfamilis]

If everything were so simple—to accumulate some capital and follow the ready-made path of trading, which necessarily implies profit—would there be stories about unsuccessful traders? However, we often see the opposite. There are a lot of people with money who lose it due to insufficient preparation, too many emotional transactions, etc. However, of course, having a lot of money comes with the great privilege of learning from mistakes and creating your strategy step by step. Compared to those who do not have many chances for additional attempts due to a lack of funds.

[Rabata]

What can you say about this two problems, how will you advice a trader that is suffering from any of this problems or how did you get out of the problem if you had suffered from having lack of capital or lack of knowledge. Which of this problem is more common among traders?.

A trader must have both capital and knowledge before trading. Because neither knowledge nor capital alone can help a trader to become profitable. If knowledge and capital are both available in a trader, then the probability of getting profit increases but it is not guaranteed. For trading, a trader must have various knowledge. But even if there is not enough financial ability, there is no possibility to get profit. Sometimes the trader needs to exploit small differences in price to earn profit. But between these two things I think knowledge is essential. If a trader does not have proper knowledge then he is blind in that platform. So knowledge is more important to me.

[Dunamisx]

We should not get it all wrong, if a person is happens to be a trader is having the knowledge about trading but have no capital to start, that knowledge alone is enough to help him have an opportunity of providing service in which he can render and earn money from, safe up and accumulate such to later use for trading, whereas someone who has no idea on trading but have money can loose the entire fund on series of mistakes which could be inevitable for him to avoid because of lack of know-how.

[Bananington]

We should not get it all wrong, if a person is happens to be a trader is having the knowledge about trading but have no capital to start, that knowledge alone is enough to help him have an opportunity of providing service in which he can render and earn money from, safe up and accumulate such to later use for trading,

Lack of capital can make a trader not to ne able to afford to get new resources and materials that could improve their knowledge in trading and introduce them to new strategies, lack of capital has also even made people who have knowledge already in trading to organize and form signal groups to gather up other people to try to have more money that they can use to trade and make better profits from. It is a lack of capital for me that has made traders to have less profits. With very good capital they can register for better trading classes and afford better trading materials that will ensure that they get the best form of knowledge.