If You Can’t Explain the Trade, You Shouldn’t Be in It

[Inwestour]

One of the first things most newbies in crypto trading think about is how to get access to signals, whether it is following a “guru” on Telegram, or paying for so-called "sure signals." The truth is that due to the market's volatility, there is no such thing as a sure signal.

Signals are simply just the conclusions of someone else's analysis, and just like any other analysis it is not 100% certain. And relying fully on someone else's signals without backing it up with your own research is synonymous with betting your funds on another person's thought process, without even knowing how they arrived there

My final words: Being a trader simply means "being a student of the market."  You must learn to research, analyze, and then to build your own strategies and adjust them when necessary. This doesn’t mean you can’t learn from others, or that one shouldn't make use of signal. Rather the newbies should note this - signals should only be used as a tool to complement your thinking, not replace it.  
Meaning that before hopping onto a particular signal/ signals, you should already have a personal strategy or signal on ground which will then be used to compare with the signal you got to know if you are right on track.

This applies to any financial decision. If it is about your money and you are ready to invest, you should only do it in something you fully understand and clearly know what you are doing. Signals, especially for a beginner, are the worst thing you can rely on, because you might receive a signal from another inexperienced beginner who just wants to make money from selling signals. He will give any signal he either heard somewhere or simply thinks might be a good deal. But if you buy some coin or some token without having any idea what it is and what might happen to it tomorrow, that is the worst decision you can make, and because of that you may lose your money.

[dunfida]

One of the first things most newbies in crypto trading think about is how to get access to signals, whether it is following a “guru” on Telegram, or paying for so-called "sure signals." The truth is that due to the market's volatility, there is no such thing as a sure signal.

Signals are simply just the conclusions of someone else's analysis, and just like any other analysis it is not 100% certain. And relying fully on someone else's signals without backing it up with your own research is synonymous with betting your funds on another person's thought process, without even knowing how they arrived there

My final words: Being a trader simply means "being a student of the market."  You must learn to research, analyze, and then to build your own strategies and adjust them when necessary. This doesn’t mean you can’t learn from others, or that one shouldn't make use of signal. Rather the newbies should note this - signals should only be used as a tool to complement your thinking, not replace it.  
Meaning that before hopping onto a particular signal/ signals, you should already have a personal strategy or signal on ground which will then be used to compare with the signal you got to know if you are right on track.

This applies to any financial decision. If it is about your money and you are ready to invest, you should only do it in something you fully understand and clearly know what you are doing. Signals, especially for a beginner, are the worst thing you can rely on, because you might receive a signal from another inexperienced beginner who just wants to make money from selling signals. He will give any signal he either heard somewhere or simply thinks might be a good deal. But if you buy some coin or some token without having any idea what it is and what might happen to it tomorrow, that is the worst decision you can make, and because of that you may lose your money.

That’s true. Doing the basics is the only way to protect your money. Learning what the project really does checking who is behind it looking at liquidity and market cap and knowing if there’s any chance of a rug pull matters more than chasing hype. Starting small using only what you can afford to lose diversifying and keeping a clear risk plan like position sizing and exit rules is what separates a smart investor from someone just gambling on signals.

In the end it is not about getting lucky on one trade but about building habits that keep you in the game long term without wiping yourself out. Every project has risks and most will fail but if you take time to study patterns of scams mistakes and market cycles you begin to see why discipline is more valuable than hype. Many people who follow random signals end up panic buying and panic selling which drains both money and confidence while those who stay patient and consistent survive long enough to catch real opportunities.

[Mpamaegbu]

Trading is a serious business and quite risky market activity.

As simple as that part above is, it's very subtle and spot on but a lot of people miss out on it. If people don't, they wouldn't want to start trading without acquiring a skill set for it. People don't just jump in and out of school and become graduates without going through the necessary learning and doing project works in partial fulfillment of the course they're studying. Trading should also be taken that way with all the seriousness it demands. For me, not even medicine or engineering is as technical as trading. So, why would those who hype professional courses and careers not also see trading as something serious too? The answer is clear and that's because every Tom, Dick and Harry can easily claim to be traders even without any proven record.

[bettercrypto]

One of the first things most newbies in crypto trading think about is how to get access to signals, whether it is following a “guru” on Telegram, or paying for so-called "sure signals." The truth is that due to the market's volatility, there is no such thing as a sure signal.

Signals are simply just the conclusions of someone else's analysis, and just like any other analysis it is not 100% certain. And relying fully on someone else's signals without backing it up with your own research is synonymous with betting your funds on another person's thought process, without even knowing how they arrived there

My final words: Being a trader simply means "being a student of the market."  You must learn to research, analyze, and then to build your own strategies and adjust them when necessary. This doesn’t mean you can’t learn from others, or that one shouldn't make use of signal. Rather the newbies should note this - signals should only be used as a tool to complement your thinking, not replace it.  
Meaning that before hopping onto a particular signal/ signals, you should already have a personal strategy or signal on ground which will then be used to compare with the signal you got to know if you are right on track.

I've read some comments here that I strongly agree with: you must study risk management correctly and thoroughly. It is extremely important for us as traders, OP.
This is true; once you grasp and properly learn it, it will give you good results in the end.

Since you already have some idea about trading, just add this to what you've learned. It's a good thing to never stop learning, as they say.

[shinratensei_]

This applies to any financial decision. If it is about your money and you are ready to invest, you should only do it in something you fully understand and clearly know what you are doing. Signals, especially for a beginner, are the worst thing you can rely on, because you might receive a signal from another inexperienced beginner who just wants to make money from selling signals. He will give any signal he either heard somewhere or simply thinks might be a good deal. But if you buy some coin or some token without having any idea what it is and what might happen to it tomorrow, that is the worst decision you can make, and because of that you may lose your money.

Sometime there's a trade with massive potential upside that we can take without understanding it fully. That's where discretion comes in and let us have some room for speculation, the same time when trump is releasing $trump and the speculators are making big money.
Understanding the trade is great, but honestly sometime there's just time where we need to jump in before understanding fully. Trading is such an abstract thing isn't it.

As for trading signal, I consider these to be completely useless most of the time. I doubt the signal provider even understand what they're doing in the first place.

[harapan]

 You must learn to research, analyze, and then to build your own strategies and adjust them when necessary. This doesn’t mean you can’t learn from others, or that one shouldn't make use of signal.

When you learn from others be rest assured your taking records of how they are able to manage risks and fir signals I don't really rely on them cause they are mostly bent to boost your ego without results, that's to say most of the sure signals ain't reliable and the  best part is learning from experienced individuals.

[Woodie]

But this also sounds like you are saying that if you trade on your own without reliance on any of those signals then you will be 100% right..but we all know that trading is a game of probability of which some trades you will win and some trades you will lose!

And talking of signals,  not everyone trades using technical analysis,  some use fundamentals which is news trading and all that ,which can be a kind of signal..so basically speaking you don't need to explain everything 

[Sanitough]

 You must learn to research, analyze, and then to build your own strategies and adjust them when necessary. This doesn’t mean you can’t learn from others, or that one shouldn't make use of signal.

When you learn from others be rest assured your taking records of how they are able to manage risks and fir signals I don't really rely on them cause they are mostly bent to boost your ego without results, that's to say most of the sure signals ain't reliable and the  best part is learning from experienced individuals.

More than learning from others experiences, prioritize learning on your own, learning by doing. You can’t be a good trader instantly, you have to make mistakes and create prior losses because that will boost your motivation in trading. Don’t go for other signals, but create signals on your own that you think would be suitable on your trades. Do not just trade, but trade for profits and lessen the chances to be at a loss.

[moneystery]

Signals are simply just the conclusions of someone else's analysis, and just like any other analysis it is not 100% certain. And relying fully on someone else's signals without backing it up with your own research is synonymous with betting your funds on another person's thought process, without even knowing how they arrived there

Whatever it is there's no such thing as guaranteed profit from signals. As you said, it's just one person's analysis, meaning there's still a chance it could fail. So those who rely on signals to facilitate their trading, they're not really trading, but rather following someone else's decisions without understanding the risks, and it could even be called gambling in a different form.
So for those who want to rely on signals to facilitate their trading, they should re-analyze the signals using their own strategy. Otherwise, if they choose to accept them as they are, they must be prepared to take full responsibility for the risks.

[LogitechMouse]

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Meaning that before hopping onto a particular signal/ signals, you should already have a personal strategy or signal on ground which will then be used to compare with the signal you got to know if you are right on track.

I've joined many trading signal groups already, and what I would say is that, you can make money from their signals, but don't expect a 100% win rate on them.

I've made an experiment on myself. I put $100 on my OKX account where that money is solely for following those trading signals that I joined, and another 100$ on my MEXC account, and that money is for myself meaning I'll be the one making decisions based on my strategy. I did it for a month, and what I would say that, you can make money off of those trading signals still, but you can make more if you have a working strategy that works for you. Of course, there will always be a risk of losing your money because we know that there's no 100% certainty when it comes to gambling, but my point is that, there's still a chance that you can make money off of these trading signals. Having knowledge about trading also helps for sure as you will decide on whether you will make a position based on that trading signal or not.

[Zenin Fu]

Actually, I am sharing some things from trading in the light of my experience. In my personal opinion, trading can be of many types. Many times, I have seen in different groups on Telegram that different bets are made in the name of trading, that is, different numbers are given, which of those numbers is traded according to which one comes above which one, and sometimes green, sometimes rate, etc. Training is also done in this way, so different signals are followed for this. But these signals are not sure, no one can say that a signal is sure. So one analyzes and looks at that issue and gives an opinion. To be a good trader, I think you should gain detailed knowledge about trading. And you should give the most importance to what kind of profit and loss you will get in any training.

[CryptopreneurBrainboss]

And talking of signals,  not everyone trades using technical analysis,  some use fundamentals which is news trading and all that ,which can be a kind of signal..so basically speaking you don't need to explain everything 

The OP mightn't even know the exact message they're trying to pass across, not all trades are done with analysis some are just done based on the information you came across. There are going to be trades you can't explain, you don't have to know everything. At times you just trust your guts. Some of the bigs wins of traders are trade they didn't even believe was going to be a successful one. Maybe they just gambled and it payed off. More like when you're investing into an Altcoins and you are mainly doing that because you just had a feeling that the altcoins will do well maybe because of the hype you see around the coin or something else. This though shouldn't encourage newbies to be gambling thinking they're trading.

[SOKO-DEKE]

One of the first things most newbies in crypto trading think about is how to get access to signals, whether it is following a “guru” on Telegram, or paying for so-called "sure signals." The truth is that due to the market's volatility, there is no such thing as a sure signal.

The point that newbies should know is that there are no expert traders we only have experienced traders, those who have been in trading for a very long time. Even those who are called experienced traders sometimes lose repeatedly, back to back.So, if there are no true expert traders, I don't see any reason why people should chase signals and rely fully on them.it would be better for newbies to focus on learning instead of just thinking about making money from trading.

Most of the newbies coming into the crypto industry nowadays are just eager to make quick money. They don’t realize that it’s not easy to make money in crypto without having a certain level of knowledge. If it were that easy, almost everyone in the crypto industry would be rich and a successful trader by now.Newbies should understand that the mindset they bring into the crypto industry is often the reason why many of them lose funds so easily.