Trading is beyond technical analysis

[Franctoshi]

Trading is just like a game, and the market is designed in such a way to take your money because when you lose, someone else earns money, and that's how the system is programmed, and you never can change that. And going into the market, you have to be smart and go with an entry and exit strategy, or else you end up giving the market your money and coming out crying.

Therefore, your strategy is your first tool in the market, coupled with other stuff that will help you become profitable in the trading business.

[RockBell]

Trading is just like a game, and the market is designed in such a way to take your money because when you lose, someone else earns money, and that's how the system is programmed, and you never can change that. And going into the market, you have to be smart and go with an entry and exit strategy, or else you end up giving the market your money and coming out crying.

Trading is actually beyond market analysis and the way it was designed it ia not designed for you to just make profit any time and it is a two way thing because there people that are gaining and there people that are losing depends on which side you fall in that particular time time because you can be gaining and the same time you can be losing, so when you lose the next is that another person will be gaining so that is why am agreeing with you that the system is designed that way.

Therefore, your strategy is your first tool in the market, coupled with other stuff that will help you become profitable in the trading business.

And you just have to understand how the system works so that when it gets to that situation of understanding hownit works then it becomes more favorable,  because analysis will not even help, and this is what makes it more complicated.

[ZAINmalik75]

Averaging is good but martingale is your enemy

Old traders,  if you need to give advise, what are they?

Those who don't know as newbies what a martingale is? It means you are revenge trading, risking everything like a gambler after losing one time. So that's why you should not do it and that's why OP said it is your enemy. In simple terms, if you are a newbie, you are learning technical indicators but your predictions are not following the same pattern you drew on the chart using the technical analysis. That does not mean you were wrong it just mean you are missing some factors.

You have to find them, basically in my experience what you will be missing is how other people also know you and a lot of other newbies are going to place a buy or sell order at this price and they know some extra indicators than you so they have better information, so what they do is try to oppse what you wanted to do, you buy, they buy but only little amount, price moves up quickly due to demand not too much but maybe a little 1% to 3% which won't be enough for a newbie but for them it is, so they sell and it starts dumping they short, and they buys again at the bottom but it is not as easy as I have mentioned.

It is never easy for anyone no doubt how expert in trading they are.

[Yorubek]

Trading is just like a game, and the market is designed in such a way to take your money because when you lose, someone else earns money, and that's how the system is programmed, and you never can change that. And going into the market, you have to be smart and go with an entry and exit strategy, or else you end up giving the market your money and coming out crying.

Therefore, your strategy is your first tool in the market, coupled with other stuff that will help you become profitable in the trading business.

It is really difficult to achieve success or financial gain through trading, due to a mistake while trading, we can lose all our money, we must have a correct understanding of the volatility of the market and use strategies to enter the market, we cannot enter the market in a quickly, we must wait patiently for the right time and give up emotion or greed, we must exit the market as soon as we reach a specific goal, we cannot be excessively greedy. Therefore it is better to trading with the money we can lose, this will help us to control ourselves and not put stress on ourselves, so we can trading calmly.

[Dareo]

It is really difficult to achieve success or financial gain through trading, due to a mistake while trading, we can lose all our money, we must have a correct understanding of the volatility of the market and use strategies to enter the market, we cannot enter the market in a quickly, we must wait patiently for the right time and give up emotion or greed, we must exit the market as soon as we reach a specific goal, we cannot be excessively greedy. Therefore it is better to trading with the money we can lose, this will help us to control ourselves and not put stress on ourselves, so we can trading calmly.

But in reality, there is another big reason why trading is difficult not doing risk management properly. Many people take good entries, the market also goes in their direction, but the position size becomes too large or the stop loss is not set properly, and in the end, a small mistake leads to a big loss. That is why, in my opinion the real key to surviving in trading is not profit, but loss control. Those who can keep losses small are the ones who survive in the long run. Therefore along with strategy, protecting capital is the most important thing, otherwise, even with a good setup, profits cannot be maintained.

[Asiska02]

But in reality, there is another big reason why trading is difficult not doing risk management properly. Many people take good entries, the market also goes in their direction, but the position size becomes too large or the stop loss is not set properly, and in the end, a small mistake leads to a big loss. That is why, in my opinion the real key to surviving in trading is not profit, but loss control. Those who can keep losses small are the ones who survive in the long run. Therefore along with strategy, protecting capital is the most important thing, otherwise, even with a good setup, profits cannot be maintained.

Being able to remain in the market is one of the most important things every trader should adhere to. Not being able to keep up with the market will really make you miss out on many trade opportunities. This can only be achieved by practicing good risk management in the market, only using an amount you can afford to lose, this will help fight your emotions and also give the the best possible insight into the market that gives you an edge over other traders. Trading when practiced well help to reduce losses which also in turn gives maximal returns when you hit a good trade. Recovering back after meeting a loss is more practical when all these are in order.

[Wind_FURY]

Trading is just like a game, and the market is designed in such a way to take your money because when you lose, someone else earns money, and that's how the system is programmed, and you never can change that. And going into the market, you have to be smart and go with an entry and exit strategy, or else you end up giving the market your money and coming out crying.

Therefore, your strategy is your first tool in the market, coupled with other stuff that will help you become profitable in the trading business.

That's something every pleb already knows, BUT how did that basic knowledge help every pleb like us? You posted about it, you be honest with yourself, how did it help YOU?

Because knowing that doesn't simply help you. You need to accept the fact, that you're 90% going to fail even if you tried to learn everything about "trading".

[alastantiger]

Therefore, your strategy is your first tool in the market, coupled with other stuff that will help you become profitable in the trading business.

There are many things that makes you to become a very good trader, trading is not just about knowing how to analyse the market but also being emotionally intelligent and knowing how to exit or enter into the market. To become a good trader you have to be good in many things surrounding the market you have to be a very good observer of the market also know how to analyse the market and then know how to spot the fake breakouts as the market tries to trap greedy traders into buying when the step that is supposed to be taken is to exit the market. There are  bear traps that affect greedy traders that makes them to lose money because they lack knowledge and experience in the market.

[Kelward]

Old traders,  if you need to give advise, what are they?

As I already said, my advice to you as a beginner in trading is to become more careful with trading when you start winning trades.

It may sound strange, but the truth is that at that point where you start winning trades, you may just become too overconfident and decide to start skipping rules that made you successful, and that will be the way to blow your account.

When you win a trade, be very careful about your next trade.

You're right that overconfidence in trading can lead a newbie to blow their account because they will believe that they have mastered the market and start to enter trades without being cautious. It is important to mantain a trading budget and let the amount be what you can afford to loose, no need to raise the bar just because you made profit a couple of times, try to learn and grow your bankroll gradually if you have to.

Bankroll management is important, you don't have to increase your trading funds because you feel very confident about your skills, there is need for refrains so you wouldn't get liquidated very fast when loses inevitably happens. Trading is a risky business and there is no room for familiarities especially for newbies because your technical analysis can shift at any moment from what gave you profit, it is why you should be patient and trade cautiously.

[Wind_FURY]

Therefore, your strategy is your first tool in the market, coupled with other stuff that will help you become profitable in the trading business.
 

There are many things that makes you to become a very good trader, trading is not just about knowing how to analyse the market but also being emotionally intelligent and knowing how to exit or enter into the market. To become a good trader you have to be good in many things surrounding the market you have to be a very good observer of the market also know how to analyse the market and then know how to spot the fake breakouts as the market tries to trap greedy traders into buying when the step that is supposed to be taken is to exit the market. There are  bear traps that affect greedy traders that makes them to lose money because they lack knowledge and experience in the market.

But how do you actually know that? How can you give such an advice, or believe that you have the authority to give it? Are you a "good trader", ser?

Because reading your post, it looks like either you truly are - OR you merely want to make it look to our fellow plebs that you are.

     ¯\_(ツ)_/¯

[FanEagle]

overconfidence in trading can lead a newbie to blow their account because they will believe that they have mastered the market and start to enter trades without being cautious. It is important to mantain a trading budget and let the amount be what you can afford to loose, no need to raise the bar just because you made profit a couple of times, try to learn and grow your bankroll gradually if you have to.

Bankroll management is important, you don't have to increase your trading funds because you feel very confident about your skills, there is need for refrains so you wouldn't get liquidated very fast when loses inevitably happens. Trading is a risky business and there is no room for familiarities especially for newbies because your technical analysis can shift at any moment from what gave you profit, it is why you should be patient and trade cautiously.

Yeah, a "newbie" will not know technical analysis as much as they should, they "think" that they learned it, but if they are a newbie, that automatically means they did not, because a newbie means they are new to it, and when you learned everything you need to learn about technical analysis, it should be MONTHS if not a full year, and you would stop being a newbie.

I have seen people who have been in the crypto world for just weeks and thought they did enough research and learned enough, and started trading, when I know for a fact it is impossible to learn everything about technical analysis that quickly. This is why there are a lot of people who are forgetting that it requires time and patience to be good.

[barbara44]

There are many things that makes you to become a very good trader, trading is not just about knowing how to analyse the market but also being emotionally intelligent and knowing how to exit or enter into the market. To become a good trader you have to be good in many things surrounding the market you have to be a very good observer of the market also know how to analyse the market and then know how to spot the fake breakouts as the market tries to trap greedy traders into buying when the step that is supposed to be taken is to exit the market. There are  bear traps that affect greedy traders that makes them to lose money because they lack knowledge and experience in the market.

But how do you actually know that? How can you give such an advice, or believe that you have the authority to give it? Are you a "good trader", ser?

Because reading your post, it looks like either you truly are - OR you merely want to make it look to our fellow plebs that you are.

See, that's the thing when it comes to trading. Everyone thinks they know enough if they are just another noob in front of others. I think he might have some experience in trading but will still be quite far from making profits. That might make him think he might know the ins and outs of trading but in reality, he does not have much knowledge.

That's why new people should carefully choose who to follow. They will get hundreds and thousands of mentors or so-called guru's out there but only a handful of them will be trustworthy. Understanding trading takes a lot of research which takes years to master. Spending a couple of months will definitely teach us the way trading works but earning profits will take years of learning and practice.

[Hamza2424]

Old traders,  if you need to give advise, what are they?

Hmm, you are right bro. Trading is mostly about fundamentals and emotions, and less about technical analysis. We can start trading without the technical part, and even without much knowledge at all, but eventually we have to learn how to control our emotions, whether we are using indicators or following the news.

There are different types of trading that depend on these aspects in different ways. For long-term investing, it usually depends more on patterns, like the BTC halving cycle. For short-term trading, indicators and emotions both play an important role. Your suggestions are very relatable.

We have to manage risk while trading to increase our chances of profit, but whenever we are trading alts and think analyzing BTC is not necessary, then we are definitely wrong, we need to work on our behavior too because money is important but not that important that we let it lead us into extreme anger.

[Wind_FURY]

There are many things that makes you to become a very good trader, trading is not just about knowing how to analyse the market but also being emotionally intelligent and knowing how to exit or enter into the market. To become a good trader you have to be good in many things surrounding the market you have to be a very good observer of the market also know how to analyse the market and then know how to spot the fake breakouts as the market tries to trap greedy traders into buying when the step that is supposed to be taken is to exit the market. There are  bear traps that affect greedy traders that makes them to lose money because they lack knowledge and experience in the market.

But how do you actually know that? How can you give such an advice, or believe that you have the authority to give it? Are you a "good trader", ser?

Because reading your post, it looks like either you truly are - OR you merely want to make it look to our fellow plebs that you are.

See, that's the thing when it comes to trading. Everyone thinks they know enough if they are just another noob in front of others. I think he might have some experience in trading but will still be quite far from making profits. That might make him think he might know the ins and outs of trading but in reality, he does not have much knowledge.

Those people probably want to be "someone important" in BitcoinTalk. That's actually OK, but they should have actual skill, and/or have valuable/sensible insights to share with our fellow plebs in the community to help us improve as people, AND as investors.

That's why new people should carefully choose who to follow. They will get hundreds and thousands of mentors or so-called guru's out there but only a handful of them will be trustworthy. Understanding trading takes a lot of research which takes years to master. Spending a couple of months will definitely teach us the way trading works but earning profits will take years of learning and practice.

Plus it's our responsibility to question those people. There are "gurus" in the forum who are actually just mere plebs like us.

[Finebone]

But in reality, there is another big reason why trading is difficult not doing risk management properly. Many people take good entries, the market also goes in their direction, but the position size becomes too large or the stop loss is not set properly, and in the end, a small mistake leads to a big loss. That is why, in my opinion the real key to surviving in trading is not profit, but loss control. Those who can keep losses small are the ones who survive in the long run. Therefore along with strategy, protecting capital is the most important thing, otherwise, even with a good setup, profits cannot be maintained.

What you said here is true, controlling your loss is very important if you want to survive the market for a long time. Technical analysis and your ability to read the candle stick is very important, but with them only, you cannot succeed in the market, because your inability to control your losses through proper risk management strategy and your ability to control your emotions are very important if you want to be successful in trading.

Aside all these, patience and taking only higher quality trading set up are very important, added with not doing leverage trading to avoid liquidation, so if you can get all these right consistently, the chances of being profitable in trading are high, so  it's true that trading is not just about technical analysis.

[Mpamaegbu]

Averaging is good but martingale is your enemy

You're right. Martingale is a killer if one doesn't have a good grip on Risk and Money Management. For those who know how to navigate it, they're quick to recover any losing capital faster than those who would rather wait it out for any losing trade to recover fully before taking another trade, no doubt.

Risk management is important
Money management is also very important

This is why stop loss is very paramount in trading. I've yet to see a truly successful trader who doesn't recognize the vital place of SL. Those who don't use it and who in place of it use low leverage or lotsize don't know they're shooting themselves in the foot be letting their drawdown recover and go into profit after several days/weeks/months of not even making any profit in what ordinarily they would've ended and started a fresh trade with. To preserve capital, SL is a necessity.

[Mame89]

Trading is just like a game, and the market is designed in such a way to take your money because when you lose, someone else earns money, and that's how the system is programmed, and you never can change that. And going into the market, you have to be smart and go with an entry and exit strategy, or else you end up giving the market your money and coming out crying.

Therefore, your strategy is your first tool in the market, coupled with other stuff that will help you become profitable in the trading business.

It is really difficult to achieve success or financial gain through trading, due to a mistake while trading, we can lose all our money, we must have a correct understanding of the volatility of the market and use strategies to enter the market, we cannot enter the market in a quickly, we must wait patiently for the right time and give up emotion or greed, we must exit the market as soon as we reach a specific goal, we cannot be excessively greedy. Therefore it is better to trading with the money we can lose, this will help us to control ourselves and not put stress on ourselves, so we can trading calmly.

Trading involves many things, so it's not just about technical analysis. Many traders are adept at reading charts and analyzing but still experience losses because they fail to control their emotions and greed.

In fact many experienced traders always say that to be successful in trading you must master psychology 80% and technical analysis 20%. Therefore, it can be concluded that successful traders aren't the most analytical, but the most consistent and self-controlled.

Of course, these are essential controls such as a clear trading plan and disciplined execution, strict risk management and a mindset that trading isn't a get-rich-quick scheme.

[monetizator4]

Yeah, the market sure can be tricky. Strategy is key, but even then, it's about executing it right. And as Oshosondy mentioned, managing your losses early can make all the difference. Without proper risk and money management, no strategy will save you from a big loss. So yeah, smart moves and solid risk control, those are your best allies in this game

[gabbie2010]

An experience trader would not rely solely on overbought and oversold indicators like MACH, RSI etc to place a trade on a single timeframe, basically traders frame their analysis from higher timeframe down to lower timeframe where entry is triggered thus the use of vindicators would be deployed for perfect entry, its unfortunate that newbie traders use a one timeframe for both analysis and entries using the so-called indicators thus resulting to instant liquidation of their account, More so Fundamental analysis can be considered when analysing any trade because a positive news indicates a bull run while any negative would trigger dump in prices

[leonair]

I don't really trade, particularly futures or margin, since the risks are high and liquidation can wipe you out quickly. Technical analysis is something i've trie before, but it's still beyond me lol. To me, trading feels similar to sports betting, winning often comes down to probabilities and repeated attempts. That approach just isn't for me, so i mostly avoid trading or gambling, except for the occasional sports bet on teams i'm familiar with that i mostly win.

Future trading or margin trading is like gambling. The risk here is very high and if you make a wrong entry, there is no benefit even if you hold it for a long time because in that case there will be a risk of losing the entire fund, so if you make a wrong entry, you may have to close at a loss or lose the entire fund. Those who do futures trading gamble with the market. Just as in gambling, except for a few lucky people, nothing good comes and they cannot protect it, in futures or margin trading too, some traders can make good profits and protect them and the maximum trader cannot protect his fund. I have done futures trading for a while but the risk here is too high, so I gave up.