Topic: Advice needed! Buying, trading, and selling on exchanges - page 2. (Read 3228 times)

Arbitrage never in a down market. In a bullmarket arbitrage can make a couple of extra bucks if everything works out in a timely manner (no problems with wallets at the exchanges). In a down market it can easily happen that while your coins transfer from one exchange to the other price goes down and you actuallly lost money on it. So arbitrage is best in uptrend.
Generally there isn't a lot money in arbitrage, only on rare occasions one can find profitable opportunities.
One also needs to take withdrawal fees into account.

Arbitrageurs will like this page: http://www.cryptocoincharts.info/arbitrage


btw: coin competition is running. One can practice with play money trading btc. The winner is determined once in a month and can win 5 btc

https://www.coincompetition.com

Also good to practice trading.

Okay, now i understand you have experience with a direct kind of arbitrage. And this problem i know very well. The best opportunities here are only if markets change the price, then you can use the difference between markets to profit from it.
look for example on the doge/btc markets. there is no arbitrage possible, price is all the same on different exchanges.
only automation is fast enough to get the chance sometimes.

and that's why i have my own strategies now.
one is for example: i search for markets/coins with low volume and big spread. a spread which is bigger as the spread on the same market on a other exchange (or as the same coin against a other base currency)!
if i found a market i place a order to buy a coin cheap
.it need some time now. i can see on the order book already before i place the buy-order if people sell coins for low prices on this market. and i predict how long it could need to fill my order.
this way i get the coins cheap after a while. then i can sell it on a other exchange on the same market. or maybe i can do a 3 way arbitrage on the same exchange.
this way of arbitrage is harder to automatize. it is indirect because i have planed the first step and have to wait for the execution.
and if the other market (where i like to sell) went down in price, i am able to cancel my buy-order.

and yes, arbitrage is possible on the stock and coin markets, as well on the local market between towns, and with apples.
If i know that someone buy 1 apple for 1 bitcoin in town B.
And i know due to my research that somebody in town A sells a apples sometimes for 0.8 bitcoin.
I will place a order in town A on the market to pay him 0.85 bitcoin for the apple.
It needs some time, but after the next harvest i get 1 apple for 0.85 bitcoin. Now i need 0.05 bitcoin to travel to town B (it's like the withdrawal fee). Now in town B i sell my apple for 1 bitcoin and have 0.1 bitcoin profit.

And if i do this example between countries with different local currencies, then i have a 3 way arbitrage. Here is the important 3. step to exchange the foreign currency back to my own local currency, to make the arbitrage process complete.

About information. I search only coin relevant data here, some specifications / technical details. They are good to know and really important if you plan a long time investment!

Other than you, i spend the most time on exchanges and search for arbitrage opportunities.
Arbitrage is a situation of two or more markets (on the same or different exchanges, like bittrex and cryptsy)!

Arbitrage is nothing that someone offer to participate on it! (Or i got your point wrong and don't understand what you mean whit "have only been offered to join a Arbitrage"; also i dot understand the 30 days...)

If someone offer you a possible trade he could do it for his own profit maybe. But by the way, 10% is a good reward for a arbitrage trade.
To execute a arbitrage needs only a short amount of time. Only the time you need to create the orders on the involved markets + the time to withdrawal coins from one to a other exchange, if they not already on balance.


Hey, please tell me more about your arbitrage, and how it was in detail. I will be sure that we talk about the same...

I have had experience with arbitrage in the stock market and in the crypto-currency markets.

It doesn't work well in practice because you are competing with many people for the tiny discrepancies in price. The key to making money in arbitrage is to find and execute on an opportunity before anybody else does. That's not easy. Automation is key.

Interesting...sounds pretty risky though!  Regardless good job on making that profit off NXT and that username...most resolute, my liege.  Such obstinance must surely invoke the wrath of many a state servant...DBAN, a most trusted defense I presume!

Hey man, the block chain still exists of those coins!
It is only the exchange which means to delist the coin, because it is not profitable for the exchange. I don't like this idea...
c-cex and bittrex are exchanges who watch at the profit firstly.

since few moths there is a new exchange, they have a strict NO delist policy!
they provide also mining pools for all coins!
and they have a own marketplace which works like you know from ebay, but only whit crypto currency.
Since i trade there it is my favorite home of crypto




hey, never trust someone who say buy this coin!
i such a case i would do the opposite maybe. better i stay away.
there is no reason to get invested due to someone others advice.

but if you see a bump/dump, you can still use the spread to gain some profits.
i did this for example with html5/ltc, it went many times up and down at the last time.
the direction was clear and this allowed me to go behind the spread also...
HTML5 and LTC are base currencys on bleutrade. and bleutrade is good to buy some coins cheap.
i am lucky now to have some more html5 and ltc
and nobody told me to buy or sell the coins, but i got profits from the pumps and dumps finally...

I don't think we have enough information.  I have spent a ton of time on the forum and have only been offered to join a Arbitrage once. I passed as I didnt think it would do much.  In the end they got 10 percent profit.  This was in about 30 day's (at some point it did show a loss).

If someone has a working Arbitrage bot they will not speak up or talk about it.  It is worth to much money to them if it's working.

Do you have a reason why you say that? Experience?
What or why is it not working exactly in practice? What must be different that it works in practice (according to your opinion)?
Which kind of arbitrage we talking about?
i totally disagree! And my balance on the exchange show me the result! i trade mostly (at over 90 %) arbitrage!
because it is nearly without risk and nearly independently in which direction the price moves!
but i needed a long time to find the perfect way of practicing it... to find a strategy !


and i do speculation if i trade with the moving prices! it is a different kind of trading!
speculation needs moving in prices! that's why day trading is profitable (but if you know what you do only).
and for speculation i must know and understated the currency, as well the things behind it.
further i must read the chart. each candle i must understand!
then i can get big profits.
by the way, if you can read a chart and if you do it regularly, you will see it before if someone plans a pump or dump. and if you are clever you see can assume when the pump/dump is over. it is all learning and understanding, as well knowing.

And please don't put two things in the same pot...

To elaborate further: as the price drops forever till shitcoin is delisted at exchanges everywhere and you are now the proud bagholder of worthless coins.

Speaking from experience ... dammit.

I deny the importance of astrology. It has charts, too.


Some do, some don't, but both know more than their clients and that's how they make the most money.

it's very straightforward.

• Step 1: Buy an asset.
• Step 2: Convince people that the price of the asset is going to rise, and that they should buy it -- the "pump".
• Step 3. Sell the asset once the price has risen because of all the people fooled by the "pump" bought it. -- the "dump"
• Step 4. Enjoy the wealth. Laugh at the people that lose money as the price returns to normal.

How do u deny the importance of charts ? Do u think between 2 broking house trading on wall street knows one thing better than the other ?

I'm not saying don't trade, I'm saying don't trade widgets if you don't know what a widget is or how it works or why someone would want to buy or sell a widget. If you don't have a good idea where the price is going to go, then you are just guessing and you are going to lose money.

Arbitrage does not work as well as most people think.
 

Well, I'm not making any claims or predictions.


Arbitrage works in theory, but not so well in practice.

Best advice ever.

Trade with chump change for fun. Don't put any serious money into it. Altcoins are a losing proposition these days.

wow, what a "legendary" answer in the newbie section. in other words he say, stay away from trading, there are big players and they rip you off. any reason for that answer?
this happened only, if you go on a market and buy a coin and hope to sell it at a higher price. also it could happen if you invest all your money.
if you are smart than you can calculate a bit. Maybe you find a coin which you can buy for BTC at cheaper price as the sell price on the  LTC market. That means you buy for BTC and sell for LTC, the LTC you exchange back to BTC after it. If your calculation before was correct then you have more BTC as before.
This is a typical 3 way arbitrage. You can do it inner-exchange, also is it possible to execute one step on a other exchange.

This way of trading is total independently from other traders, because it is very fast possible. It is no speculation, only calculation. And you don't need to look at a chart.
Also the volume is unimportant.
It is only a need that the price constellation is available and the calculation is correct.
 
yeah, including the people who say those words all the time and provide answers like yours.
Are you scared that someone could steal your trade opportunities?

And yeah i agree with some points of this. Bots are not for newbies. Only who know what he is doing exactly can use a bot to do something automatic. But they have nothing to do with get rich quick schemes. Also book are something different!
There is good perusal for reading charts, for sure.
And if someone trade successful, he use a strategy. I speak from experience which i have made! And i have a strict strategy which i use. And again, arbitrage is a strategy! Can you explain your answer with a bit more details? Or have you read this somewhere else?
Also a good strategy is to trade with very small amounts! Small as possible. If something goes wrong then you are able to cover the looses more easy.
And for sure, arbitrage is a opportunity which is not possible at all time. If you see and calculate this this opportunity, you can take it!

Could you elaborate a bit on the whole pump-and-dump 'process'?  Is this what people in the 'pumpers picks' thread got suckered into doing?  It feels like that whole thread is one guy taking advantage of everyone else there...

The only way to make money trading to know more about the thing you are trading than the people you are trading with. If you trade based on charts or speculation or rumor, you are going to lose to the people that actually know what's going on.

Don't believe most of what other people say. They know a lot less than they think they know.

Don't get suckered by people selling books and bots and get-rich-quick schemes. There is no successful trading strategy. Successful trading is opportunistic -- you see an opportunity and you take it. I guess you could consider that a strategy.

Finally, don't fall for the pump-and-dump scams. If you aren't the one doing the pumping, then you must be the victim.

- Marketcap devided by number of coins equals price of a coin ... or: price of the coin multiplied by number of coins equals marketcap (logically)
- tradevolume devided by price equals number of coins traded
- look out for inflationrate. How many new coins are created per day/month/year? New coins mostly go to market. So inflation makes up the supply. And as we know demand AND supply make the price. If demand is consistently higher than inflation, coin theoretically goes up.
- In daytrading you sell when it goes down to rebuy more coins lower
- Looking at alltime graph or 1 year graph is certainly helpful to get an idea what potential the coin has (or had) and what the trend is (right now i think many coins can be found that are close to rock bottom)
- Tradevolume can fluctuate wildly day to day
- generally one shouldn't 'invest' in coins at all. I thought similar but it turned out that this place is full of scum, incompetence, vapourware and crooks and most coins don't live all that long. Maybe even bitcoin won't live all that long, who knows? Daytrading and swingtrading is what 80% of people do especially if you are a small fish that can't afford to, so to speak, make a coin his 'own bitch'.
- with small bankroll like you, often trading at the spread can be lucrative. You'll find coins with large spread on every exchange. Trading that spread profitable is also possible.
- if you devide daily tradevolume by daily inflationrate you'll get a metric that let's you compare all these coins directly. Think about this.  
- never listen to any adivce on this board. Everyone just wants into your pocket. Only trade according to your own research and judgement.
- newer coins are more risky and volatile than older coins.
- never buy based on promises or hype

In trading 90% of people loose. It is competition. Either you learn fast and make it to top 20% and later 10% and end up living off it or you're going to be erased in the long run. We've seen many people vanish here in the past year, many lost everything. (look at altcoin charts, some things are down 99,9%) Alts are volatile as hell. Good financial management and risk mitigation is where it's at. Never all in! Take some profits when possible. Don't be greedy. Try to cut losses early.

Observe how buyers rule until they are exhausting and slowing down and are engulfed by a large seller and then sellers rule until they are exhausted and are engulfed by a large buyer. That's the beat of the market.

Contrary to mayuyu:
Avoid speculation section. It's biased.
Don't cut your gains when you're sensible enough to read the market. Ride the winners to where they take you but pay attention and be alert to sell once the buyers are exhausting. Guessing tops and bottoms can be learned. You know you've achieved it when your medium sized marketorder frequently tends to tip the market. (godmode trader)


Daytrading 101 training can help. Controlling your emotions (fear and greed) is where it's at. Marketaction is a reflection of fear and greed aswell as hopes of the market participants. Learn to capitalize on fear and greed of others.

Most important: don't believe a word you read here. Trust nobody, not even admins.

Good luck