Pages:
Author

Topic: Basic Types of Trading - page 2. (Read 608 times)

legendary
Activity: 2534
Merit: 1338
October 21, 2021, 04:40:45 PM
#93
Leverage on the other hand, could be utilized in our favor if we are too good in technical analysis
Being too good in predicting market direction with the help of technical analysis is not easier for most traders. When most traders are failing with their technical analysis part then obviously they must avoid leveraged trading to protect their capital. I had experience of going for leveraged trading but in the end I understood that spot trading is profitable even with smaller ones.
Which is why it is stated over and over again in most honest books about trading that leverage trading is something that should be engaged only by the experts, a newbie or even a good trader do not have the necessary tools to be able to manage their leverage correctly, you need a lot of experience, a system that is highly accurate and a trader that can act on the blink of an eye to save their account if they notice there is something wrong going on.
newbie
Activity: 15
Merit: 0
October 21, 2021, 04:30:40 PM
#92
Actually, there are some other types of trading as some members here given information, right?
But for me, I only focus on Spot trading. Why? because I am not really good at analyzing the chart or doing technical analysis. I have tried doing trading in the future market, but I really couldn't and I will not risk my money more in the future market.
That is why I choose Spot trading because it is less risky than future
You do not even have to be that "smart" to be trading on spot trading which is why I love it as well. I mean you need to be smart and be good at math and all that if you are doing chart reading and trading constantly, but if you are not doing that, if you are only caring about the situation like "I buy it now, then I will be able to wait as long as I have to whenever there is a good increase" then you do not need much.

I have been doing it for years and I really need nothing to do that, I just do nothing when it drops (maybe buy some more) and then sell it when I am in profit, which I do not even sell for most cases, just ones that I want to get out. This is why I believe it is really great for people who do not want to deal with all of the hard work other trading methods bring in.

nice comment , how often do you buy /sell do you have algo for it ?
When do you sell I mean after 5 % - 10 %  gain ?
sr. member
Activity: 812
Merit: 272
October 21, 2021, 03:38:54 PM
#91
Actually, there are some other types of trading as some members here given information, right?
But for me, I only focus on Spot trading. Why? because I am not really good at analyzing the chart or doing technical analysis. I have tried doing trading in the future market, but I really couldn't and I will not risk my money more in the future market.
That is why I choose Spot trading because it is less risky than future
You do not even have to be that "smart" to be trading on spot trading which is why I love it as well. I mean you need to be smart and be good at math and all that if you are doing chart reading and trading constantly, but if you are not doing that, if you are only caring about the situation like "I buy it now, then I will be able to wait as long as I have to whenever there is a good increase" then you do not need much.

I have been doing it for years and I really need nothing to do that, I just do nothing when it drops (maybe buy some more) and then sell it when I am in profit, which I do not even sell for most cases, just ones that I want to get out. This is why I believe it is really great for people who do not want to deal with all of the hard work other trading methods bring in.
jr. member
Activity: 46
Merit: 1
October 21, 2021, 12:46:45 AM
#90
Only experienced traders should invest in futures trading. Futures work on the principle of derivatives,  making it more profitable and more risky. Spot trading is instant and best for beginners. 
member
Activity: 770
Merit: 12
Trphy.io
October 20, 2021, 10:29:20 PM
#89
📌 Spot Trading: you buy any coin of your choice at any given rate, you HODL for it to rise higher, you sell at any point you feel it has risen enough
Actually, there are some other types of trading as some members here given information, right?
But for me, I only focus on Spot trading. Why? because I am not really good at analyzing the chart or doing technical analysis. I have tried doing trading in the future market, but I really couldn't and I will not risk my money more in the future market.
That is why I choose Spot trading because it is less risky than future
it's easier for spot trading, I've experienced it myself, because we just buy a potential coin and then hold it until we get a draw and we exit the market. I think many people prefer it, especially in cryptocurrencies that have this high fluctuation
sr. member
Activity: 993
Merit: 250
Moonbet.io
October 20, 2021, 06:18:41 PM
#88
There are basically two types of trading on binance generally (SPOT trading and FUTURES trading

📌 Spot Trading: you buy any coin of your choice at any given rate, you HODL for it to rise higher, you sell at any point you feel it has risen enough

📌 FUTURES trading: you predict whether a particular coin is going to rise of fall in price, if it goes in opposite direction from your prediction, you lose your money and your coin

Note: In SPOT trading, you can never lose your coin, the worth of your coin can only reduce but your coin remains to rise again in worth when the market goes green.
Actually the two major trading systems in Binance spot and margin but another trading system that you find in Binance exchange platform that's p2p trading. One can easily transfer or trade with local supporting currencies.
full member
Activity: 383
Merit: 100
October 20, 2021, 05:44:40 PM
#87
📌 Spot Trading: you buy any coin of your choice at any given rate, you HODL for it to rise higher, you sell at any point you feel it has risen enough
Actually, there are some other types of trading as some members here given information, right?
But for me, I only focus on Spot trading. Why? because I am not really good at analyzing the chart or doing technical analysis. I have tried doing trading in the future market, but I really couldn't and I will not risk my money more in the future market.
That is why I choose Spot trading because it is less risky than future
sr. member
Activity: 2030
Merit: 323
October 20, 2021, 03:00:31 PM
#86
only newbies will share like this and I am sure no reputed forum member will have positive opinion on leveraged trading for sure.
Yes, that forum member looks like a paid shill as they are talking about a broker in many topics as far as I have come across. So, basically if someone is talking about leveraged trading positively then that must be a fake one in most cases.

Leverage on the other hand, could be utilized in our favor if we are too good in technical analysis
Being too good in predicting market direction with the help of technical analysis is not easier for most traders. When most traders are failing with their technical analysis part then obviously they must avoid leveraged trading to protect their capital. I had experience of going for leveraged trading but in the end I understood that spot trading is profitable even with smaller ones.
legendary
Activity: 1596
Merit: 1027
October 20, 2021, 10:10:42 AM
#85
There are 3 actually, the last one is margin trading. It might seem the same as futures however its slightly different than futures.

Basically on margin you got much less leverage, usually 10x instead of 125x. You also pay different fees and the bitcoin that you long, is actually bought on the real spot market. So you are not buying a derivative like you are on the futures platform.

With margin you pay a fixed rate depending if you long or short bitcoin. And on futures the rate is determined by the funding rate or the futures premium/discount. So they are more or less the same but with different rules.

They are more or less the same, but you forgot to say that Futures is a lot riskier. With margin trade, you can easily strand small price reversals whereas with futures you get immediately capitulated
legendary
Activity: 2534
Merit: 1338
October 18, 2021, 04:43:29 PM
#84
I use the leverage provided by the Amarket broker in the amount of 1: 1000, and I can say that it really helped me out and helped me a lot.
And how long you have been trading with that insane amount of leverage? Because I can guarantee you that there is no trader in any market that can trade using that kind of leverage for more than a year, you are compounding the volatility of this market 1000x and when we take into account the volatility is already very high in the market then even the most insignificant dip can be more than enough to completely wipe out your account, however if you have to learn the hard way be my guest as it will not take a long time before you destroy your account by using such a  high leverage.
hero member
Activity: 2212
Merit: 805
Top Crypto Casino
October 18, 2021, 04:23:30 PM
#83
During spot trading you need to be less careful because if you do something wrong and end up losing money then you could wait and then you could still profit. Let's assume that you bought bitcoin at 50k and then it dropped to 30k and you lost money there, but if you could wait and not get out then you are going to be making profit now, and that's how you do in spot trading.

You buy something and hope that you would profit quickly, like making a profit during the 30 seconds you buy and that's the dream, but if you ever buy something that end up dropping in price then you at least have the chance that you could get out later than you expected and you would still be fine. That is why spot trading is a bigger market than any other market.

A large majority of crypto traders focus on spot trading even though they also trade on futures. Spot is the backbone of any trading especially in crypto. Its the place almost all beginners start from (I did so too) and even though I still use margin and trade futures, I always have a couple of spot positions that I just keep open for as long as I want.

Only downside is the lower profitability since 1% on either side of the market will always = 1%.
legendary
Activity: 2996
Merit: 1132
Leading Crypto Sports Betting & Casino Platform
October 18, 2021, 04:16:49 PM
#82
During spot trading you need to be less careful because if you do something wrong and end up losing money then you could wait and then you could still profit. Let's assume that you bought bitcoin at 50k and then it dropped to 30k and you lost money there, but if you could wait and not get out then you are going to be making profit now, and that's how you do in spot trading.

You buy something and hope that you would profit quickly, like making a profit during the 30 seconds you buy and that's the dream, but if you ever buy something that end up dropping in price then you at least have the chance that you could get out later than you expected and you would still be fine. That is why spot trading is a bigger market than any other market.
legendary
Activity: 2338
Merit: 1124
October 18, 2021, 07:22:20 AM
#81
I use the leverage provided by the Amarket broker in the amount of 1: 1000, and I can say that it really helped me out and helped me a lot.
Yeah, only newbies will share like this and I am sure no reputed forum member will have positive opinion on leveraged trading for sure. Perhaps you might be a paid shilling of above mentioned broker. I am seeing people do suffer a lot when availing 1:5 leverage itself but you are shilling about 1:1000; definitely zero chances to be realistic.

Leverage on the other hand, could be utilized in our favor if we are too good in technical analysis but considering against the market volatility
Being too good in TA may not be possible for 90% of traders as real time TA results are almost 50-50% profit/loss ratio and taking it toward 80-20% is purely based on how inattentively we go for TA. Hence, leverage trading cannot be utilized at most cases.
newbie
Activity: 8
Merit: 0
October 18, 2021, 03:24:12 AM
#80
I use the leverage provided by the Amarket broker in the amount of 1: 1000, and I can say that it really helped me out and helped me a lot.
legendary
Activity: 3052
Merit: 1188
October 17, 2021, 12:56:28 PM
#79
The only difference is the duration and the leverage used!
No, that is a big difference. When you are not able to hold your positions forever until you prefer to, then you will be enforced to exit as the expiry of the contract which must be a very big disadvantage of futures trading. In spot trading, I will be able to hold for years until my position get back into profit zones. For example, think about the people who bought bitcoins above $15k by December 2017; they might have got back to profits zones only by 4th quarter of 2020 - exactly 3 years of waiting.

Leverage on the other hand, could be utilized in our favor if we are too good in technical analysis but considering against the market volatility, I guess staying away from availing leverage might help anyone to crack profits even in highly fluctuating market conditions.
full member
Activity: 630
Merit: 100
October 17, 2021, 12:07:49 PM
#78
Spot trading is good and once you are clear about which coin to buy and when to sell,  your risk is reduced significantly. The only threat to your fund is the exchange itself.  Future trading is not difficult as many would have you believe.  The same position you take in spot is applicable on future. The only difference is the duration and the leverage used!
member
Activity: 700
Merit: 10
October 16, 2021, 09:50:07 AM
#77
There are basically two types of trading on binance generally (SPOT trading and FUTURES trading

📌 Spot Trading: you buy any coin of your choice at any given rate, you HODL for it to rise higher, you sell at any point you feel it has risen enough

📌 FUTURES trading: you predict whether a particular coin is going to rise of fall in price, if it goes in opposite direction from your prediction, you lose your money and your coin

Note: In SPOT trading, you can never lose your coin, the worth of your coin can only reduce but your coin remains to rise again in worth when the market goes green.
I never agree with people who choose futures trading because in my opinion it is gambling, it is very clear not when we choose wrong we will lose money. the whole gamble is so.
different from spot trading where we buy a coin that we can keep until whenever we want either in the future it will go down or high in price. it all depends on the analysis and also our luck in choosing.
right, spot trading is more profitable and we can research carefully, and this will be easier to do, for me. different from futures trading which seems to just need luck, so this is like gambling which ultimately makes us disappointed with the end result
member
Activity: 658
Merit: 11
CRYPTO WEB3 NEOBANK
October 16, 2021, 09:30:56 AM
#76
There are basically two types of trading on binance generally (SPOT trading and FUTURES trading

📌 Spot Trading: you buy any coin of your choice at any given rate, you HODL for it to rise higher, you sell at any point you feel it has risen enough

📌 FUTURES trading: you predict whether a particular coin is going to rise of fall in price, if it goes in opposite direction from your prediction, you lose your money and your coin

Note: In SPOT trading, you can never lose your coin, the worth of your coin can only reduce but your coin remains to rise again in worth when the market goes green.
I never agree with people who choose futures trading because in my opinion it is gambling, it is very clear not when we choose wrong we will lose money. the whole gamble is so.
different from spot trading where we buy a coin that we can keep until whenever we want either in the future it will go down or high in price. it all depends on the analysis and also our luck in choosing.
hero member
Activity: 2366
Merit: 793
Bitcoin = Financial freedom
October 16, 2021, 09:22:18 AM
#75
I like futures trading. I am making good profit from futures trading till now. However, it takes a lot of research on coins. I kept up-to-date news of coins all the time. I would match their work by looking at the roadmap of what this project will do in the future. In my opinion, it is possible to do better from futures trading.
Still its a gamble amd there is no guarantee to make profits even when we took the right coin whereas in spot trading we are in complete charge so we can make profits as long as we hold longer and there is no time limit for that.
legendary
Activity: 2534
Merit: 1338
October 15, 2021, 04:30:38 PM
#74
I mostly prefer spot trading, I'm doing it also and having much profits from the previous one or two years, in crypto it is real one and having much benefits as it is a little risky but not that much as the future trading, so it is never betting and can gain much profit through spot trading, and this is the best one to work on, so this was just my opinion.
Spot does really has lesser risk than the futures. It's very known and only those that are good to it will go for futures and if there are newbies that thinking it's a quick profit method, it's true but they should be prepared before they become liquidated. It's not always that they're going to be liquidated but that mostly happens when a sudden turn of the market happens and it's not in their favor. That's why I don't like futures and my heart faints for it so I don't do it.
And that is the thing, this is similar to what we see in poker, there are many people playing at the low stakes tables but once you can make money in those tables and you try to move up then you will find out that the level of play has increased significantly and it is way more difficult to obtain anything out of it, the same is true for spot and futures trading, spot trading is not easy but it can be mastered by some traders but the moment they try to move to futures trading then they will have a lot of problems as the skill level increases significantly once you move out of spot trading.
Pages:
Jump to: