I agree with you. In this way risk can be minimized and gain with low investment within a short period of time. As a new trader, I will keep this philosophy in my mind .
Trading is something which you can only learn by spending enough of your time into it and that by doing the right things at the right time. If you have just gained the theoretical knowledge and then you expect that you will be able to have something good while doing trading, then this might not happen because till the time you don’t get the practical touch, you can’t understand how things actually work. 
Topic: Do you know what's short? A genius trade! (Read 189 times)
but what you explained is not called "short" or "short selling"!
to short means to sell something you do not own, you are basically borrowing that asset and you only make profit if the price of that asset drops. you can read more about it here: https://www.investopedia.com/terms/s/shortselling.asp
what you explained is simply traditional trading. you sell the asset that is about to fall (before the drop starts) to have your money ready then wait for it to reach the bottom and buy back either you buy the same amount back and keep the difference as profit or buy more of that asset an have more so you profit more from the upcoming rise.
short will work and give you profit as long as the price is falling but the second thing you explained only works if the thing you buy actually recovers and that is not going to happen for most altcoins.
and it is not genius, it is actually a very risky way of investment.
to short means to sell something you do not own, you are basically borrowing that asset and you only make profit if the price of that asset drops. you can read more about it here: https://www.investopedia.com/terms/s/shortselling.asp
what you explained is simply traditional trading. you sell the asset that is about to fall (before the drop starts) to have your money ready then wait for it to reach the bottom and buy back either you buy the same amount back and keep the difference as profit or buy more of that asset an have more so you profit more from the upcoming rise.
short will work and give you profit as long as the price is falling but the second thing you explained only works if the thing you buy actually recovers and that is not going to happen for most altcoins.
and it is not genius, it is actually a very risky way of investment.
Okay I understand more about the OP's discussion from this post. In general what OP explained was just buy low and sell high but in genius way. ! I think most of the trades follows the same way of trading it is just about the timing which gives them different names. I mean come on, it doesnt matter all which type of trading I am doing, whether it is swing trading, day trading, long/short term trading, in all of them one thing is literally common and thats buy low and sell high stuff. So I dont see any different but it is just about the timing really.
Theoretically you are right. But real market hardly will match your theory. Coz, rise and fall are not even or predictable. Sometimes it takes a lot of time to reach bottom and peak. Shorting is always a bit more risky.
"There are no secrets to success. It is the result of preparation, hard work, and learning from failure" – Colin Powell
I like that way of thinking. For me, trader day / week or investment holdings are the form and business plan-> profit. Of course, with every different thought and perspective, they all want to make a profit. To me, short-term plans are only effective at some point. It can be good if luck belongs to them.
I like that way of thinking. For me, trader day / week or investment holdings are the form and business plan-> profit. Of course, with every different thought and perspective, they all want to make a profit. To me, short-term plans are only effective at some point. It can be good if luck belongs to them.
but what you explained is not called "short" or "short selling"!
to short means to sell something you do not own, you are basically borrowing that asset and you only make profit if the price of that asset drops. you can read more about it here: https://www.investopedia.com/terms/s/shortselling.asp
what you explained is simply traditional trading. you sell the asset that is about to fall (before the drop starts) to have your money ready then wait for it to reach the bottom and buy back either you buy the same amount back and keep the difference as profit or buy more of that asset an have more so you profit more from the upcoming rise.
short will work and give you profit as long as the price is falling but the second thing you explained only works if the thing you buy actually recovers and that is not going to happen for most altcoins.
and it is not genius, it is actually a very risky way of investment.
to short means to sell something you do not own, you are basically borrowing that asset and you only make profit if the price of that asset drops. you can read more about it here: https://www.investopedia.com/terms/s/shortselling.asp
what you explained is simply traditional trading. you sell the asset that is about to fall (before the drop starts) to have your money ready then wait for it to reach the bottom and buy back either you buy the same amount back and keep the difference as profit or buy more of that asset an have more so you profit more from the upcoming rise.
short will work and give you profit as long as the price is falling but the second thing you explained only works if the thing you buy actually recovers and that is not going to happen for most altcoins.
and it is not genius, it is actually a very risky way of investment.
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I had been in touch with the term a few times until I really understood what it meant. Getting into a short trade is a total genius thing. After some reading on the subject, what "really" taught me what a short was is the great friend called @crossholder.
Imagine that you have 10 units of a coin (let's call it 10 shitcoin) and that by analyzing the market you see that the value of that coin is falling ... then you sell that coin (let's assume they are worth 1 bitcoin at the moment) and , after the sale, you wait for the drop to happen ... and actually shitcoin drops (in that theory ... 50%) ... then you repurchase the same 10 units for half the price and get 1/2 bitcoin in the process ... says it's not a master's move ?!
Some time this theory is working and some time not. Sometimes short trade is profitable and sometimes long-term is profitable I think.At this moment i love short-term trade.Because btc price is now up-down mode. When you will be in lose then try to hold them for long term. OR you can understand that the coin will be down more in next few days you can sell as soon as possible and wait for buy again. In this situation short term is profitable. Because in this formula you can increase your holdings. Imagine that you have 10 units of a coin (let's call it 10 shitcoin) and that by analyzing the market you see that the value of that coin is falling ... then you sell that coin (let's assume they are worth 1 bitcoin at the moment) and , after the sale, you wait for the drop to happen ... and actually shitcoin drops (in that theory ... 50%) ... then you repurchase the same 10 units for half the price and get 1/2 bitcoin in the process ... says it's not a master's move ?!
Doing a short is very risky because most traders are hoping that the price will rise. Expert traders are usually the one who make this type of trade. I have been trading for a while but i have never short here in the crypto market.
I had been in touch with the term a few times until I really understood what it meant. Getting into a short trade is a total genius thing. After some reading on the subject, what "really" taught me what a short was is the great friend called @crossholder.
Imagine that you have 10 units of a coin (let's call it 10 shitcoin) and that by analyzing the market you see that the value of that coin is falling ... then you sell that coin (let's assume they are worth 1 bitcoin at the moment) and , after the sale, you wait for the drop to happen ... and actually shitcoin drops (in that theory ... 50%) ... then you repurchase the same 10 units for half the price and get 1/2 bitcoin in the process ... says it's not a master's move ?!
Imagine that you have 10 units of a coin (let's call it 10 shitcoin) and that by analyzing the market you see that the value of that coin is falling ... then you sell that coin (let's assume they are worth 1 bitcoin at the moment) and , after the sale, you wait for the drop to happen ... and actually shitcoin drops (in that theory ... 50%) ... then you repurchase the same 10 units for half the price and get 1/2 bitcoin in the process ... says it's not a master's move ?!
I think a trader is always alert with his investment if he lost a good time it will not come back again and it will take a long time and all traders know this process and one who don’t learn this tricks it will gives you a loss .
You must be joking. Try your theory on historical data. Do not peek in the right side of the chart. Approximately estimate for how many weeks you will lose 50% of the invested. Then try another ingenious theory 
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No, it is a grand master's move. You are a genius.
But seriously those things that you've described in most cases can hardly be called "shorting". Pretty often altcoins are falling longer then 1 day and remain on the bottom also for a long period of time. This is not shorting.
Shorting is when you obviously open a short position that will last for only a couple candles. Scalping can also be concidered as shorting. In both cases you are picking a larger leverage and measure your trade with smaller stop losses. If you hold such position for a long time you can easily get closed on stop loss or you run out of money very fast.
But seriously those things that you've described in most cases can hardly be called "shorting". Pretty often altcoins are falling longer then 1 day and remain on the bottom also for a long period of time. This is not shorting.
Shorting is when you obviously open a short position that will last for only a couple candles. Scalping can also be concidered as shorting. In both cases you are picking a larger leverage and measure your trade with smaller stop losses. If you hold such position for a long time you can easily get closed on stop loss or you run out of money very fast.
But that would just an investment and nothing else. You have not explain here how to recover the same. I mean you have invested 1 bitcoin and when the fall occurred to -50% as per your assumption then you are in -1/2 Bitcoin loss.
After this fall you are telling to buy same amount of the coin (10) for the value of 1/2 bitcoin which is its new value. In general you have invested about 1 and 1/2 bitcoin but also have lost 1/2 bitcoin in the process.
This means you have to cover 2 Bitcoins to reach the break even point and then afterwards you will gain the profits. Correct me if im wrong.
After this fall you are telling to buy same amount of the coin (10) for the value of 1/2 bitcoin which is its new value. In general you have invested about 1 and 1/2 bitcoin but also have lost 1/2 bitcoin in the process.
This means you have to cover 2 Bitcoins to reach the break even point and then afterwards you will gain the profits. Correct me if im wrong.
All trade in crypto currency is based on this principle: they sell on the rise and buy on the decline. This is the essence of both a long and one-day trade. For a one-day trade, you always need to control the market and this requires a lot of time. However, the trade itself is a very exciting process.
I had been in touch with the term a few times until I really understood what it meant. Getting into a short trade is a total genius thing. After some reading on the subject, what "really" taught me what a short was is the great friend called @crossholder.
Imagine that you have 10 units of a coin (let's call it 10 shitcoin) and that by analyzing the market you see that the value of that coin is falling ... then you sell that coin (let's assume they are worth 1 bitcoin at the moment) and , after the sale, you wait for the drop to happen ... and actually shitcoin drops (in that theory ... 50%) ... then you repurchase the same 10 units for half the price and get 1/2 bitcoin in the process ... says it's not a master's move ?!
Imagine that you have 10 units of a coin (let's call it 10 shitcoin) and that by analyzing the market you see that the value of that coin is falling ... then you sell that coin (let's assume they are worth 1 bitcoin at the moment) and , after the sale, you wait for the drop to happen ... and actually shitcoin drops (in that theory ... 50%) ... then you repurchase the same 10 units for half the price and get 1/2 bitcoin in the process ... says it's not a master's move ?!
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