Topic: Follow Strictly while trading (Read 483 times)
recently I have seen a quote from Buffet where it has said if a investor have too wide diversification than obviously he is not knowing what he is doing, the diversification is a must but I believe not too wide.
There are a lots of things which we should follow while trading. I am mentioning few of them. Please see the points below:
1. Categorize your investments and look at the long picture.
2. Only invest what you can lose.
3. Don’t be greedy.
4. Never put all your eggs in one basket. Diversify.
5. Don’t invest blindly.
6. Don’t FOMO.
7. Always pay attention to Bitcoin.
8. If you are doing any active trading, set stop losses.
9. Always learn from your mistakes.
I'll be adding focus on trends set your mark before you lose too much. Indeed always pay attention unto bitcoin it will eventually leave setbacks that can never be forgotten by those who have experienced it. Another thing what is FOMO? lol sorry for asking still learning though. 1. Categorize your investments and look at the long picture.
2. Only invest what you can lose.
3. Don’t be greedy.
4. Never put all your eggs in one basket. Diversify.
5. Don’t invest blindly.
6. Don’t FOMO.
7. Always pay attention to Bitcoin.
8. If you are doing any active trading, set stop losses.
9. Always learn from your mistakes.
All stated in OP are correct and easy to follow just to avoid mistakes that make an error and turn into losing your money in trading.
We all know that trading is very risky to have a profit there is a time if you got wrong decision it might be losing you, all of these are need to study and research will before you engage in this kind of earning money.
When you start trading then don't expect too much always remember that this is like a gambling.
For me, trading was just like a normal business you have you have capital to start with as an investment and for the operation, you also need the basic knowledge, feasibility studies, you also need the courage in taking risk with what you are doing as it is really important matter. We all know that trading is very risky to have a profit there is a time if you got wrong decision it might be losing you, all of these are need to study and research will before you engage in this kind of earning money.
When you start trading then don't expect too much always remember that this is like a gambling.
All stated in OP are correct and easy to follow just to avoid mistakes that make an error and turn into losing your money in trading.
We all know that trading is very risky to have a profit there is a time if you got wrong decision it might be losing you, all of these are need to study and research will before you engage in this kind of earning money.
When you start trading then don't expect too much always remember that this is like a gambling.
We all know that trading is very risky to have a profit there is a time if you got wrong decision it might be losing you, all of these are need to study and research will before you engage in this kind of earning money.
When you start trading then don't expect too much always remember that this is like a gambling.
I have read these tips in so many posts in this forum. I have listed out a few tips myself but you know what the problem is.
The problem is that no matter how much we create an awareness about these things to the new traders, they will make this mistakes anyway.
I guess the people should commit these mistakes at least once so that they could remember it life long and don't repeat it ever.
There are some wise people who stay aware of these things when they start trading and they are the ones who gain more profits right from the start of their trading.
The problem is that no matter how much we create an awareness about these things to the new traders, they will make this mistakes anyway.
I guess the people should commit these mistakes at least once so that they could remember it life long and don't repeat it ever.
There are some wise people who stay aware of these things when they start trading and they are the ones who gain more profits right from the start of their trading.
Thank you for the advice. This seem helpful already. Can someone explain the aspect of "Don't be greedy!". In what way does this apply? Is it in seeking too large profit or investing a very large sum of money because you feel you will make more profit in a short while? Can you please explain. Good advice so for. I am anticipating the feedback to this followup question soon.
Never risk too much money per trade!
Therefore 2-3% of your entire trading account should be the maximum per trade.
The next thing is you should go for conservative targets. Never chase for the highest profits. On the way up take some profits (50-75% of your position) and let the rest ride if you have the feeling price may go up a bit more. The same applies if you margin trade and go short by the way.
And always stick to your stop loss!! Risk and money management is the most important in trading! Protect your capital first, and then you go for profits! That's the order you have to follow when trading in any market!
Thank you for the advice. This seem helpful already. Can someone explain the aspect of "Don't be greedy!". In what way does this apply? Is it in seeking too large profit or investing a very large sum of money because you feel you will make more profit in a short while? Can you please explain. Good advice so for. I am anticipating the feedback to this followup question soon.
There are a lots of things which we should follow while trading. I am mentioning few of them. Please see the points below:
1. Categorize your investments and look at the long picture.
2. Only invest what you can lose.
3. Don’t be greedy.
4. Never put all your eggs in one basket. Diversify.
5. Don’t invest blindly.
6. Don’t FOMO.
7. Always pay attention to Bitcoin.
8. If you are doing any active trading, set stop losses.
9. Always learn from your mistakes.
It indeed is a very good post or the advice to the new investors.It covers almost all the aspects of trading and the only thing that i would like to add in this is have "patience".Because there people who have this Illusion about bitcoin is it makes you overnight billionaires and that is bullshit.So patience is the most important quality in trading. 1. Categorize your investments and look at the long picture.
2. Only invest what you can lose.
3. Don’t be greedy.
4. Never put all your eggs in one basket. Diversify.
5. Don’t invest blindly.
6. Don’t FOMO.
7. Always pay attention to Bitcoin.
8. If you are doing any active trading, set stop losses.
9. Always learn from your mistakes.
Interesting points OP. A periodic trader would have been conversant with a this points, but the new traders might have made these mistakes, though, every trader that started out might have made these same mistakes too. The most important of all this points is to not been greedy and to not to listen to FOMO and and acting on it. They should learn that red in the chart doesn't mean all hope is gone but that you should buy more.
There are a lots of things which we should follow while trading. I am mentioning few of them. Please see the points below:
1. Categorize your investments and look at the long picture.
2. Only invest what you can lose.
3. Don’t be greedy.
4. Never put all your eggs in one basket. Diversify.
5. Don’t invest blindly.
6. Don’t FOMO.
7. Always pay attention to Bitcoin.
8. If you are doing any active trading, set stop losses.
9. Always learn from your mistakes.
Thank you with that sort of helpful tips. I guess that most of people who’s here probably know these tips, but it’s less likely for one to follow exactly these tips. Because as you know when one enters the market, definitely he’s controlled by many factors, especially emotion. To speak frankly, if most of people’s in the crypto market can be able to carry out as the tips above, I bet that nobody will be in the loss. Anyway, we’d better to pay attention to these tips, it somehow can help us reduce the risk. 1. Categorize your investments and look at the long picture.
2. Only invest what you can lose.
3. Don’t be greedy.
4. Never put all your eggs in one basket. Diversify.
5. Don’t invest blindly.
6. Don’t FOMO.
7. Always pay attention to Bitcoin.
8. If you are doing any active trading, set stop losses.
9. Always learn from your mistakes.
Those are good points however using stop-loss is not advisable if you are making the long term trades. I mean for long term trades you should be looking at brand picture where ups and downs will be normal. In case if you put a loss at X % then your order will get executed but just after if that coin started to move up then what would you do? So its always better to chase the trade manually and in the crypto thats the most easiest way to keep up the pace. Some stupid order execution can cause big harm. Believe me im through that earlier.
However rest of the points are good. Could have been better if you would have explained them to the noobs briefly.
However rest of the points are good. Could have been better if you would have explained them to the noobs briefly.
There are a lots of things which we should follow while trading. I am mentioning few of them. Please see the points below:
1. Categorize your investments and look at the long picture.
2. Only invest what you can lose.
3. Don’t be greedy.
4. Never put all your eggs in one basket. Diversify.
5. Don’t invest blindly.
6. Don’t FOMO.
7. Always pay attention to Bitcoin.
8. If you are doing any active trading, set stop losses.
9. Always learn from your mistakes.
1. Categorize your investments and look at the long picture.
2. Only invest what you can lose.
3. Don’t be greedy.
4. Never put all your eggs in one basket. Diversify.
5. Don’t invest blindly.
6. Don’t FOMO.
7. Always pay attention to Bitcoin.
8. If you are doing any active trading, set stop losses.
9. Always learn from your mistakes.
Very beautiful suggestions , some of them are easy to write and hard to do like "don't be greedy"
I want add a few more things :
1.don't put your stop loss too narrow
2.buy on gossips sell on NEWS
Regards!
I often read these tips, but it's still hard to learn.
every point always involves emotion and this is the hardest thing to do.
Experience becomes the most decisive thing in the trade.
I guess that is where the OP missed that particular point. You really need to learn the use of indicators, and some analysis to be able to make some good decisions in the market and without that knowledge, every other tip he has mentioned will not even work for any trader. It sounds so easy and can help anyone make a good trade, but not a good decision as that can be done only with some level of knowledge that you could only have gained with what you have learned.every point always involves emotion and this is the hardest thing to do.
Experience becomes the most decisive thing in the trade.
That number seven actually summarizes how to simply trade the altcoin market asides some of the strategies you will also need to use to trade. OP did not add always learn before you start trading as that is the only way those strategies can end up working for you anyway. Having a strategy will help you know when to enter a trade, when to active and where to set your stop losses no matter what without any form of emotion in your decisions.
You must have to set things before you trade because its risky to depend on your emotion while you are trading. This is very common to newbies who are just thinking about making money without making any effort to study the market and they usually ended up with nothing. These steps are really helpful in your trading journey make sure you have this thing.
Never put all your money on one coin,diversification is the key to a successful long term trading career.
There are a lots of things which we should follow while trading. I am mentioning few of them. Please see the points below:
1. Categorize your investments and look at the long picture.
2. Only invest what you can lose.
3. Don’t be greedy.
4. Never put all your eggs in one basket. Diversify.
5. Don’t invest blindly.
6. Don’t FOMO.
7. Always pay attention to Bitcoin.
8. If you are doing any active trading, set stop losses.
9. Always learn from your mistakes.
1. Categorize your investments and look at the long picture.
2. Only invest what you can lose.
3. Don’t be greedy.
4. Never put all your eggs in one basket. Diversify.
5. Don’t invest blindly.
6. Don’t FOMO.
7. Always pay attention to Bitcoin.
8. If you are doing any active trading, set stop losses.
9. Always learn from your mistakes.
All of it will be learned just by experience (the number 9 on the list). I don't even have to keep in mind on those when I first started trading. My only goal is to make it to the point that "buy low sell high" will be executed successfully since honestly at first, it's easy to say but difficult to do. Since I have a goal, I automatically learned those listed above on the way enhancing my strategy.
Bottom line, traders doesn't need to literally keep in mind those advices because while on the progress of building experience, surely they will experienced mistakes on the way. That mistakes will make them more better in terms of decision making.
You can't do it, if you do you can't make money, lol diversify, don't invest more than you afford... I don't diversify, I will invest more than I afford to lose, I will either shoot the moon or lose but not live a dog's life in the market.
There are a lots of things which we should follow while trading. I am mentioning few of them. Please see the points below:
1. Categorize your investments and look at the long picture.
2. Only invest what you can lose.
3. Don’t be greedy.
4. Never put all your eggs in one basket. Diversify.
5. Don’t invest blindly.
6. Don’t FOMO.
7. Always pay attention to Bitcoin.
8. If you are doing any active trading, set stop losses.
9. Always learn from your mistakes.
1. Categorize your investments and look at the long picture.
2. Only invest what you can lose.
3. Don’t be greedy.
4. Never put all your eggs in one basket. Diversify.
5. Don’t invest blindly.
6. Don’t FOMO.
7. Always pay attention to Bitcoin.
8. If you are doing any active trading, set stop losses.
9. Always learn from your mistakes.
I think no. 7 is the most important on that list. Majority of alt coins simply reacts to bitcoin price movement no matter how good the project is.
LOL, these rules seems like we do use while we invest on gambling not trading. I always check the investment coin's potential first and then only I used to check the given rules mate.
Then when you want to invest on any crypto currency will you check all the exchange or simply goes to one exchange and buy the coin?
I suggest you to check the marketplace value on every exchange and choose best price one among that before you buy it.
Then when you want to invest on any crypto currency will you check all the exchange or simply goes to one exchange and buy the coin?
I suggest you to check the marketplace value on every exchange and choose best price one among that before you buy it.
Do you know why you can invest only the money that you do not mind losing? Because you will lose them with a high probability.
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