leverage trading method and psychology

virasisog

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Quote

Stick with spot for long time and try to make yourself sustainable or able to survive this kind of trading path before you do touch up leverage or futures.We know that price volatility is something
the main thing that we do need to deal off but since your trade position is based on leverage then it would really make things even more faster to be blown of, this is why it would really be
that ideal or sensible that you should really make yourself that knowledgeable first when it comes to spot.Beginners or noobs do usually not that patient on waiting times
specially on spot.They do love to see quick profits but eventually they would really be realizing on what the reality is in this market.

It's better to take one step at a time than to hop into something that will only make you lose bigger in the future. Trading is a long process of learning and there are still steps that you have to take before doing leverage. As a beginner, you better try your luck in spot trading first and learn from your experience before jumping into futures and leverage so you'll know the specific strategy that will work for you and you'll be able to do market analysis. Learn how to manage the risks first. Once you adopt all the knowledge for you to take the next step wisely, you should first know the risks that you can take by trying Spot trading. Focus on learning first because leverage trading isn't as easy as others think.

Afgan84

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Quote from: forestx on September 12, 2022, 07:54:27 AM

OK I decided to try my hand again at leverage trading
The plan was to watch the market and when I see it making a move in one direction go in with high leverage for a small move with no stop loss
This went well 1st week and was up 30% but then went down hill fast

The issue I have is not so much bad calls but getting scared
I will go in with 10-20x leverage and see my money drop like a stone be down 20% and exit only to see it climb back up and hit the TP or climb higher
This has happened three times now.

One issue I have other than getting scared is to do with time restraints I am trying to find a trade quickly and not giving it enough time also aping in and usual sh*t
I am trying to come up with a strategy that works as close to 100% as possible and have found one on BTC/USDT with an average of 95% success rate. Other pairs are also high 80s to mid 90s
I have stopped trading for a bit and am doing more tests and paper trading

Is there a way to make this work or do others mainly trade with leverage how do you handle stop loss and take profit

Hey bro, you're trading the Way i was trading before and the result is: lost of more than 30K.
Stop leverage trade and go to read about trading psychology, the Best book i find about this is TRADING IN THE ZONE Of Mark Douglas, this book has changed the way I'm looking at the market.

You can't use more than X10 Wich is already very big because there are same coin that can make +/- 5% in less of 1 minute.
Don't trade everyday because you'll find yourself doing over trading.
90% is psychology and the rest is technical analysis and fandamental.
Good luck.

wxa7115

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Quote from: tvplus006 on October 07, 2022, 09:38:30 AM

Quote from: BD Crypto on October 05, 2022, 12:45:08 PM

I also tried this type of trading strategy and for a long time I was in profit but it has a high risk of being liquidated. And I also get liquidated several types and now I stopped trading with high leverage. I think low leverage trading has long time benefits like 5-10% leverage.

Trading with low leverage allows you not only to save your money, but also to preserve your health. After all, it is no secret to anyone that when we open a position, contrary to common sense, we stop sleeping peacefully and get nervous throughout the day when the price movement goes in the opposite direction to our expectations.

It is better to avoid to use leverage when we trade, while it attractiveness is obvious as you can in theory make more money in the same amount of time and with the same amount of trades, the truth is that by using leverage and having more money at risk you are making it way harder for yourself to actually control your emotions.

Which as we know they can be one of the main issues when it comes to following our strategy, and once we abandon it our losses will be way higher than if we were not using leverage.

tvplus006

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Quote from: BD Crypto on October 05, 2022, 12:45:08 PM

I also tried this type of trading strategy and for a long time I was in profit but it has a high risk of being liquidated. And I also get liquidated several types and now I stopped trading with high leverage. I think low leverage trading has long time benefits like 5-10% leverage.

Trading with low leverage allows you not only to save your money, but also to preserve your health. After all, it is no secret to anyone that when we open a position, contrary to common sense, we stop sleeping peacefully and get nervous throughout the day when the price movement goes in the opposite direction to our expectations.

BD Crypto

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I also tried this type of trading strategy and for a long time I was in profit but it has a high risk of being liquidated. And I also get liquidated several types and now I stopped trading with high leverage. I think low leverage trading has long time benefits like 5-10% leverage.

Fatunad

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Quote from: Desscount on October 04, 2022, 05:34:42 AM

Quote from: awik p on October 02, 2022, 11:58:32 PM

Quote from: lalabotax on October 02, 2022, 04:57:15 PM

Quote from: ningrum on September 23, 2022, 07:54:35 AM

What you are saying is true other than that if someone wants to trade leverage he must really know the risks and have to learn first,
however it is important to consider first because leverage trading is not easy

Leverage trading needs not only basic knowledge but also knowledge and ability to do more, analyze more, accept more risks, consider the right decision at the right time, able to control emotion, able to make the right management of the funds. Trading with leverage is complex and may not be suitable moreover for newbies. Although we have been learning many times, if we cannot control ourselves in leverage trading, this will mean nothing and is too risky to hold.

Leverage trading requires psychological conditions, of course this is not suitable for beginners, but if you want to do it, choose leverage starting from the smallest first. The most dangerous thing is if you choose a large leverage, then greed and not doing a cutloss in certain situations will approach, so that we are trapped in a large floating situation and finally it is possible to make a cutloss with big losses due to panic selling.

It's too risky for those beginners to trade leverage and better think carefully,
beginners still need to improve their knowledge and skills,
which is obviously better to choose a safer trade

Stick with spot for long time and try to make yourself sustainable or able to survive this kind of trading path before you do touch up leverage or futures.We know that price volatility is something
the main thing that we do need to deal off but since your trade position is based on leverage then it would really make things even more faster to be blown of, this is why it would really be
that ideal or sensible that you should really make yourself that knowledgeable first when it comes to spot.Beginners or noobs do usually not that patient on waiting times
specially on spot.They do love to see quick profits but eventually they would really be realizing on whats the reality on this market.

Desscount

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ComboLabs

Quote from: awik p on October 02, 2022, 11:58:32 PM

Quote from: lalabotax on October 02, 2022, 04:57:15 PM

Quote from: ningrum on September 23, 2022, 07:54:35 AM

What you are saying is true other than that if someone wants to trade leverage he must really know the risks and have to learn first,
however it is important to consider first because leverage trading is not easy

Leverage trading needs not only basic knowledge but also knowledge and ability to do more, analyze more, accept more risks, consider the right decision at the right time, able to control emotion, able to make the right management of the funds. Trading with leverage is complex and may not be suitable moreover for newbies. Although we have been learning many times, if we cannot control ourselves in leverage trading, this will mean nothing and is too risky to hold.

Leverage trading requires psychological conditions, of course this is not suitable for beginners, but if you want to do it, choose leverage starting from the smallest first. The most dangerous thing is if you choose a large leverage, then greed and not doing a cutloss in certain situations will approach, so that we are trapped in a large floating situation and finally it is possible to make a cutloss with big losses due to panic selling.

It's too risky for those beginners to trade leverage and better think carefully,
beginners still need to improve their knowledge and skills,
which is obviously better to choose a safer trade

justdimin

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Quote from: awik p on October 02, 2022, 11:58:32 PM

Leverage trading requires psychological conditions, of course this is not suitable for beginners, but if you want to do it, choose leverage starting from the smallest first. The most dangerous thing is if you choose a large leverage, then greed and not doing a cutloss in certain situations will approach, so that we are trapped in a large floating situation and finally it is possible to make a cutloss with big losses due to panic selling.

Leverage trading requires an understanding of the risks, that's the hardest part. Many people do not understand how difficult it is for people to make a profit based on such a low amount of chance to profit, there is a good chance that you could start trading and after just one minute you could lose all of your money.

So, you should at all times be careful about what you are doing, if you end up not caring about it then you are going to lose a lot more and that's something you should be careful about and newbies do not realize. Newbies do not usually know the risk that you would lose money in a single minute if you are not careful about.

TheGreatPython

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Quote from: Wakate on October 01, 2022, 05:46:48 PM

I cam see that all you have been doing so far is to gamble. As a trader you don't have to trade the way you are doing it which is obviously a weak and poor way to trade the market. I think many traders that had followed this pattern of trading are no more in the market again and they have ended up losing all there funds. You need to stop this kind of trading and go learn the art of trading so you can trade with confidence and not been panic or the market next move because you are very sure about what you are doing.

Trading is more of skills than trying your luck to see if you can make some profits and later losing it due to uncertainty of what you are really doing because the method you are using is not safe at all and can make you lost everything of care is not taken into consideration.

This is what trading all about, it's like we are playing gambling but I think his mistake there is that he don't use any kind of analysis but he only follows his own instincts and what is worst is that he also choose high risk when doing a leverage trade.

It's not that what he was doing is bad but I think there are traders who are successful with it. It's just the op simply lacks on experience and knowledge that is why he fails to profit continuously. He is not weak but weak are those who didn't come back here anymore because they can't accept what happened to their money. As we can see the op is willing to learn and improve his trading performance.

awik p

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Pepemo.vip

Quote from: lalabotax on October 02, 2022, 04:57:15 PM

Quote from: ningrum on September 23, 2022, 07:54:35 AM

What you are saying is true other than that if someone wants to trade leverage he must really know the risks and have to learn first,
however it is important to consider first because leverage trading is not easy

Leverage trading needs not only basic knowledge but also knowledge and ability to do more, analyze more, accept more risks, consider the right decision at the right time, able to control emotion, able to make the right management of the funds. Trading with leverage is complex and may not be suitable moreover for newbies. Although we have been learning many times, if we cannot control ourselves in leverage trading, this will mean nothing and is too risky to hold.

Leverage trading requires psychological conditions, of course this is not suitable for beginners, but if you want to do it, choose leverage starting from the smallest first. The most dangerous thing is if you choose a large leverage, then greed and not doing a cutloss in certain situations will approach, so that we are trapped in a large floating situation and finally it is possible to make a cutloss with big losses due to panic selling.

lalabotax

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Quote from: ningrum on September 23, 2022, 07:54:35 AM

What you are saying is true other than that if someone wants to trade leverage he must really know the risks and have to learn first,
however it is important to consider first because leverage trading is not easy

Leverage trading needs not only basic knowledge but also knowledge and ability to do more, analyze more, accept more risks, consider the right decision at the right time, able to control emotion, able to make the right management of the funds. Trading with leverage is complex and may not be suitable moreover for newbies. Although we have been learning many times, if we cannot control ourselves in leverage trading, this will mean nothing and is too risky to hold.

LUCKMCFLY

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Quote from: TelolettOm on September 17, 2022, 06:23:28 PM

Quote from: forestx on September 12, 2022, 07:54:27 AM

The issue I have is not so much bad calls but getting scared
I will go in with 10-20x leverage and see my money drop like a stone be down 20% and exit only to see it climb back up and hit the TP or climb higher
This has happened three times now.

Seriously with this high leverage? I know that the profits may be very high, but this means also that the risks are also very high.
Actually, trading with leverage in the Future trading is a high risk. We cannot deny that not all people are able to work on it because this relates to certain complex things. It is not only about how much we can earn but also how much we can probably lost. There are some carts that must be abalyzed carefully, withs mart decsion when taking the position, taking good chcoie of LONG or SHORT in the right time. ANd using wise levergae that will fit to us, not force to get high profits.

For the use of leverage, I would not go too far, it is risking a lot, but I have learned something, that when you go short it is good to go with good leverage, you can play with up to 20% if possible, but I think there are things how to leave in LONG without leverage, just for the simple reason that in LONG it is more expensive to do it, while in shrot it is cheaper, and I think that it is always fulfilled, for me these things have always fascinated me and I want one day to handle so much money to save my positions and protect them with leveraged longs and shorts, that's my goal in trading, I've only seen this and read it in books.

tvplus006

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Quote from: ?? on ??

I got too greedy with my leverage trading and I started constantly trading with 10 to 20x leverage causing me to lose a lot of money. And when I lost money I had a desire to win something bigger and I kept going with 10 to 20x leverage again and again so I lost about $40 to $50 thousand dollars by Binance Future trade

It becomes like a casino when you place a double bet after losing. I hope you haven't lost all your money. In this case, you need to reconsider your trading strategy in the direction of reducing risks in order to return to safer margin trading again.

Wakate

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Quote from: forestx on September 12, 2022, 07:54:27 AM

OK I decided to try my hand again at leverage trading
The plan was to watch the market and when I see it making a move in one direction go in with high leverage for a small move with no stop loss
This went well 1st week and was up 30% but then went down hill fast

The issue I have is not so much bad calls but getting scared
I will go in with 10-20x leverage and see my money drop like a stone be down 20% and exit only to see it climb back up and hit the TP or climb higher
This has happened three times now.

One issue I have other than getting scared is to do with time restraints I am trying to find a trade quickly and not giving it enough time also aping in and usual sh*t
I am trying to come up with a strategy that works as close to 100% as possible and have found one on BTC/USDT with an average of 95% success rate. Other pairs are also high 80s to mid 90s
I have stopped trading for a bit and am doing more tests and paper trading

Is there a way to make this work or do others mainly trade with leverage how do you handle stop loss and take profit

I cam see that all you have been doing so far is to gamble. As a trader you don't have to trade the way you are doing it which is obviously a weak and poor way to trade the market. I think many traders that had followed this pattern of trading are no more in the market again and they have ended up losing all there funds. You need to stop this kind of trading and go learn the art of trading so you can trade with confidence and not been panic or the market next move because you are very sure about what you are doing.

Trading is more of skills than trying your luck to see if you can make some profits and later losing it due to uncertainty of what you are really doing because the method you are using is not safe at all and can make you lost everything of care is not taken into consideration.

tvplus006

legendary

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To the Moon

Quote from: ?? on ??

Leverage trading is something like gambling and it is soo risky . As in gambling, a gambler can lose all his money in an instant . in the leverage trading one trader also can lose all his money instant if he/she take a wrong entry and wrong leverage in wrong time. it is only truth

If you adhere to the basic rules of risk management and at the same time use a stop loss, then the risk of losing your funds with leverage will not be high. Or to paraphrase it in simple words, if you do not open a deal for the entire deposit with maximum leverage, then you will not lose your money. The use of margin requires special knowledge and skills, so it is not recommended for beginners to use it.

desmodiAN

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"This went well 1st week and was up 30% but then went down hill fast "

Thats basically what happens when leveraging and just "guessing" what direction the market moves.
Crypto is high volatile, so you get burned every now and then. Suprising jumps are in. Keep your hands off.

wxa7115

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Quote from: Natalim on September 26, 2022, 04:47:46 AM

Quote from: ?? on ??

Leverage trading is high risky task . i have using this method before and lost a huge amount of my assets . so first of all i will not suggest anyone to do Leverage trade . but if someone can consider that risk then they can try with bitcoin coz bitcoin is safe then another's coins for leverage trading and shouldn’t use more then 5x . but 3-4x is better for leverage trading every time.

Those who can manage to handle the stress in leverage can bring themselves to it. Because if you are not really confident about this and not well-prepared, I was sure you will end up losing everything you put there. Just like how OP makes such a decision and faces the consequences of it (losing). Actually, leverage trading and trading, in general, is not for everyone and therefore, we don't need to urge ourselves doing this if we are not ready and capable enough in the first place.

This is a point that is often not mentioned but that it needs to be mentioned again and again, trading is not for everyone, and people need to be aware of this simple fact before they even begin their trading journey.

After all you need to have a specific profile to earn money in the markets, with one of the most important characteristics being to not become emotional when you lose money, this is a problem for most people as they cannot deal with their losses properly and then they make a revenge trade which devastates their account, something which could have being easily avoided if they could avoid having such an emotional response to their losses.

Natalim

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Quote from: ?? on ??

Leverage trading is high risky task . i have using this method before and lost a huge amount of my assets . so first of all i will not suggest anyone to do Leverage trade . but if someone can consider that risk then they can try with bitcoin coz bitcoin is safe then another's coins for leverage trading and shouldn’t use more then 5x . but 3-4x is better for leverage trading every time.

Those who can manage to handle the stress in leverage can bring themselves to it. Because if you are not really confident about this and not well-prepared, I was sure you will end up losing everything you put there. Just like how OP makes such a decision and faces the consequences of it (losing). Actually, leverage trading and trading, in general, is not for everyone and therefore, we don't need to urge ourselves doing this if we are not ready and capable enough in the first place.

SquirrelJulietGarden

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Quote from: kawetsriyanto on September 25, 2022, 06:58:14 PM

Even though we have high control over our emotions, sometimes, they will break when we are surprised by the market condition which is very opposite to our position and analysis. This leverage or future market is exactly not for everyone or moreover for newbies. This is high risk. Although people say that if we have analyzed, this is not gambling. But in fact, although we have analyzed the market based on charts and other types of analysis, sometimes, the market is so unpredictable.

We can self believe that we are able to control emotions but it is like calm before a storm. When market suddenly moves up or down, emotion will show its effects on decisions. Sudden movements can cause FOMO or panic activities that are never good for capital and risk management.

The best to control emotion is having solid knowledge then belief on what we are doing. Best is investment in long term and don't store coins on exchanges. By this, we won't be affected by short term sudden movements.

Quote

Probably this will be different for professional traders who have good experience in Future or leverage trading.

Experienced and professional traders know when to enter, when to exit and they are disciplined with their entries as well as their exits. Even exit price is not giving profit, they will do exit.

Exits have two types: Exit to take profit and exit to cut loss.

Professional traders know when to cut loss and move onwards. They don't keep their positions open for too long because when the market moves beyond a time window that matches with their entry, it will move up or down a lot. So if you don't cut loss at right time, big loss will come.

kawetsriyanto

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Quote from: carlfebz2 on September 25, 2022, 06:29:56 PM

Quote from: ?? on ??

~snip~

Thats why it does really need up knowledge plus having a good self control when it comes to emotion.Make yourself stick out on things which are realistic or something that could able to obtain and not trying out

Even though we have high control over our emotions, sometimes, they will break when we are surprised by the market condition which is very opposite to our position and analysis. This leverage or future market is exactly not for everyone or moreover for newbies. This is high risk. Although people say that if we have analyzed, this is not gambling. But in fact, although we have analyzed the market based on charts and other types of analysis, sometimes, the market is so unpredictable.
Probably this will be different for professional traders who have good experience in Future or leverage trading. because, once the market goes oppositely, they have understood what to do or what to prevent by using hedging mode, SL, and other strategies. And they may also have other positions to jump in order to earn profits from other trading positions to cover the loss from another.
but for newbies? they may not know about what to do.

Topic: leverage trading method and psychology (Read 608 times)