03 Nov - 07 NovTotal return: 112%
Coins: VIA, LXC
In Crypto, most traders never get past the starting gate because they do not use good selection criteria. They don’t know what to look for to find the most optimal coins. Therefore, they buy fourth-rate “nothing to write home about” coins that are not acting particularly well in the marketplace and are not real market leaders. Other traders have trouble making decisions to buy or sell. In other words, they vacillate and can’t make up their minds. They are unsure because they really don’t know what they are doing. They don’t have a plan, a set of principles, or rules to guide them and, therefore, are uncertain about what they should be doing. Stop looking at coins subjectively. Stop hoping for price moves and picking favourites. You need to pay attention to the movement of the market and respond to that movement in the correct way – once you grasp this, you will start to realise just how easy it is to pull continuous profit from Altcoins.
VIAI have been watching VIA for some time now. I look at this coin as one that is very predictable. The pattern is so obvious.
If you look at the All time chart, you will see that VIA drops 70 – 80%, and then surges 100% - 200%. It has done this twice now, and there are a select few traders that know this and take advantage again and again for easy profit.
That is the long term pattern.
During the period where the price is declining, opportunity is created for short-term profit. Just due to how low resistance tends to be during the plunge downward. Which means that VIA is a coin that can be played for both long and short term reward, if you know what you’re doing.
I constantly monitor VIA. I want to see resistance at its lowest, which always indicates that the price is about to surge upward. This happens frequently, and is very easy to take advantage of.
Coins move in cycles, I keep mentioning this just to get people thinking in the right way. It is okay to look at short term price movements and make your trades based on price action etc – but you have to understand that those factors are only small pieces to a much larger puzzle.
You want to know what the ‘overall’ trend is, only then will you be better able to anticipate short-term price activity before the rest of the market. Allowing you to get in first and profit when everyone else begins to panic buy near or at the top of the market.
Tip:
In order to really win big, you have to trade backwards. First, look at the overall wider picture. How has your coin performed since its introduction to the market? Has it managed to maintain a specific level of daily volume? Is it repeatedly bouncing between two price ranges, making its movement painfully predictable? When a coin like this is trading at its monthly, weekly or all time low – that is when you should be looking to buy – not when it is hitting new highs or when its 24hr trading volume is above 100 BTC. In Crypto you have to make it to the party first – that is what I repeatedly stress to members. Doing this will give you an edge over the rest of the market. LXCPeople tend to write LXC off as just another “Shit coin”, which really is innacurate – because LXC is actually one of the strongest coins in the market right now. Remember what I said about paying attention to the “bigger picture”? Well, just look at the All time chart for LXC.
The all time chart clearly illustrates that from Aug 9th to Oct 7th LXC was in a very profitable up trend. In fact, during this period, it soared from 806 Satoshi to 19800 Satoshi which is a 2356% gain, making LXC one of the biggest movers over the last few months.
That first cycle has come to an end, and LXC has began to slump downwards in value. Which isn’t a terrible thing. Because, when prices dip – so does resistance. During this down-trend LXC has dipped to 8570 and then jumped to 12880 which is a 50% gain. It has dipped to 9204 and jumped to 17601 which is a 91% gain, and from 5896 before surging to 8900 – a 50% gain.
So clearly, when a coin is trending downward, you want to keep your eye on the upward resistance. When resistance is at its lowest – you can dive in and wait for momentum to build. When it does you’ll be bought out of the market with a very healthy gain.
Yesterday’s low of 5869 Satoshi represents a 70% loss from the all time high of 19800 Satoshi. Could we be at the start of a new uptrend?
Tip:
In these winning times, traders become susceptible to being lulled into complacency. Thus, the worst draw downs may come right after periods where just about everything seems to be working well as if it had been optimistically scripted. During winning streaks, people become greedy and fail to consider what may go wrong. The moral is: whenever you have multiple positions that are sailing to new highs and virtually all of them are working as planned and sailing to new highs daily, guard against complacency and be extra cautious.SIDENOTE: Look at each market (coin) as a venue - a venue that has a max capacity. In our case the venues capacity, instead of human beings, can only be filled with BTC (trading volume). So, If a coin has already attracted a tremendous amount of volume, volume that is magnitudes above what the logical part of your brain would deem average levels – then that particular market is filled (or close to being filled) to its maximum capacity. Thus the only thing left to happen is for the BTC to come back out of that market – causing the value to plummet. Note: BTC is a buy right now. Pay attention to the price and execute your buys at the low points. Oct - Dec will be very interesting.
Twtter: @Pumper_Ryan follow for daily picks, and updates.