Topic: When do you profit most in trading? Less volatile or volatile market time. (Read 414 times)

Because trading is a buying and selling activity, of course it will be more profitable if done when the market is volatile. In essence, buying when the price goes down and selling when the price goes up. If the market is volatile so that buying when the price goes down and the price immediately goes up high will certainly be profitable when selling it. But what needs to be known is that the risk is very high, so be more careful. Short-term trading when the market is not too volatile can indeed make most of the money, but it must be with a fairly large capital in my opinion.

Even if the potential returns don't outweigh the risks, a trader would be compelled to take their chances in a more volatile market because as you said, it's the time when someone can possibly get more profits. Slow-moving charts are only pleasing for long-term investors or holders because they aren't going to buy and sell assets in the short-term, but when it comes to day traders, they want the charts to move up and down every minute so that they can find trading windows and earn some profit.

That being said, it's very difficult to make successful trades in a fast-paced market and this is the reason why so many new traders get burnt during such times because they can't time their trades very well and end up losing money instead of getting profits out of their trades.

It's certain that a more volatile market can be more profitable, but it is essential for a trader to have ample knowledge and understanding to make full use of the fast movements.

Every trader has its own unique way of trading the market, whether it's in a volatile or non volatile market, volatility is the spice of the market, so I hate trading in a ranging market, as the whole thing looks very bored during when the market is ranging or less volatile, from trading experience, Less volatile market could be best during when you are on a mission to accumulate some cryptos, this way you would have time to fill up your position in the market, whereas things moves very fast in a volatile and we tend to miss some entry opportunities. I personally prefer trading in a volatile market.

Retail traders are the most active ones when the market is less volatile, whereas the hedge funds are the one that moves the market and causes volatility, if you trade in a less volatile market, be rest assured you might be the liquidity that the market makers need to move the market.

If we do speak about profitability then it would really be that pertaining about or simply understandable that you could make money on those volatile times.Although its not something simple and not something
that anyone could be able to do it just because we do know that extreme volatility could sometimes fucked up your analysis no matter how good it would be. This is why some traders would skipped out or having some break on the time that the market would really be that too volatile or simply they cant really just that able to see that it would be worth on doing so. There's a certain level of movement on where they would be loving on placing up their entries on which this is something which is really that indeed ideal. If you do really know on how to play with the waves then it wont really be that a bad idea to have on making up trades into these times. There would really be those traders that would really be skeptical into these kind of times but there are ones who could be able to bare up with the risks since they do really know on what they are doing.

Profitability will really be that just depending on how well you do handle yourself on different market conditions whether if theres too much movement or having less. The important thing on here is on how you would really be able to sustain no matter what the market condition that you would really be able to encounter on. It will really be just that basing up on how well you do handle yourself on different conditions
on which we know that it is really that pretty common into this volatile and unpredictable space. If you cant be able to assess yourself on these conditions then you would be finding yourself on hardly to survive into this market.

I personally prefer trading in a more volatile market. While it's true that higher volatility comes with greater risks, it also presents more opportunities for greater profits. I do trade when the market is less volatile, but I find that I usually do not profit as much. Ultimately, I believe the potential rewards of a volatile market outweigh the risks.

I'm used to every market condition, so my preference is for the market to be definitive in movements, not about volatility. It's possible the market is so volatile but ranging or channelling, what good is that? It is also frustrating if the same condition is met with a slowly moving market. What traders pray for is for the market to move reasonably to some market edges so that we can profit from it, after all, it's all about profits and not the magnitude at which the market moves to our expected target.

As it is now, it's better we are extremely patient about Bitcoin trading, it will help us so much. By being patient, I mean with both the opening of trades (we must have a true confirmation) and the keeping of the trades so that impatience will not let us liquidate a promising market. Let's just follow the pattern with the right trading tools and apply quality risk and money management to it.

If you know how to use the market properly, you will make a profit without worry with more volatile or less volatile. You can finds the right coin with your analysis and buy the coin in the right time and sell it when the price increase. I prefer to see the market more volatile because that will give me a chance to make a profit although that means I must analyze deeper to find the coin.

I realizes that I don't have such good skills in trading but I still keep trying to analyze. That will not stop to analyze and find the right coin. Sometime it is works but sometime it is not works because that will depends on my analysis. Many times I fail to make a profit and hold the coin for some time but that will not be a problem because I still hope that coin can increase someday. Besides that, I don't use too big money to trade.

You can make money in both ways.

Generally the market is less volatile during the weekend and you can get very good results if you assume if price hits a pivot it will retract back to the daily mean. So basically you treat every breakout as a trap. And you can go from low of day to high of day and have good results.

And when the market is volatile you can assume if there is a breakout it won't be a fakeout, And you would trade in that direction. Since its more volatile there will be more money to be made. However its possible for price to breakdown in one direction and trend and completely reverse in the middle of the day and head the other way. Happens alot in the stock market these days. And its when alot of traders get killed because they get stopped out both ways.

I trade in both market conditions of less volatility and high volatility because a trader should always be active at market and know how the volatility conditions work. I used to be aggressive with my trades and opened around 2-10 positions per day but now I trade with more care and so far my PNL is going quite green and I expect it to be in this way forever. I know the profits I've earned in this way are quite low as compared to aggressive way but the losses are almost none in this way.

Yea, in such a conditions, a newbie trade or inexperienced person is just supposed to lay low or decide to take a deadly position with the determination to accept the result they will get from the trade. At times, there's how volatile the market will be and a professional trader will still experience losses despite all the experience, idea and knowledge they have about trading. The dynamic nature of the market makes the market unpredictable all the time no matter what tool that is being used.

Without a doubt the experience of a trader plays a huge role under those conditions, because when the market is experiencing a high level of volatility it can become incredibly difficult to predict what the market may do next, and even if you could, it is difficult to know when to take the appropriate posture, and that is when a highly experimented trader really shines, as they have seen those kind of market conditions many times before and they know what to expect out of the market and what to do to take advantage of it.

The profits in trading in highly volatile markets are greater but also more risky so trading in these times should be done with caution.

I use a scalping strategy to trade in highly volatile markets as it gives you small and quick profits in a short time, but you should be careful not to hold your trades for too long because the prices are very volatile and a big drop in the price of the coin can lead to losing your money.

When the markets are stable I prefer to trade in the long term as holding a good coin is a profitable option in the long term if you are aware of the trends.

I profit most in trading when less volatility because when i can easily predict market trend and i can entry in good time and sell in the suitable time,
But problem in stable market and mostly i faced big trouble in high volatility because when it's difficult to manage portfolio, and wait to long time to exit.

Yes, every trader is not the same, some traders are so professional that they can trade in every market condition and make profit from it but some prefer when there is less volatility. If am trading in a very volatile market, I usually reduce my leverage to the minimal so that I don't get liquidated easily.

This will depend on the type of trader you are. Some may see the less volatile market as a way to reduce risk taken in trading but the resultant of it will definitely be on low income result if the market goes in your direction unless you’re using a big leverage which is also proportional to the amount you’re willing to risk in each trade. The market will always go two ways and you can only chose from the one in relative to what you’re willing to risk or not.

There you have it. Less volatile market is predictable but its only con is that it might only give us a little to no profit at all. I won't totally copy what you said there of losing because I'm still trying to be positive here and it was the profit is the ones that we came here anyway and not to just simply lose or donate our money in the market. Not all traders are the same but there might still be some (preferably experienced and high-skilled traders) who can do well in a volatile market condition than compared to the other. It gives them double advantage because they can also earn greater and quicker profits here.

It still depends on their goals, capital, and knowledge (to name a few). What if they only have a small capital, a limited knowledge and then their only goal is to have something ( not so huge profit ) because they know that it can also be hard to achieved, therefore I won't say that they will focus on buying more coins. Even though trading is more on the active side, I still think that it was the investors are the ones who should buy or stack more coins especially in the dip. Guess it's because their goal is to sell only at one or rare times at a maximum level, as this is where they can get the most benefits.

There's different between holding and trading, if you are a holder, certainly you are going to make profit when you buy at a low price and the price surges high with sudden volatility, reverse can be the case if it happens the opposite way because you will be at lose. Speaking of traders particularly, there's no market trend that a professional trader doesn't make profit. Anyone that understand trading so well or that have a vast understanding of the crypto market will know that volatility is part of its nature and the person must not allow it to cause mental instability to them.

I'm not a pro at trading and the answer to your question varies depending on how big your capital is when you do a trade. Trading at a higher capital will obviously give you more profit if the trading is successful but if you're on the negative, you could also lose more. It just depends on your skill as a trader, how you read the charts, how you handle greed and fear, etc.

In the altcoin market the biggest profit is made by pump and dumps and those who have understood that bagholding altcoins is not a good idea. These shitcoins that get pumped shine during less volatile market times as well. Just go to any exchange or even coinmarketcap.com and sort them based on 24 hour % and you can find them. On CMC you'll see most of them on other pages than page 1. For example here is a random one. I don't know this shitcoin but this got pumped 400% in the past 24 hours an the volume seems high enough to be profitable: https://coinmarketcap.com/currencies/crypto-ai-robo/

It is worth adding that it is a risky trading strategy...

It is most important for a trader to focus on buying more and increasing the size of the stack during the downward volatility of the price even though it involves huge capital. Volatility in crypto market can often cause mental instability so you should keep yourself as calm as possible to take more profit and more profit is possible in stable market when there is upward. I prefer to hold myself. Separate capital for short-term trading from which daily income opportunities are available but emotional instability is much higher than profit in short-term profit.