How long have you trade?
Indeed, if the price of a coin begins to decline, most people begin to panic...
- because they do not have strategies
- because they use money that they can not afford to lose
Topic: When 💩 hits the fan... - page 2. (Read 372 times)
funny, you noticed a lot of things about trade while you were having water infiltration problems in your apartment, it shows how bad we are in the crypto world. What makes me more curious is:
How long have you trade?
- because they do not have strategies
- because they use money that they can not afford to lose
How long have you trade?
- because they do not have strategies
- because they use money that they can not afford to lose
Indeed, if the price of a coin begins to decline, most people begin to panic, whether it will decrease or some time and the day will begin to rise, trading is indeed difficult if our predictions begin to error and panic begins to appear. I have never stopped losing, because I am investing for the long term.
I don't quite get it. What is there to panic? Even before you have entered your trade you should have put your stop loss. You know up front how much you are willing to lose. And you are totally fine with the possible loss.
If there is slippage, yes, you may lose a little bit more than planned. But what's the alternative?
How can "sneaking out slowly" be a better option? Say there is a violent move that continues in the opposite direction with respect to your trade for days seemingly without end.
Setting a stop lose immediately is the only option.
Some people say, having a stop loss in your mind (an idea where you are going to exit), enough. No it isn't if you ask me. Precisely because shit scenarios happen.
If there is slippage, yes, you may lose a little bit more than planned. But what's the alternative?
How can "sneaking out slowly" be a better option? Say there is a violent move that continues in the opposite direction with respect to your trade for days seemingly without end.
Setting a stop lose immediately is the only option.
Some people say, having a stop loss in your mind (an idea where you are going to exit), enough. No it isn't if you ask me. Precisely because shit scenarios happen.
This has always been a debate among traders. I tend to agree with you.
I know people who operate with "mental stop losses" and I have employed this strategy myself at times. I've found that it makes it much easier to fall into a "bagholder mentality" where you begin rationalizing letting your losses run. You think, "I'll just sell the bounce..." but then, the bounce happens 30% further than you expected! And then you've just broken all your rules and destroyed your account.
Most people are better off using market order stop losses (or limit order stop losses with wide triggers if those aren't available). Just cut the emotions out entirely! If slippage is an issue, you should be spreading your positions across multiple exchanges or brokers, not depending on being able to scale in and out over long periods of time.
Don't panic! ‼️
I don't quite get it. What is there to panic? Even before you have entered your trade you should have put your stop loss. You know up front how much you are willing to lose. And you are totally fine with the possible loss.If there is slippage, yes, you may lose a little bit more than planned. But what's the alternative?
How can "sneaking out slowly" be a better option? Say there is a violent move that continues in the opposite direction with respect to your trade for days seemingly without end.
Setting a stop lose immediately is the only option.
Some people say, having a stop loss in your mind (an idea where you are going to exit), enough. No it isn't if you ask me. Precisely because shit scenarios happen.
Not bad on giving out a plumbing problem into referring it to trading.Shit scenarios can happen anytime
and this isnt only applicable on some few situation but in all sorts of situation in life that do need some
decision can really have this shit situation if you have wrongly chosen.
Get out and pull out the position?Sounds very easy but i doubt that it wont really be done so easily.
Panic is inevitable no matter how clear up is your mind yet you know that your funds is already at risk.
and this isnt only applicable on some few situation but in all sorts of situation in life that do need some
decision can really have this shit situation if you have wrongly chosen.
Get out and pull out the position?Sounds very easy but i doubt that it wont really be done so easily.
Panic is inevitable no matter how clear up is your mind yet you know that your funds is already at risk.
I will always do this and it is an incredible advice to any new traders out there. When there is big movements going on try to stop trading if you can, it doesn't matter if its going up or down. If it is going down then selling and taking a hit could result with two things, either the price will continue going down and you will be saved from a big loss which is good but it could result with price stopping and going back up with you losing money, plus when you sell it triggers more sells too.
When its going up you may buy and the movement could stop and you may end up losing money or it could continue to go up and keep making a profit but you don't know which one will happen neither however you selling (and many people like you) could stop it going up too. Basically, when small movements happen you can trade but the big movements should be done only if you have to.
When its going up you may buy and the movement could stop and you may end up losing money or it could continue to go up and keep making a profit but you don't know which one will happen neither however you selling (and many people like you) could stop it going up too. Basically, when small movements happen you can trade but the big movements should be done only if you have to.
One should always have a "line in the sand" stop loss level where you sell everything immediately without question or emotion to prevent this psychology. Having an automatic stop loss cuts out any possibility of letting emotions take over.
Exactly. If you use stopp losses properly you dont need to worry that shit ever hits the fan 
The hard part is to know at what level you should set the stopp loss, especially for crpyto trades which are way more volatile than traditional stocks. A too tight stopp loss may shake you out of the roller coaster too soon, often right before the upward movement. Don't panic! ‼️
Panicking leads to poor decisions based on emotion, not on logic. 🤖
Instead, take a breath and evaluate the situation. The goal is to get out of the position as quickly as possible, with as little slippage as possible, while minimizing any further risk.
Depending on your strategy and the trade, sometimes the best decision is to simply market sell and get out ASAP, while sometimes you can get away with sneaking out slowly.
Whether in trading or in plumbing, when shit hits the fan it does no good to panic. Deal with the situation quickly and efficiently, even though it stinks. 💩
Panicking leads to poor decisions based on emotion, not on logic. 🤖
Instead, take a breath and evaluate the situation. The goal is to get out of the position as quickly as possible, with as little slippage as possible, while minimizing any further risk.
Depending on your strategy and the trade, sometimes the best decision is to simply market sell and get out ASAP, while sometimes you can get away with sneaking out slowly.
Whether in trading or in plumbing, when shit hits the fan it does no good to panic. Deal with the situation quickly and efficiently, even though it stinks. 💩
I once had a trader friend who lived by this mantra, "he who panics first, panics best." To him, your biggest enemy as a trader is indecision, the inability to make a decision at crucial times.
So while "sneaking out slowly" can work sometimes, be very careful not to let losses run. It's tempting to wait and wait, trying to get out near break-even. But perpetually "waiting for the bounce" that never comes is an easy way to destroy an account. The problem is, as the losses get deeper and deeper, it becomes harder and harder to lock them in. Hope takes over.
One should always have a "line in the sand" stop loss level where you sell everything immediately without question or emotion to prevent this psychology. Having an automatic stop loss cuts out any possibility of letting emotions take over.
When 💩 hits the fan...
I woke up this morning to find the ceiling in my bathroom raining. Happy Monday, world. 💦
It turns out that when property management installed new toilets 🚽 in all the apartments this weekend, they screwed up installing one in the apartment above mine. Hence the water coming out of the ceiling and the vents.
While I waited for the plumber to come repair 🔧 things, I made a couple trades and it had me thinking about what a trader needs to do when shit hits the fan.
Not every trade goes the way you expect it to, and sometimes it goes sour in a spectacular way. 🎇
When stop losses get blown and people are market selling left and right, what do you do?
Don't panic! ‼️
Panicking leads to poor decisions based on emotion, not on logic. 🤖
Instead, take a breath and evaluate the situation. The goal is to get out of the position as quickly as possible, with as little slippage as possible, while minimizing any further risk.
Depending on your strategy and the trade, sometimes the best decision is to simply market sell and get out ASAP, while sometimes you can get away with sneaking out slowly.
Whether in trading or in plumbing, when shit hits the fan it does no good to panic. Deal with the situation quickly and efficiently, even though it stinks. 💩
I woke up this morning to find the ceiling in my bathroom raining. Happy Monday, world. 💦
It turns out that when property management installed new toilets 🚽 in all the apartments this weekend, they screwed up installing one in the apartment above mine. Hence the water coming out of the ceiling and the vents.
While I waited for the plumber to come repair 🔧 things, I made a couple trades and it had me thinking about what a trader needs to do when shit hits the fan.
Not every trade goes the way you expect it to, and sometimes it goes sour in a spectacular way. 🎇
When stop losses get blown and people are market selling left and right, what do you do?
Don't panic! ‼️
Panicking leads to poor decisions based on emotion, not on logic. 🤖
Instead, take a breath and evaluate the situation. The goal is to get out of the position as quickly as possible, with as little slippage as possible, while minimizing any further risk.
Depending on your strategy and the trade, sometimes the best decision is to simply market sell and get out ASAP, while sometimes you can get away with sneaking out slowly.
Whether in trading or in plumbing, when shit hits the fan it does no good to panic. Deal with the situation quickly and efficiently, even though it stinks. 💩
Jump to: