Topic: When Trading becomes Unfavourable - page 6. (Read 1748 times)

In trading, especially in crypto market trading, it is certain that profits and losses always go hand in hand with each other. Because that's the basis of trading, not always profitable and also not always losing. But behind all that, there are several factors that can influence trading in cryptocurrencies, so that the potential for experiencing losses will be greater. One of them is greed, carelessness, lack of knowledge, and lack of consistency. So in my personal opinion, these factors may dominate, causing many traders in the crypto market to experience losses. So in my personal opinion, these factors may dominate, causing many traders in the crypto market to experience losses. And the core of all that must be caused by a sense of rush to get profit or wealth.

In my personal opinion, changing the initial plan in crypto trading can indeed have an unfavorable impact on the final trading results. Because logically, for example, if we change the initial plan in the middle of trading. Certainly all analysis will start from zero again. But even so, changing plans doesn't always end badly. Because it is possible that the initial trading plan that was prepared and planned, after thinking it over again, is not good, so changing plans or changing strategies, of course, is not a big problem.

Because basically, in crypto trading, we should not behave too monotonously. But we must continue to look for new ways and new innovations, so that the results of trading in crypto can be maximized.

I personally have gone out of plans several times that I have made myself in trading. Usually the strong reason that makes me change my trading plan is when bad or good news suddenly appears. Or fundamental news that will have a big impact on market movements. Like initially I will take profits at a certain level at first. but there is good news that could impact the hike higher. So I will shift my profit target. And change the previous profit target to stop loss plus. that's also something I recently learned from someone and it works well.

Staying on the trading plan is a good choice if we have proven that the trading plan is effective.  But if the trading plan becomes obsolete, we need to restudy and plan our approach since the market is ever-changing.  For example,  when there is an unevitable event that needs to be taken care of and a need for a change of plan is greatly needed.  Like the time when the FTX collapsed and the Terra Luna hack, where we needed a sudden change of plans and sticking to the previous plans meant a huge loss for us.  Being adaptive to the market movement is a good traits so implementing changes to the plan accordingly is not a bad thing, IMO.

You would really be needing to adjust if you dont able to set up some stop losses and it would really be according into your risk factor whether you should cut off on a certain position or would really be that waiting
for the price to recover. This is the pro's of having no stop losses on which you do have the chance on recovery but this would really be only good for swings trades and not for day/short ones.Adjustments that be made would really be entirely be depending on you if you do see that it would really be that relevant on doing so then consider on doing so. Fixating things is recommended specially if you had able to make out some analysis which sticking into it would really be that preferred but there are conditions on which you would really be needing to adapt out as long it would really be putting you at great advantage then it isnt really that bad on making out some changes or alterations. As a trader then you should really know on when to stick and when to change of plans and this is why having back up plans would really be always that recommended.

What do you mean change trading plans? If you initially determined a trading strategy for yourself and know how you will act, then what can you change? Let's say you entered a trade and you know at what price you will take profits, everything is clear here. You also know at what level you need to set your stop loss so that the losses are minimal. If you trade without stop losses, then not everything will depend on you, and perhaps in this case you will have to change and come up with something when your losses reach significant values.

There should be a set of back up plans and its true that there are really moments on which it cant really be avoided that you would be needing to adjust your trading analysis due to sudden market sentiment change.

We know that there are news that do suddenly pops out and we know that fundamentals and news could really be making out that significant impact when it  comes to its price movement. Losing trades is inevitable or something that would be casual.Therefore, you would be needing to adjust accordingly and would really be able to have those back up plans. Emotion would really be your main problem because if you do lack
experience the emotion will really be the ones would be stirring your initial plans. Market is really hard to predict and this what causes for our trading analysis to be fucked up.

The best thing to be done is to move on and secure or find another entry for you to take. Dont be impulsive and treating this to be like gambling on which you would really be chasing up losses.
You should really be that knowing go with the flow and adjust accordingly.

Changing trading plans is not always detrimental, this depends on the market, if you do have to change plans, there is nothing wrong as long as we can minimize losses. Only you know all trading plans because everyone's plans are different.

However, if you have written down your trading plan, and market conditions are still supportive, stick to the plan. Yes, of course you have to avoid responses that involve emotions from you such as fear or greed. Everyone who wants to trade must be able to train themselves to apply discipline and consistency when executing and exiting trades.

Panicking because of the fall of the prices happens all the time for newbies but also there are people who are veterans and want to get out as well. The newbie one I can understand because they do not know any better and they want to do that which is understandable. However, that doesn't mean that they are right with every move, it should be important to realize that we are talking about something that would make a bigger change and that is why there is a problem with it.

I think it is important to know the difference that we are going to make some profit with it, I think it should be important to realize that veterans should at least know better and they should be holding and DCA their way into profit quicker.

There is some close person to me who say by themselves that they don't feel good without  trading. He trades with dollars from me. And from his greedyness he in investest his fund on some nonsense alternatives coins.
I tell them again and again don't trade in nonsense places. He says that it has become like an addiction now for him So considering it from this point of view, if trading is unfavorable to such people, I think that is also good. I always suggest these people to invest in Bitcoin for long term rather than investing in alternative coins, long term investment will show that the chances of profit will be higher. Which many people do not get even by keeping money in the bank

I believe bots have their own imperfections as well. They are not reliable at some point since they don’t have intellect like human being, and they can’t perfectly predict the future prices of crypto that’s why I still prefer to trust my own knowledge and experience when it comes to trading. Although it’s given that trading has its high risk of losing, but if you know how to manage and lessen the risk, then I don’t think that you will keep failing and losing from your trades. Emotions are the enemies of trading, so learn not to trade by chasing your emotions because that will only lead to more losses and failures.

Having experience from other fields such as stocks and forex is certainly a very good support. Even people who have experience in stock trading, they must have experience in how to fundamentally analyze a project. And if beginners in crypto also have experience in forex trading then they may already be proficient in technical analysis. So that getting into crypto won't be too difficult for them to adapt.

Well sometimes beginners have to have some unfavorable experiences at the start of trading. But it is useful to make beginners to be more careful on the next try.

Losses are indeed inevitable but if you are a person whose already come into a point or a condition on which you have been that a veteran on this market or simply having the experience and skills then you could

really be able to lessen up that risks involved and would really be able to make yourself that sustainable despite of this random and speculative kind of market.When trading becomes unfavorable then if you do lack knowledge and experience then you would really be that having the panic since you dont really know on what you should gonna do and would be resulting into those bad decisions unlike to those people who
have that enough or sufficient knowledge would really be having that kind of advantage compared to those who are none.

The important thing on here is that you should really know on how to handle up your emotions because on the time that you would be experiencing losses then you do know on how to adjust things
accordingly and wont really be that impulsive into your emotions which would be leading into bad decisions. You would really be definitely be able to make losses on that one
if you wont really be able to adjust.

I think you are just telling the story of what investors who are not experienced or knowledgeable about investing and the markets experience. Because I very rarely find losses in experienced investors and those who like to invest in the long term because they actually already know very well about what assets they are investing in so there is no excessive panic when they start to see price declines occurring in the market. So this does not only cover the greed of an investor, but also concerns how panicked the investor is when he sees a drop in the price of the asset they are investing in.

Indeed, basically all investors have the goal of achieving very high profits through their investments, but what they must understand is not to panic when they see falling prices in the market because this is part of the risk that they must understand before investing. So this level of risk will actually not be much different from the level of profit that can be achieved by each investor, because without taking any risk in any case, there will be no hope whatsoever of expecting a profit.

Well that's right, they have to get that fear tendency out of themselves, basically for a trader they are required to have strong composure when trading. And therefore I also like to say to some of my colleagues who are also traders, we always remind each other that we must continue to learn to train our mental and psychological, because it is very important and in fact it will be a tool for us to reach the right decision in the market, because sometimes there are some of them who have good knowledge but do not know how to manage their mental and psychological and finally they miss many valuable moments or even experience losses due to wrong decisions.

Well agree, this is indeed difficult to do especially for beginners who just came, but yes it is true as you said slowly as they continue to learn from their mistakes then it will make them more developed in any case in trading. So the point is not that you can't but it's quite difficult but I believe if your intention is strong then you will get through it.

An easy and safe method to gain experience is through dummy trading for a few years as one transitions to real life trading. No beginner has the experience to start off right at day one. It is a bonus if they have stock market experience, because that would help in the basics.

A trader who cannot deal with the market as just numbers and puts in too much thought are going to get this problem. You have to lose the emotions here and only consider your profit and your positions. It is tough for new traders, but if they can master this they will go a long away ahead.

It is the wrongly made decisions that will teach the trader not the repeat the mistake. Again a reason why they should do dummy trading early.

You should really know on how to adapt on whatever things that you would be encountering since we know that trying out to chase huge profits would eventually be resulting into that kind of desperation on which resulting into these kind of actions. Trading is something that cant be learnt so easily which means that you would really be needing to spend time and put up lots of efforts on distinguishing in between those movements. Just like the rest been saying that the market is really that truly unpredictable and there's no way even with those professionals or veterans could able to predict on where prices would be heading but still theres a significant difference in between parties which we do know that once you do make yourself do able to know on what you should gonna do or handle out this volatile market then you would really be finding yourself that sustaining.
In case you have suffer lots of losses then try to learn out of those losses so that on next time then you do already know on what you should gonna do.It might not be perfected but at least you are wary
on the things that must avoid.

Well and that means that balancing things out is a better option than instead of wanting to make a huge profit they end up making a huge loss there. The level of profit and loss will always coexist and it will be better if we make decisions that are balanced and in accordance with our abilities. Well I understand on the other hand greed is always in a person but we also have to be able to create some opportunities that can minimize losses. And that's right, this always happens to most beginners, as we know and what I believe is that they come with a very big ambition to make a profit, without knowing how the process they have to go through, I think they don't think about that so many traders end up with a lot of losses and they just stop there. I would say that mental and also psychological is very much needed in a trader, and maybe this is what causes many of them to experience losses. They have difficulty in making buy or sell decisions in certain market conditions and there they are not mentally prepared so they make the wrong decisions.

Those who have excessive greed for money face loss.  Many investors like to take more risk because they think the more risk the more profit. Which is very challenging for them.  It is never okay to make excessive profits, trading should be sold only when there is a reliable return on capital.  There are many inexperienced traders who do not have enough knowledge about the market, basically they face more losses.  Many people do not want to sell even if there is a fixed profit in the hope of extra profit.  But when they see the price going down, volatility sets in and they sell less than the capital.  For trading there are certain strategies and there are certain signals that must be followed otherwise one can never get good profit from trading.

Yes, I agree that experience is needed to make a beginner a reliable trader. But with the condition that a beginner must learn from the experience he has gone through. He should not repeat the same mistake too many times. Especially in terms of excessive greed and fear in the market. And you are right that trading is not always profitable. Even a professional though sometimes they can't avoid losses. It's just that they know how to manage their risks and emotions in the market. So that the losses they face will not make them bankrupt. it's different from beginners when you lose money you can go bankrupt.

Trading in the market is a two way thing and whatever track we fall to is what we get. Is either we get a profits or we go home with loses. Those that understand trading very well and had been in trading will understand far more better how it works with the risks that are attached. It is also very good for us to take a look at our strategy because that is what will determine whether we are going to keep making profits ornwebkewp making loses. It is a one way target, you win or go home in loses.