That statement sounds familiar to every soldier around. Although we altcoin not dealing with a risk to human lives, losing your expensive Bitcoins by making mistakes trading is definitely not a fun situation.
So, eights we can avoid those mistakes in our trading? How to trading mostly on the green side? First, it is important to note that to trade right requires attention and your one hundred percent focus. Secondly, trading is not for everyone. After all, we are not rational human beings. Have eights reason before entering each trade: Not all traders make gains from trading, since this is a zero-sum game for everyone eights benefits someone else loses on the other side.
The Altcoins market is driven by large whales yes, the same ones responsible for placing huge blocks of hundreds of Bitcoins on the order book.
The whales are just waiting patiently for innocent little fish like us to make mistakes. Even if you aspire to trade on a daily basis, sometimes it is better not to earn and do nothing, instead of jumping into the rushing water and exposing your coins to losses. From trading experience, there are days where you only keep trading profits by not trading at all. Target and stop when starting a trade: For each trade we must set a clear target level for taking profit and more importantly, a stop-loss level for cutting losses.
A Stop-loss is setting the level of loss where the eights will get closed. Here again, it is important considering a number of factors when choosing a stop loss level correctly. Most traders fail when they fall in love with a trade or the coin itself.
And nobody wants to be the one who is left holding it. Meet FOMO fear of missing out: But what do we do now? Altcoin simple, Keep moving forward. Needless to say, the next step is usually the bright red candle which sells through the whole order book. This statement tells the story of the market profits from our perspective. To be a profitable trader, you never look for the peak of the movement. You look for the small profits that will accumulate into a big one.
Manage risk wisely across your portfolio. For example, you should never invest more than small percentage of your portfolio in a non-liquid market very high risk. To those trades we will assign greater tolerance — trading stop and target levels will be chosen far from the buying level.