I’ve made my living largely as a trader. Some days I take 15+ trades and some days I take none. Days even weeks pass by when I take no trades at all because there is no opportunity. So I wait, I plan, I conserve my account and when I see an opportunity to open a profitable position, I risk it all.
A scary thought I know. You do not want to loose all your hard earned money before you even get a feel of the markets. Plus I get the feeling you are still licking your wounds from Bitcoin turn of events recently. Oh wait, did you think the price was going to rise full throttle until kingdom come. Let that be your first lesson: Remember to take your profits. In fact when a Bull or Bear market is breaking expectations other than strait up closing your positions in profit, make use of a trailing stop loss, thank us latter.
Volatility turns me on. I don’t get attached to the Bull or the Bear but when they do show up I ride them all the way. This is your second lesson: Preparation. You can spend your whole day scalping a consolidating market and end the day with the same amount you started with or worse,less than you begun with. These are the days or times you take a seat back and observe. In fact summon your patience. While you observe you prepare to take a such a bite of profits out of the coming volatility that you will have no problem chocking on greatness. Check potential stop points, organize your take profit and now wait for a confirmation of the trend or a reversal. And darling, it always comes!
Avoid market prophets. By this I mean all forecasting blogs and social accounts. This is because they give you a bias and they use all this lines, indicators and mambo jumbo that convince you it’s written in the stars. By the time you are looking at the charts yourself you will only see stars, I promise you. They pollute your own analysis so to speak. When you have the knowledge to do your own chart analysis you truly don’t need outside validation. An all in position needs to be all you, from analysis to execution. This will allow you to stay calm and stay your hand during the trade even if it starts with a few pips in the opposite direction.
Always keep your finger on the beat. It can’t be that the last day you saw your trading platform was more than 3 days ago when you had a free ATLAS subscription 😀 How else will you see the opportunity coming, plus you don’t want a trend that is doubting itself flexing on your position. So you need to see it begin, continue or reverse.
Lastly, where did all the 2017 Bitcoin millionaires* go? Probably liking their wounds and cursing Bitcoin. They never saw the reversal coming, to them it was an opportunity to buy again and again they bought. It sunk a little further but since they were married to the Bull they bought again and it sunk further. “Bitcoin will hit $50,000” read blog headlines polluting their analysis and so they bought again while in the meantime smart money already flew to safety as soon as Regulation in the east started to bat eyelids. Darling you want to go all in and always win? You need a playbook and honey no one will hand it to you.