My one year experience trading cryptocurrency
Hello Steemians, I would like to share my one year experience trading cryptocuurency.
It hasn't been an easy journey, I started off trading without having any personal tutor, so I had to learn from my experiences.
Prior to this time I do buy coins like bitcoin, etherium, ripple and keep them for long term until I ran into a blog that encourages day trading.
I started off quite pretty well with the small knowledge I had but I noticed something and that is inconsistency in making profit , that I tend to gain today and lose tomorrow and this was attributed to 5 major factors, which Iincludes:
1.IMPATIENCE : in crypto trading , you can't afford to play with patience.
I discovered each time I sell a coin at a loss, it tends to gain back and ever since I started being patient i have been gaining consistently.
I could leave a coin for 3days provided it has not made profit and believe me it will make profit in as much as is a good coin. (identifying such good coins would be in my subsequent posts)
Note!!!! For upcoming traders never you sell at a lose thinking that you will recover it cause you will end up selling other of your coins at loss and still think you will recover them. So if you make it a habit it becomes part of you.
- GREED:what makes a good trader is the ability to gain consistently and not how much you make in a day. Before now I used to be like this and believe me, cumulativly I ended up loosing.
If you can make up-to 5% -10% in a day please be satisfied with it and also learn to set reasonable sell orders, that way, you will gain consistently
3.OVER TRADING: I discovered that I make profit in the early hours of the day and towards evening I will start losing, this is not because morning hours are better than late evening but rather because of lack of concentration and emotions that sets-in when I am tired.
In order to curb loss trade only when you are emotionally and mentally strong and if you think you tired, please stop trading.
4.INVESTING ALL MY MONEY IN ONE OR TWO TRADES: This is a killer, each time my coin is stock I would end up not having anything to trade with, this will prompt me selling the coin at loss. I have been able to overcome this by dividing my coins into 10 equal parts and then trade 10 different coins, so even if one or two are stocked, I have other 8 coins to trade.
- ALWAYS BUYING AT THE ASK PRICE. Yes there are ones to enter immediately and there are ones you need to place buy order.( I will discuss this further in my next post)
I will end here for today, I hope one or two persons will learn something from my experience. CHEERS!!