Crypto Trading Journal #003 - Aug 7, 2017: Catching Bitcoin Cash while people were dumping
My favourite Warren Buffet's quote, one of his best known:
and greedy only when others are fearful.’
I wish I had been more greedy... Just a day ago, Bitcoin Cash has not had a single green day on the daily chart:
That's when I toyed with the possibility of going long, just as Bitcoin broke-out. If you missed my Bitcoin call, just before it finally did broke the 3003 ATH, I had been keeping an eye on Bitcoin cash. Soon after I realized the volatility of BCHUSD could be something I wanted to tap into. As I was headed out to the beach for the day, and while getting kids ready and packing swimsuits, I decided to go light and entered tiny again, with an average around 196 (you can see my order history below)
I had the certainty that it was basing around sub-200 area, so I decided to do something unorthodox, something I would never recommend anyone doing. I placed a whole bunch of small orders below, each one lower with a heavier buy order quantity. Not really something you should do, but I did with the conviction that the bottom was in. Let me explain. There is no way BCH would go to 100, after reaching almost 700 on its first trading day. Panic should have subsiding, and as Bitcoin is looking to retrace, my thoughts were that an impeding turn for Bitcoin Cash was coming. And so, with the open orders at hand, I actually never worried and went out to the beach.
The trade went my way went I returned home. I never checked the phone while away. I've closed the trade, am now looking out for my next one.
Just wanted to keep this journal log short :), as compared to my previous one. If anything, please do not see this as an investment advice, and take every log in my journal as edutainment only. My goal is to grow this Bitfinex account 30% a month, not sure if I can achieve it, but am trying to demonstrate if not close, at least I can do better than your savings account :)
Wow that strategy with placing a lot of small orders is intresting... It's a bit risky but you was lucky on this one :)
Maybe luck or gambling. Really tiny orders that you wouldn't lose your sleep on, that is why some strategies I hesitate to post as an idea in advanced to avoid others following what I do :)
This post has received a 0.83 % upvote from @booster thanks to: @architrader.