Bitcoin - I'm not your friend and I will take your money
Updated
Most of you think that an exchange is simply where trades are facilitated, that exchanges offer cool products like shorting and leverage trading. Wrong! your exchange is not your friend and it does not care about you. In fact, it is your biggest competitor, and those cool products are designed to separate you from your money.
Your exchange knows all of your secrets, such as how much money you have, how bad you are doing, where your stop losses are, and where your buy orders are. They control the supply and the demand of the very product you are looking to buy. You are not trading as much as playing a game with fast and well-programmed computers, you have to be smart about your every move, and try to think like an exchange or whale. This week someone used BTC to take you to the cleaners, stop losses got hit up and down making a lot of traders lose a lot of money. Sometimes the best move is to not make a move, you see a range like the one above, and if you don't see clarity just take a break from trading.
Your main objective is to not lose money, making money is a byproduct of good trading habits. The more cemented good habits are, the more money you'll make.
As you can see below we are still thinking about touching the 200MA (the white line) on the weekly timeframe. Bitcoin has rested on this line many times and it has bounced up from it as well. To this point, that white line has been very reliable as a bottom. Hold your position and let's wait to see if we touch that white line.
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Knowledge: BTC controls all Altcoin's movements. As Bitcoin moves it dictates how Alts will move, therefore, there is no need to do an analysis on altcoins. The only reason to do analysis is when you are looking to jump in a do a quick trade.
Be careful: If when your stop losses hit it feels personal you are right, it is, mostly because you are thinking and trading like a lot of noobs and making decisions that your exchange sees coming a mile away. The profit comes when thousands just like you set the same stop loss right at the same spot.
Warning: Moonboys on Twitter are very dangerous for you, they are as fake as they come. They lose on every trade, anything they recommend usually goes to the gutter. Choose a few analysts to follow. In the future, you'll be as good as the information you let into your head today.
Wisdom: Trade based on your personality. Why? Simple, you can't fight who you are.
There are 3 main types of trading styles
Day trading (if you want to go crazy and have a heart attack).
Swing Trading (Short to mid-term) requires discipline, charting skills, and patience.
Position Trading/investor ( Long term) requires a commitment and an understanding of the crypto trading cycle. It is very slow and requires Jedi-like patience. In about two cycles it will make you lots of money.
In the next post, I will tell you the secret to trading.
VERY IMPORTANT: Hitting the "Like" button is like a tip, please don't forget to do so after reading, this is your way of thanking me for my time and so I thank you for yours.
Your exchange knows all of your secrets, such as how much money you have, how bad you are doing, where your stop losses are, and where your buy orders are. They control the supply and the demand of the very product you are looking to buy. You are not trading as much as playing a game with fast and well-programmed computers, you have to be smart about your every move, and try to think like an exchange or whale. This week someone used BTC to take you to the cleaners, stop losses got hit up and down making a lot of traders lose a lot of money. Sometimes the best move is to not make a move, you see a range like the one above, and if you don't see clarity just take a break from trading.
Your main objective is to not lose money, making money is a byproduct of good trading habits. The more cemented good habits are, the more money you'll make.
As you can see below we are still thinking about touching the 200MA (the white line) on the weekly timeframe. Bitcoin has rested on this line many times and it has bounced up from it as well. To this point, that white line has been very reliable as a bottom. Hold your position and let's wait to see if we touch that white line.
[img]
Knowledge: BTC controls all Altcoin's movements. As Bitcoin moves it dictates how Alts will move, therefore, there is no need to do an analysis on altcoins. The only reason to do analysis is when you are looking to jump in a do a quick trade.
Be careful: If when your stop losses hit it feels personal you are right, it is, mostly because you are thinking and trading like a lot of noobs and making decisions that your exchange sees coming a mile away. The profit comes when thousands just like you set the same stop loss right at the same spot.
Warning: Moonboys on Twitter are very dangerous for you, they are as fake as they come. They lose on every trade, anything they recommend usually goes to the gutter. Choose a few analysts to follow. In the future, you'll be as good as the information you let into your head today.
Wisdom: Trade based on your personality. Why? Simple, you can't fight who you are.
There are 3 main types of trading styles
Day trading (if you want to go crazy and have a heart attack).
Swing Trading (Short to mid-term) requires discipline, charting skills, and patience.
Position Trading/investor ( Long term) requires a commitment and an understanding of the crypto trading cycle. It is very slow and requires Jedi-like patience. In about two cycles it will make you lots of money.
In the next post, I will tell you the secret to trading.
VERY IMPORTANT: Hitting the "Like" button is like a tip, please don't forget to do so after reading, this is your way of thanking me for my time and so I thank you for yours.
Note
As you can see below this idea aged like fine wine. I could not chime in because I went on a long-deserved vacation to spend some of that easily earned cash. I advise you all to put your profits into good use once in a while. [img]
Note
We talked about hitting the 200MA on the weekly timeframe early in this post and we have done exactly that. At this point, we'll watch to see if BTC closes under or over the white line. It can't close too many times under (more than 3 times) otherwise we go lower. We'll talk about that in the next post. [img]
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