Scattered Trading (5 Important Rules)
On the weekend afternoon, it was rainy, windy and a bit cold. Café with a close friend who invests in many markets from stocks, forex and recently Crypto. My friend shared that when starting to participate in cryptocurrency trading, there are some basic rules that newcomers should consider to minimize risks and increase the likelihood of success. Here are 5 important rules:
#first. Research carefully:
Before you start trading, take the time to research and understand the market. Learn about projects, technologies, and market trends. This helps you make decisions based on accurate and complete information.
#2. Risk management:
Establish a strong risk management strategy. Set a loss limit to ensure that an investment does not take up more than a small portion of your total assets. This helps minimize loss rates and protect invested capital. The first lesson should be learning STOPLOSS
#3. Psychological control:
Trading can create strong emotions such as excitement, fear, or the desire to make a quick profit. Control your psychology and avoid making decisions based on emotions. Implement specific rules and adhere to trading discipline.
#4. Diversification: Whether spot or future / If you want DCA, do it SLOWLY
Don't put all your capital into a single cryptocurrency or project. Dispersing investments helps reduce risk by dividing the investment proportion into many different assets.
#5. Understanding types of units and markets:
Master basic concepts such as market price, market capitalization, and price charts. This will help you make decisions based on a solid understanding of the market and avoid easy mistakes.
Remember, the crypto market is very volatile and can change quickly. Stay informed, learn from trading experiences, and adjust your strategy as needed.
In your opinion, which experience is the most important? If you have any opinions, please comment and share
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