must read for beginners

Trading can seem like an intimidating world, but it doesn't have to be. I recently ventured into trading with just $65 and turned it into $765 in a relatively short time. This journey taught me valuable lessons about discipline, strategy, and patience. Here’s how I did it as a beginner, step by step.
Starting Small With a Plan

I began with $65—an amount I was comfortable risking. Before starting, I decided on two key principles:

1. Risk Management: I set a rule to never risk more than 5% of my total capital on a single trade.

2. Realistic Goals: Instead of chasing overnight riches, I aimed for small, consistent gains of 2-3% per day.
I also chose Binance as my trading platform due to its low fees, user-friendly interface, and access to various trading tools.

Learning the Basics

As a beginner, I focused on understanding:

Market Trends: I studied price charts to identify patterns.

Indicators: Tools like the RSI (Relative Strength Index) and MACD helped me spot potential entry and exit points.
Divergences: Learning about bullish and bearish divergences gave me an edge in predicting trend reversals.

YouTube tutorials, free e-books, and trading forums were my go-to resources.
Picking the Right Strategy

I adopted scalping and swing trading strategies:

Scalping: Making quick trades to capitalize on small price movements.

Swing Trading: Holding positions for a few days to profit from larger price changes.

I started trading cryptocurrencies like Bitcoin (BTC), Ethereum (ETH), and other altcoins with strong momentum. I avoided highly volatile or obscure coins to minimize risk.
The Trades That Worked

1. Identifying Trends: I noticed Bitcoin was forming a bullish divergence. Using RSI, I entered a long trade with $30, keeping a tight stop-loss. This trade gave me a 12% gain in just two hours.

2. Patience With Swing Trades: I invested $40 in a promising altcoin after researching its fundamentals. Over five days, the coin surged by 25%, netting me $10 in profit.
By compounding these gains, I gradually increased my trading capital.

Key Lessons Learned

1. Discipline Is Key: I stuck to my strategy and avoided emotional decisions.

2. Use Stop-Loss Orders: Protecting myself from big losses ensured my profits weren’t wiped out.

3. Small Wins Add Up: Instead of aiming for one big win, I focused on consistent small gains.

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Mistakes to Avoid

Overtrading: Initially, I made too many trades, leading to unnecessary losses.

Ignoring Research: A couple of times, I entered trades based on hype rather than analysis, which backfired.

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Reaching $765

After about four weeks of disciplined trading, my account grew to $765. By reinvesting profits carefully, I managed to scale up my trades without increasing my risk proportionally.

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My Advice to Beginners

1. Start Small: Only use money you can afford to lose.

2. Educate Yourself: Knowledge is your best weapon in trading.

3. Track Your Trades: Keeping a journal helped me identify what worked and what didn’t.

4. Stay Patient: Trading is a marathon, not a sprint.

Turning $65 into $765 was not just about making money; it was about building confidence and learning skills that will serve me long-term. If I can do it as a beginner, so can you—with the right approach and mindset.