#TipsForBeginners for short term trades
When making a trade always follow up with your stop loss to guarantee profits. Crypto has a very volatile market where things can turn around very quickly and suddenly your 2% gain can become a 2% loss.
The challenge here is to set up your stop loss trigger far from price fluctuations that does not necessarily mean a trend reversal while always having in mind that this is a common strategy, which means that subsequent stop losses can be triggered causing a heavy dip in a few minutes followed by another subsequent buy limit orders that send the price up again.
In the $SOL trade below we can see in points A and B that I could have been stopped if I had my stop loss too close from previous short term supports.
My stop in that case is set to $41.205 (the red dotted line) which I consider is inside the support zone but considerably far from the support starting line (lowest $41.352).
Of course sometimes you will see your stop loss being hit and 15 minutes after see an upward movement, it happens, but I can assure you the stop loss is your friend and will guarantee your profits most of the times while also reducing your anxiety and preventing you from looking at the chart every 30 seconds. 😂