I have been waiting for a profitable entry point for many coins for a long time, the necessary momentum for the Dash asset has appeared. Obviously, there are risks and they will try to shed the price below the sideways border, but technically everything looks like a local rebound in the long. We are working in a down market and it is important not to fly on big shoulders and not to panic, even if there is a drawdown.
While waiting for the results of open positions, I decided to disassemble the cue ball locally and explain the logic of my actions. Let's start with the fact that the week closed and closed close to $ 26k, there were no strong spikes or a confident consolidation well above this zone. Technically, this indicates the weakness of the current trend and the potential for continued correction. If the news does not dump the price, then we will go below $ 26k.
A similar situation was in August, a similar termination within the framework of the sideways and a decrease. I want to note right away, I do not expect a deep drop, but just a continuation of the correction by a couple of thousand by the cue ball. I continue to keep all open shorts for the time being. #BTC #bitcoin #BitcoinWorld #ETH
- What is the risk/profit ratio should be in order to make money in the market?
- Which trades are better not to enter into?
- Correct position size
- At what% of the deposit do you need to enter into transactions?
đ” Greetings to everyone! Today, I would like to address an important topic: position sizing and risk management. How significant are they? Should we adhere to these rules from the start? Let's dive in and explore.
đ” Let's begin by understanding why risk management is so crucial. It's one of the few factors we can control in trading. While we can't dictate price direction, we can control position size and the risk-to-reward ratio. Consider this: we can't predict the future with 100% certainty, but we can control our actions.
đ” Now, let's break down the key aspects. The risk-to-reward ratio of 1:3 is easy to explain and comprehend. Why is this important? If you open trades with a 1:1 risk-to-reward ratio, it may not yield substantial results. You'll find yourself making profits and losses in a cycle. Our goal is to find opportunities with high risk-to-reward ratios of 1:3 and beyond.
đ” The 1:3 rule helps you overcome losses in the long term. If you enter a trade with a $1 risk and a potential $3 profit, you'll only need one profitable trade to offset losses from three losing ones.
đ” It's unwise to enter a trade if the risk-to-reward ratio doesn't adhere to the rule. Avoid twisting the rules to fit a trade and avoid trading randomly. Be honest with yourself.
đ” The second important rule is position sizing. Your deposit size doesn't matter. Your position size should range from 2% to 5%. By adhering to this, you can gradually bring your deposit into order.
đ” By following these two simple rules, you can progressively enhance your results and earn from trading. Successful traders know that risk management is the foundation of successful trading. Don't forget to set stop losses and adhere to risk and reward rules.
Day trading experience with #BLUR {Trade 2}. (VVIP Signal )
Profits printed within very small time. Always try to make smarter trading decisions and increase your returns one step at a time. Obtaining the right knowledge and skills is crucial for successful trading. However, it's important to choose the right mentor who can guide you through the complexities of the market and help you make informed trading decisions.
I'm the QUEEN of futures. Whether if it's a bear market or a bull market, we don't discriminate - we dominate both. đđ
Today Day trading experience with #MATIC {Trade 1}.
DCA entry filled. It is dropped hard just now and printed massive gain. Always try to make smarter trading decisions and increase your returns one step at a time. Obtaining the right knowledge and skills is crucial for successful trading. However, it's important to choose the right mentor who can guide you through the complexities of the market and help you make informed trading decisions.
As long as #SUI is holding this trendline making Higher high and lower low staying above 100 EMA, it is bullish. Break the trendline and will close the position.
#BTC goes with our 2nd scenario and gave a fakeout, which eventually throw the price back to the zone. Well, Now the same condition apply here, Have to wait for a breakout again and too be precise, it has to be a break and close above the fakeouts. #BTC #crypto2023 #bitcoin
Risk management entails predicting and identifying financial risks involved with your investments to minimize them. Investors then employ risk management strategies to help them manage their portfolio's risk exposure. A critical first step is assessing your current exposure to risks and then building your strategies and plans around them.
Risk management strategies are plans and strategic actions traders and investors implement after identifying investment risks. These strategies reduce risk and can involve a wide range of financial activities, such as taking out loss insurance and diversifying your portfolio across asset classes.
Risk Management Strategies
1. The 1% rule is a simple risk management strategy that entails not risking more than 1% of your total capital on an investment or trade.
2. A stop-loss order sets a predetermined price for an asset at which the position will close. The stop price is set below the current price and, when triggered, helps protect against further losses. A take-profit order works the opposite way, setting a price at which you want to close your position and lock in a certain profit.
3. Diversifying your portfolio is one of the most popular and fundamental tools to reduce your overall investment risk. A diversified portfolio won't be too heavily invested in any asset or asset class, minimizing the risk of heavy losses from one particular asset or asset class. For instance, you may hold a variety of different coins and tokens, as well as provide liquidity and loans.
The Directed Acyclic Graph is a synonym for Distributed Ledger Technology (DLT). The data structure of DAG is different which connects different pieces of information together. DAG helps solve various problems such as data processing, finding the best route for navigation, scheduling, and data compression.Â
The Directed Acyclic Graph looks similar to the image. The DAGs are made up of vertices and edges. The direction of the lines heads in one direction as shown in the image. They are acyclic, which means that the vertices donât loop back on themselves. It means that if you start at one point in the graph, you cannot return to the same point. Such data structures are used in the scientific or medical field to analyze the connection between variables and determine their impact on each other.Â
I have been waiting for a profitable entry point for many coins for a long time, the necessary momentum for the Dash asset has appeared. Obviously, there are risks and they will try to shed the price below the sideways border, but technically everything looks like a local rebound in the long. We are working in a down market and it is important not to fly on big shoulders and not to panic, even if there is a drawdown.