Do You Feel Crypto Price Goes Against You When You Trade?
You need to buy and sell to make a profit. The crypto price always goes up or down. So you need to buy at a low price and sell at a high price. It seems easy to make money in crypto trading. What do you feel when you actually do trading?
You think how hard it could be to buy low and sell high. When you buy any crypto, the price goes down. So you decide to sell the crypto. But as soon as you press the sell button and sell your crypto, the price goes up.
You become desperate to make a profit. When you see the price starts rising after buying crypto, you are very excited. You do not like to miss the gain, so you sell your crypto and book your profit. Then the price keeps rising further, and you end up being sad seeing how much profit you could make if you sell later.
Why is this happening to you? You are chasing the crypto market, and realize why people say crypto is the wild west. If you decide to trade cryptocurrency, you are supposed to follow the strategy. Do you have any strategy when you buy or sell?
If you press the buy butter because you feel like buying and hit the sell button because you feel like selling without following your strategy and plan, you may get lost at some point. When you decide to take an entry, you should have a clear idea of why you take an entry there. You define your profit target and how much you will lose if the trade does not go as per your expectation.
You take an entry because you see from the technical analysis that the price may move in a certain direction. There is no guarantee that the price will move exactly the same way. No one can tell the future, you can only predict.
If you are not ready to take a small loss in case the price moves in the opposite direction, I think it is better not to do trading. No matter how much profit you are making in crypto trading, you can lose everything faster than you can imagine if you do not manage your risk.
You can be wrong, accept that. Otherwise, you cannot accept a small loss in a trade to exit when it hits the stop loss. You will keep changing your stop loss and wish the price would bounce back. It becomes too late and you end up taking a huge loss.
So follow your trading strategy and plan. Don't just press the buy or sell buy button due to FOMO or FUD. Check out and review your trading journal, it will teach you a lot of things.
So what do you think? Please feel free to leave your comments. Thank you for reading this post. That's it for now. I'll be back with another post.
