The Secret Strategy for Explosive Crypto Trading Success
As crypto Traders we are after a better return than most would consider fair with any other investment and yet many trading plans have the trader in a position all the time.
The thinking being that the market is either going up or it’s going down.
Perhaps you’ve been trading crypto this way and maybe even making 60 correct calls and yet you’re still struggling to grow your portfolio.
Often, trying to guess every market move just encourages over trading second guessing and it results in a string of small losses.
Without the strategy that we cover today you’ll find that trading is not even a 50 50 game
Hey there, folks! Doug here, your go-to guy for all things crypto trading. You know, trading crypto is a bit like playing hockey—you’re always on the edge, and the game can change in a split second.
But what if I told you that even if you’re making 60% correct calls, you might still be skating on thin ice? Intriguing, eh?
Why Traditional Trading Strategies Fall Short
So, you’ve been trading crypto, and you’re making correct calls about 60% of the time. That’s better than flipping a coin, right? Well, not so fast. The problem is, many trading plans have you in a position all the time. It’s like always being on the ice without ever taking a breather. You’re either betting the market will go up or down. But let me tell you, folks, that’s a surefire way to get yourself into the penalty box.
The Pitfalls of Overtrading
You see, constantly trying to guess every market move is like trying to catch a falling puck—it just encourages overtrading. And what does overtrading lead to? You guessed it—second-guessing and a string of small losses. It’s like taking shot after shot but never actually scoring a goal. Frustrating, isn’t it?
The Game-Changing Strategy You’ve Been Waiting For
So, what’s the secret sauce? How do you break free from this cycle? Well, it’s all about risk control, my friends. To paraphrase what Jessie Livermore said in Reminiscences of a Stock Operator: “The most important job of any trader is risk control.” It’s like wearing your helmet on the ice—you’ve got to protect yourself.
Risk Control: The Phantom of The Pits Way
The Phantom of The Pits taught us some golden rules about risk control. It’s not about predicting the future; it’s about managing what you can control. Think of it as being the goalie of your own trading game. You can’t control where the puck comes from, but you can control how you defend your net.
- Set Stop Losses: This is your first line of defense. It’s like having a solid defenseman who clears the puck away from your net.
- Diversify: Don’t put all your eggs in one basket, eh? Spread your risk like you’d spread maple syrup on pancakes—smoothly and evenly.
- Position Sizing: Know how much you’re willing to risk. It’s like knowing when to pass the puck and when to take the shot yourself.
Time to Take Control, Eh?
So, are you ready to take control of your trading game? Are you ready to stop chasing the puck and start playing strategically? Remember, the markets have humbled me more times than I’d like to admit. But each time, I got back up, dusted off the snow, and learned from it.
Final Thoughts: You Can Do It!
Look, if a guy like me can go from humble beginnings to a full-time crypto trading career, so can you. It’s all about daily habits, risk control, and never giving up. So, what are you waiting for? Lace up those skates, hit the ice, and let’s make some winning plays!
Alright, that’s it for today, folks. If you found this helpful, don’t forget to check out my Crypto Trading Course and subscribe to my email newsletter for more tips and strategies. Until next time, keep your stick on the ice!