Alfred Jaguar
Alfred Jaguar 3 minutes reading from Bitcoin

Crypto Trading 101 - Keep It Simple and Simple

The good things even of this world are far too good ever to be reached by imagination. 1/5 BTC DXY

1 - Keep It Simple ✅

Learning technical analysis is overwhelming, and new traders usually make the process too overcomplicated.

Keep it simple and focus on the basics, more analysis and indicators is not the answer.

Focus on trending markets first.

Try and develop a trading system based on market structure and horizontal support & resistance. This should be your foundation.

Add indicators one by one. Only keep the ones that increase profitability without making it complicated.

2 - Trade Less 🤏

More trades does not necessarily mean more profit. I did not become profitable until I started taking less trades.

Quality over quantity should be a key aspect in your trading.

I implemented a rule of max 2 trades per day that helped me alot with this.

Overtrading is the 1 cause for failure amongst new traders.

You need to create rules imbedded in your trading system to help you battle this.

For me, that was max 2 trades per day and waiting for 4H candle closes before entry.

3 - Observe & Listen 👂

When you first start out, you are in the 'hunter' mindset. This means you open the charts and start hunting for setups.

You use all the technical tools available to try and hunt for and find the best setups available at that moment.

You need to shift mentality from being a hunter to an observer.

Instead of hunting for setups, observe and listen to the market.

Let the market do whatever it wants to do.

Your job is to listen and flow in and out effortlessly whenever given the opportunity.

4 - Fast Losers, Slow Winners 🏆

Be quick, decisive, and impatient with your losers.

Be slow and patient with your winners.

If your idea is invalidated, exit immediately.

When your idea works out, give it the opportunity to become a big winner.

In trading, it's all about having many small losers and a few big winners.

The job of the winners is to pay for the losers.

Embrace losing. Because you are, without a doubt, going to lose a lot. Even when you are consistently profitable.

This post is based on this twitter thread.

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