Dec 11, · The basic idea behind the swing trading strategy is to catch the price reversals and capitalize on price oscillations in the short and long time frames. It works the best on . Oct 05, · Swing trading also allows you to live a life that’s not always behind the computer. Typically, swing traders will make one trade every 1–3 days, Author: Crypto Account Builders. Swing trading is a short term, trend following trading technique which focuses on the local highs and lows of the market. The basic idea is to buy if the market breaks above it’s previous local high. After you are in position you would place a stop on the previous low .
Swing trading bitcoinHow to Use Swing Trading for Bitcoin - Bitcoin Market Journal
Just start off with trading small amounts. Finally, remember that performing well at technical analysis is different than performing well as a trader. They are two separate skills that both require time to learn. Technical analysis helps predict market direction, while trading primarily involves honing decision-making. The market does not care if you want to make money. You have to flip your mindset around: you cannot force the market to make you money — you must understand when the market can make you money.
As I said before, not every day is a good day to trade. It is worth waiting until you are very certain about an opportunity, and when the odds are in your favor. I learned this the hard way by trying to force trades over and over again, and losing every time. Eventually, you either go broke or truly understand that the market does not do what you want it to do. Another hard lesson I learned was to care less about what other people are saying.
Seek to learn from others, not copy. Stay patient. Putting a stop loss too close to entry means getting stopped out too easily from a trade that otherwise would have been good.
What should someone never do in order to help them be successful at trading, or at least avoid failure? Create a set of rules for yourself. As long as you follow your rules, you should feel relatively okay with the situation even if your position is losing. As a trader, you need discipline — if you stop following your system, you usually fail. Stick to your rules. The best trade I ever made was fairly simple: I bought Bitcoin in when the conversation about it seemed to die away, along with the price.
Around the end of , I was in Los Angeles, and I noticed all my Uber drivers started talking about crypto — so when the price began to fall in January of , I started to sell. The chatter signaled to me that everyone was extremely greedy. The run up and massive volatility showed me the power of macro trends and long term trading. This inspired me to start my YouTube channel in January of , where I began warning people of the impending bubble pop.
My trade was the last one in before it tanked straight back to where the pump began, then continued to push lower and lower. This was a bad trade because I had no idea what Ardor was, and I had no plan going into the trade.
I just saw the pump and went for it. I learned a valuable lesson on that one, with a high cost. I think in the next major bull run we will see a lot more competitors entering the space to improve on trading interfaces for crypto.
The crypto industry is still very immature. Right now governments and banks worldwide are looking at digital currency solutions to solve the various problems they are facing. In the future I think we are going to see corporations use blockchain tech in a variety of ways as well.
I think the next set of long lasting alt-coins might come from big corporations, which will add tons of value to the crypto industry.
Follow Kevin on YouTube for regular market updates on Bitcoin. His clear and simple analysis led him to call multiple bottoms and tops throughout and and gain recognition from other YouTubers in the crypto community such as Sunny Decree. Product Marketing Manager - Cryptowatch View all posts by captainsidd. This site uses Akismet to reduce spam. Learn how your comment data is processed.
Skip to content. What is Trade. Kevin, at his battlestation. Share this: Twitter Facebook. Like this: Like Loading Tagged bitcoin trading. Published by captainsidd. Below are some practical steps that will help grasp the idea of the process. Identify the grand tend. Identify trend reversal signals. This is necessary to detect the best entry point and capitalize on the movement.
For example, rising monthly lows after a long-term bearish trend is a clear signal that the market is about to change the direction. However, traders often use several technical indicators to confirm or reject their theory. Meanwhile, the support coincided with monthly EMA As a whole, these factors pointed out a major trend reversal.
Identify the entry point. When the reversal is seen, swing traders zoom in to shorter time frames to look for an entry point.
Swing traders usually think big and try to capitalize on large market swings. Traders either tale profit on approach to the resistance level or hold on and increase the position, depending on the other factors, like trading volume candlestick patterns and market sentiments. Identify stop-loss. In swing trading, the basic rules of the stop-loss are applied. If everything is done right, a swing trader will earn more by trading less. Information on these pages contains forward-looking statements that involve risks and uncertainties.
Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets.