Hello everyone. Today I want to share about the psychological mistakes that newcomers to this 'fire digging' market often encounter. I am also trying very hard but still not serious enough to fix them.

1. Not using take profit and stop loss orders

This mistake is quite common 🤣. Making a lot of profit but not taking it, then only taking it when incurring losses - this is a normal behavior stemming from human greed. And TP-SL helps you manage your greed.

+ However, it is not easy to set reasonable TP-SL because the market makers are well aware of TP-SL tricks near resistance and support levels. They will push the price to break quite far from the SL so that you get executed at the SL order. Therefore, you should set the SL further away from resistance or support a bit to avoid being manipulated by market makers.

+ The principle is that the profit part of the TP must be greater than the loss part of the SL to ensure that with a win:loss ratio of 50:50, you will still make a profit. The ideal TP:SL ratio is 2 (it is quite difficult to find a perfect entry like this because pushing the SL far from support or resistance eats into part of the ratio). You need to analyze the price chart to find suitable entries as well as reasonable TP-SL. Tradingview.com or coinglass.com have all the necessary tools for everyone.

+ And finally, you must be patient to wait for good entries and hold your positions.

=> Note: Trading this way, everyone will almost certainly win, but for me, it’s quite dry, so I still hold losses and gains daily to train my psychology :))))

Any experts have methods to set and manage TP-SL effectively can share with everyone here.

PS: I just held a loss last night and today I made a profit. A typical day of a short seller :)))