I recently had a great conversation with a leading expert in this field, and the wisdom he shared was invaluable. I've compiled the most impactful points for you—take note, as they may give you an edge:
1. Lock in profits early – Once you have made a significant profit, step back. Taking a break, perhaps even going on vacation, can help clear your head and help prevent burnout from overtrading.
2. Assess when losses exceed 15% – If your losses exceed this threshold, it’s time to assess what went wrong. Pinpointing exactly what went wrong will keep you from getting bogged down further.
3. Avoid uncertain trades – If you are unsure about a trade, especially in the short term, it is better to sit it out. These uncertain situations tend to lead to more losses than profits.
4. Don’t chase 60% gains – If an asset spikes that high, resist the urge to jump in. Such spikes can often be misleading, leaving buyers trapped at inflated prices.
5. Beware of spikes in volume after spikes – When an asset’s price spikes and volume increases, this is often a trap to lure emotional traders. Stay calm and avoid getting carried away.
6. Be strategic: buy on dips and on rallies – Timing is everything. Enter the market on dips, but don’t hesitate to buy on rallies if prices are rising.
7. Build your position cautiously – Only add to your position when you are almost certain of the trend. It is safer to scale in slowly and at better prices.
8. Stick to familiar territory – Focus on assets that you understand well and trade a strategy that you are comfortable with. This will help you reduce your risk and increase your confidence in making profitable trades.
By keeping these strategies in mind, you'll be well-positioned to succeed in an ever-changing marketplace!#kiemtienonline #Write2Win #IntroToCopytrading