Peace be upon you, my dear brothers and sisters. In this short article, I will try to shorten the path for new beginners in the field of trading, and I will write the essence of my humble experience in the field of trading, especially digital currencies.
In short:
1- You must know what digital currencies are, what blockchain is, what market cap means, and how to determine strong currencies (so that when you come to choose the currency you want to trade in, you do not choose a scam currency to avoid it collapsing overnight). You can search for these things on YouTube. The important thing is that you have a clear idea of what digital currency means.
2- Learn how to create an account on one of the digital currency trading platforms, learn how to secure it well, and this is very important. 🔴🔴 Many people ignore this matter, and then unfortunately they are hacked and all their money is lost, God forbid. At this stage, you must know what are the best platforms and the best wallets and what is the difference between them and know what is a cold wallet and a hot wallet. My dear brother, you must pay great attention to this stage so that your money is kept safe. Remember, you must secure your account well (you can find these things only on YouTube, but search well).
3- After you know what digital currencies are and opened an account on one of the digital currency trading platforms and secured it very well, you have one final stage left, which is learning to analyze currency prices and trying to predict the next movement of any currency.
There are two main types of analysis:
1- Fundamental analysis: is the study of various economic, political and financial factors...
We summarize it in the word "news", meaning any news related to the financial markets is important to us. In the digital currency market, there are two types of news; news that concerns the entire market, for example, the collapse of one of the platforms or that a certain country has banned digital currencies... and news that concerns a specific currency, for example, the founder of the ETH currency burned a large amount of it or improved something in it. All of this affects the price of the currency. Based on the nature of the news, if it is positive, it will rise, and if it is negative, it will fall.
2- Technical analysis: (This is the crux of the matter, haha) This is the most important stage and you must give it a lot of time and patience.
First, let's know what technical analysis means. Technical analysis is the study of the past trend of the currency price and the volume of its trading, in an attempt to predict its future direction. Specialized programs are used to convert price changes into charts that link the price to time.
As for the types of technical analysis schools, they are numerous:
Classical School
Harmonic School
School of supply and demand
Wolf Wave School
Elliot School
Price Action School
There are also other types such as time analysis, astronomical analysis, and good strategies such as SMC, ICT...
You have to choose one type to focus on well until you master it. Don't try to learn everything because you won't give any of them the right to learn and thus you won't achieve results. If you want to learn more than one school of analysis, there's no problem; on the contrary, you will benefit more, but you have to focus on each one, master it well, and then move on to the next.
The problem that every new person faces in the field is that he is confused about which school of analysis is the best and which achieves good results, and he sees people criticizing classical analysis, and another criticizing wave analysis, and a third telling you that time analysis is fraud, and so on...
First, you must know that no professional trader criticizes a certain school of analysis. If you see anyone doing that, the problem is not with the school, but with him.
The important thing is that you close your ears to everyone and try it yourself and judge until you find the analysis school that suits you. Search for each school and get an idea about it and how it works and choose for yourself and you will find in the group, thank God, paid courses for all the analysis schools mentioned above for the best trainers in the Arab world and the West as well. This means that you have no excuse to say that you do not have money, so buy a paid course to learn.
After you have chosen the school of analysis and started learning it, let me give you an important rule that I hope you will work with during your learning journey; First and foremost, trading is a skill like any other skill such as football, cycling, and swimming. They all require time and patience. You will fail a lot at first, but you must get up and not give up. Remember well that the one who quits never wins, and the winner never quits. The rule that I want to say is that learning any new skill goes through three stages, which are:
✓ Learning the skill: This stage is when you watch the course for the first time and represents only 10% of the learning stage.
✓ Skill acquisition: At this stage, you rewatch the course so that you do not miss anything and also fix the information in your head. This stage represents 20% of the journey.
✓ Applying the skill: Here you must apply everything you have learned and know for sure that you will fail at first and you will feel frustrated, but you must not give up and keep trying until you succeed. This stage represents 70% of the journey, so you must focus well on this stage.