Trading Operations Basics
Market Types:
Spot Trading: Buying and selling the actual asset (e.g., BTC) for immediate delivery.
Margin Trading: Borrowing funds to trade larger positions than your capital allows, increasing potential profits and risks.
Futures & Derivatives: Contracts to buy or sell BTC at a future date and price without owning the underlying asset.
Order Types:
Market Order: Buy/sell instantly at the best available price.
Limit Order: Set a specific price to buy/sell; order executes only if that price is reached.
Stop-Loss Order: Automatically sell to limit losses if price drops to a set level.
Take-Profit Order: Automatically sell to lock in gains once price hits your target.
Key Operations:
Opening a Position: Buying (long) or selling (short) an asset.
Closing a Position: Selling (if long) or buying back (if short) to realize profits or losses.
Monitoring & Adjusting: Watching the market and modifying orders or positions based on new info.
Risk Management:
Using stop-loss orders.
Not risking more than a small % of your capital on any trade.
Diversifying trades and avoiding emotional decisions.
Tools & Platforms:
Exchanges like Binance, Coinbase, Kraken.
Trading bots, charts, technical indicators (RSI, MACD, Moving Averages).
Wallets for securely holding your crypto.