- A veteran trader with seven years of experience shares his trading strategies for free.
- This guide explains an in-depth approach to trading complexities.
A long-time trader has shared his trading strategies for crypto trading, the success rate of which is quite commendable. He has been trading for the past seven years, and in his guide, he explains in detail his strategy based on technical analysis but without involving the intricate indicators.
Through his official Twitter handle, he conveys that he wants to share his knowledge of trading without any cost through his trading guide. Through his announcement post, he says that this method has done wonders for him in the past four years, and if applied appropriately, it can give consistent gains in the foreseeable future.
A Guide to Crypto Trading Success
This veteran trader highlights the importance of breaking down the essentials of trading. He believes trading is not just about an idea, profit-making, and stop-loss, it’s more than that. He further adds that these components alone cannot guarantee constant returns.
Rather than focusing on the above three components, the trader has stated four crucial elements that make an effective trading strategy. First, by being aware of the market, you should be able to identify the market environment and recognize ranging and trending markets before getting into a trade.
The second is giving deep thought, thinking logically about the pertaining conditions and understanding the directional cues gathered from price structure. The third element that you should keep in mind is that managing your risk is essential, as it can save you from huge blunders.
Lastly, it’s the execution; a trader should be precise about the entry, exit, and risk management of their trades, and they should be well aware of the market environment as well.
It is important to study the market environment because the market is not static; it fluctuates continuously between ranging and trending conditions, and with it, the moving average also changes. Moving averages provide a visual insight into these phases, especially when they cross over during price ranges.
The logical approach is of the utmost importance, which is the price structure that navigates the trade direction.
Theory will Only Take You So Far
After understanding all the theories, it’s time for the traders to take them forward and put them into action. Above all, trades are based on the premise of continuation after a crucial loss. Trading is easier said than done, and all that you read above forms the core of trading.
Following this, it is important for traders to continuously refine their strategies. It means that they should be aware of all the entry and exit rules. For example, a candle closes above or below a certain key level. The trader selects one asset and one timeframe, testing them at 30 trades while evaluating their outcomes. Lastly, the trader should continuously repeat this cycle to maintain a steady flow.
Conclusion
On the whole, the veteran trader makes it clear that this guide only provides a glimpse of trading. The intricate aspects of testing, risk management, entry/exit rules, and trade management extend beyond this guide. This is why it is crucial to remain up-to-date with all that’s happening in the market to gain an in-depth understanding of how the market works.
