Technical analysis can give you a huge leg up if you know how to read things. One big issue with traders is bias. They get the idea that price is going to go one way or the other and they draw their strategy to fit that model. But what if the trade goes the other way? Are you ready? How are you preparing to reverse your strategy?
Like A Boy Scout, Be Prepared
The one big thing I have learned about trading is that you have to keep emotion out of it. The market doesn't give a rat's butt about your feelings or intuitions. It's going to do what it is going to do. So you have to prepare yourself for any situation.
You have to create a trading plan and stick to it. This includes preparing for a move up, or a move down. Heck you even need to have a plan for any sideways action. But we are going to focus on the main moves.
Patterns and Indicators Don't Tell The Future
They only tell you where the markets have been and give you an indication based on past experiences on where the market could go. So there is not set in stone methods. Like I say all the time, you have to take the data as it comes.
So like in my chart example above, I am pretty confident that we will see a breakout move to the upside. I am also going to wait on my trade entry until we have a break out and then a retest of support. Then, I am still looking for more upwards momentum to confirm the trend reversal. That is when I am going long on the trade.
But, things could go the other way. I mean we are in a bear market and you need to play the trends. With this in mind, I am also preparing a short trade if things go south. So if ADA gets rejected and moves to the downside, I will be watching for a bearish break of this pattern, then a retest of resistance. If that happens, I am opening a short trade and will ride it down to my targets that I have set, based on previous market structure levels.
Leave Emotions At The Door
As someone who has been known in the past to be a bit of a gambler, I have learned that you have to take emotions out of the trade and really just trust the data.
If you are playing a longer term trade, as in something you are not going to be sitting and watching, then it's best to make sure to set a good stop loss and take profit levels. This way the trade just does its thing, and you do yours. I mean don't just leave it alone, it's good to check as the trade is in play for areas where you can raise your stop loss if you are in profit so that you can make sure you are locking in profits in case of a swing. But really just go with your game plan. If the trade goes the wrong way, well that's why you have stop losses.
If you get stopped out of a trade, that's when you start looking at the other direction. So if your long trade goes south, learn to quickly be able to spot bearish patterns and find a good entry on a short trade.
You can't force the markets to go either way, so you have to have your EGO and emotions in check before you even go into the trade.
NOT FINANCIAL ADVICE
Never am I giving financial advice, I am a student along with the rest of you and just trying to share what I am learning along my journey. Be safe and secure in your investments, and never trade or invest more than you are comfortable losing.
Until next time, make sure to go check out https://coin-logic.com and you can use my research site I really created for myself as an all on one crypto research tool!
Be Cool, Be Real, and always Abide!
Support The Logical DAO
If you want to support the efforts of The Logical Dude and his projects that come out of The Logical Labs, you can support by purchasing a special NFT directly from the site using pHBD on Polygon! These funds are used to fuel the income engine in The Logical DAO
https://thelogicaldude.com/nfts
https://thelogicaldude.com/dao
The Logical Labs Projects
https://hivelist.io - Classifieds, NFTs, DEFI Pool, Online Retail
https://HiveHustlers.com - Community for Entrepreneurs and All Around Hustlers
https://coin-logic.com - Live crypto market data, news, and research
https://blocktunes.net - Music NFTs, DAO, Downloads, and more
https://groovelogic.audio - DJ/Producer/Sound Engineer music and services
https://weedcash.org - The Highest Form of Social Media
Video Channels
View my channel on 3speak.tv! Video platfrom for a free speech society!
https://3speak.tv/user/thelogicaldude
But if you must... here is the YouTube channel link:
https://www.youtube.com/channel/UCtGApfTp4ZzLHksDdImJ9JA
Other Ways To Support
If you like what I am doing, please consider voting for my Hive Engine witness with your staked WORKERBEE!
https://tribaldex.com/witnesses
Get started playing Splinterlands, the top blockchain game in the world, today!
https://splinterlands.com?ref=thelogicaldude
Posted Using LeoFinance Beta
This is a pretty useful guide so rookies can learn about shorting and longing the markets, especially your website! It looks like a great tool to do some token research, we bookmarked it already.
We actually have a tool to track DeFi Farms with a feature included that tracks the entry price as cost, and the current value, giving users the ability to track the profit & loss side of their farm stake.
Posted Using LeoFinance Beta
Thanks! Hoping to continue the educational journey with more trading info.
Thanks for the feedback on the site! Hope you find it useful!
I would live to see your DEFI farm tool, that sounds like a great tracker!
In LEO there are so many content creators that upload useful information and tools, and not only crypto shills like in other social platforms, we're glad we stumbled upon your post. Our app is in beta mode still, but it is already working at https://defireturn.app
There's no need to connect your wallet, you can run a scan directly without connection, let us know what you think!
Awesome! Yeah there is a ton of info here. Hive is such an awesome community of global minds. I'll be sure to check it out!
The rewards earned on this comment will go directly to the people(@thelogicaldude) sharing the post on Twitter as long as they are registered with @poshtoken. Sign up at https://hiveposh.com.