Adjust your Trading Mindset from Short to Long Term
You don't have to know which way a market will move to make money.
If you're new to the trading game, you might think that this is a ridiculous statement to make. I mean, a trade makes money by trading in the direction that the market is moving. If it's not going your way, then you aren't making money, right?
While this is correct to some degree, you're thinking too short term. Profitable trading isn't about taking one single trade, risking your entire account and then either making money or losing money.
Profitable trading is about finding your edge and exploiting it consistently over the long term. You have to alter your mindset from worrying whether you're right or wrong in predicting which way a market will move, and instead make emotionless decisions that line up with your trading system.
If you've already done the back-testing of your trading system, then you should be confident that if you consistently stick to your risk management profile, then you're going to make money in the long term.
Trading isn't about being right or wrong. It's about making money.
So fuck what your online followers think or say when they work out that you actually don't know which way that the markets are moving. Just find good levels to manage your risk around and make trading decisions with long term profit goals in mind.
Trading is an Industry of Charlatans
Being involved in the forex game for a long time, I see the exact same charlatan bullshit that plague's the currency trading industry, right here in crypto.
You need to seriously be cautious of anyone who is preaching what they think the market is going to do with certainty... and be even more cautious if they are charging you for the privilege of hearing that opinion
Can you see the conflict of interest that may arise when an analyst needs to be right TODAY, in order to attract new clientele?
Don't get caught out by opinionated, ego-centric analysts that simply have to be right. Once again, It's not about being right or wrong, it's about how much money you make. Don't ever lose sight of this.
Successful traders don't have an ego. They simply can't afford to worry about pinning their reputation to any particular market direction or trade because they know that they have to be wrong to make money by trading their edge long term.
Best of probabilities to you!
Peace ✌🏻.
Instagram: @forexbrokr
Website: www.forexbrokr.com
As someone who has been in the crypto trading world for all of fifteen minutes, I definitely need to shift my mindset to more long term. Crying over my XRP every 3 hours won't make it go up, I need to keep my longer term goals in mind.
You also have to keep in mind whether you have bought your XRP as a short term trade or as a long term investment.
If it’s an investment, these longer term goals you speak of, is also your plan. Don’t lose track of why you bought in the first place!
I think the major threat of short time trading are EMOTIONS.
When you are a short term trader you always get nervous about bad news, especially in the crypto market, which is very volatile.
My experience with short term trading are mixed. I have earned good money, but sometimes destroyed money due to false decisions - driven by short term focus and emotions.
But if you have a plan for every trade, you shouldn’t be letting your emotions dictate your decision making.
Plan your trade, TRADE YOUR PLAN!
Nice post man
Hope you took something useful from it...
Psychology!
Yes, an often overlooked aspect of trading.
I agree that profitable trading is not taking one single trade,its about its about finding your edge and exploiting it over the long term.
I even said it twice through the blog. 😉
Yes you did
Nice reading. Thanks for the post. Yes, sure there are loads of "gurus" out there nowadays, looking to get paid for being "right" ;)
Steemit is interesting because it’s not about being right, it’s about providing long term value to the community. Something that can be done without pretending you know which way the market is going to go.
You are right sir.
Cheers, I hope you got something from reading.
Yes alot sir. Can we chat privately? Sorry if you don't mind
Find @forexbrokr on Twitter and DM me. I’ll chat to you when i have some time.
I really have a lot to learn as a novice
We all have to start somewhere mate. Don’t be shy, fully immerse yourself into Markets and you’ll make it :)
Thanks that is encouraging.
Trading is absolutely about making money indeed. Do you think long term holding is a wiser strategy in crypto trading as opposed to cashing out whenever the exchange shoots up?
I think crypto is an emerging market that will pay off handsomely for long term investors.
But it’s also a market that obeys technical levels and is therefore great for traders.
Why not do both?
Damn right you don't need to know which way a market will move, because in the end no one really knows which way it will go ;-P
We just make some bad ass educated guesses though mate!
I love how you’re now using mate in conversation. Your Aussification is near complete.
But we don’t say ass, we say arse. 😂
You’ll get there!
Haha....well, I did spend a month in Sydney in 2012 so it was a good warm up! :-)