Risk Management Strategies
Longterm Buying - Spot
DCA - Dollar Cost Average
Buying a certain amount in certain time frames
Ex: buying 100$ worth $BTC every month
TA points
Buy under 200 EMA
Set bids at Weekly Swing Low
Longterm Support/ Fibonacci Levels
Midterm Buying - Spot
Always make trade set up, practice a strategy of your own.
Shortterm Buying - Futures
Leverage Trading
Do not trade using leverage if you account is less than 1000$
Max trades to run in a leverage trade should equal your number of years experienced spot trading.
In a single trade you should not risk more than 5% of Capital
Ex 50$ max loss from 1000$ Capital
Again increase limit of risk based on your trading experience
Every time before you take trade,
Write down your Entry & Exits
Exits mean both stop loss and take profit.
General Tips
Greed and Fear will always make you loose money, control your emotions.
There is an opportunity always, so never worry. Take Profits regularly, market works in cycles.
Every trade need to be recorded, and analyzed for refining strategy.
Always plan your trade before execution. No set up, No trade.
It’s you money, if you loose only you are responsible.
Invest in learning, not in signals, indicators or bots.
From @Madusanka777
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