Learn to Trade Crypto for Short-Term Profit

 

Did you know the fluctuation of the K line is based on human nature? Behind every fluctuation, upward or downward, greed and fear work as the catalyst. When the coin price jumps suddenly, it does not mean that the fundamentals of the coin project have changed, but it is the result of an instant burst of traders. You will capture these sentiments if you keep calm and make appropriate decisions. In fact, short-term trading indicators like MACD and RSI are essentially quantitative tools.

When using these indicators, it does not mean the absolute winning rate is high, but you get the reference to intervene in the market and make money from the overall market sentiments. If you want to become a short-term trader in the crypto world, you should follow the eight principles.

1. As a short-term trader, you should be fast, accurate, and ruthless. If you do not possess these qualities, do some other type of work.
2. The start needs accuracy; if you miss the leading position, you already lost the battle. You must give up other work for short-term trading and should maintain trading discipline.
3. Always remember every position you could open has its own risk; think before you enter and set up the stop loss in case of failure. It’s a better approach to use 40% of your total funds for any new position.
4. Conditional orders or pending orders are best in short-term trading; use stop loss immediately once the transaction is completed. Don’t trust your abilities to control the trade; they are not enough. Automation gives you the best results. Don’t hesitate to stoploss even if you have seen a big profit. The fund’s security is important compared to its growth.
5. If you have profit, close the position. Do not overestimate. It’s enough. Do not try to believe you are smarter. The market is not based on logic but on sentiments.
6. If you will open several positions, close them step by step when you achieve the profit. Try to reduce your position smaller and smaller. If the further position never reaches the 15% profit, do not hold these positions overnight. If the positions exceed 15% and the trend is intact, keep these positions for 30%. Enjoy the trend and earn money.
7. If you have failed two or three times consecutively in the day, you should stop. When the market gets stable, then you participate again.
8. There are many short-term trading strategies and many varieties to make a decent profit, but you only use those tricks that suit you. Never rely on other people’s methods unless you know all the fundamentals.