Many will say that I'm crazy, but I have dropped stop-loss completely out of my trading. It turned into 'guaranteed loss' way too often, due to price fluctuations which can be hectic at times.
I do my 'due diligence', I buy an asset, I set my profit target and the damn thing drops just enough for it to trigger the stop-loss.
You guessed it, it later recovers and goes up past my profit target, leaving me behind to cry.
Yes, I do calculations and adjustments on my profit-to-loss ratio and the rest of it but there's no 'one fits all formula'. Not even 'one fits most of them', for that matter, that will work for me. Maybe I'm too impatient for it.
I'm way happier now.
Let me explain:
I don't like investing in crypto, I do a little bit of that with NASDAQ. I trade crypto and that's what gives me the kick, my daily dose of adrenaline (if I can't ride my bike, that is
).
So, in case that the market turns against me - I become an investor until I spot an opportunity to carry out a correctly calculated DCA (I've done it enough times that now I can be fairly certain when will it move in my desired direction and that the movement will be enough to recover and close the deal in green).
Admittedly, sometimes it takes weeks before that opportunity shows up, but it always does - I just need to be ready for it and have the required funds available.
It requires a lot of reserve, but hey - it goes to show that the 'up to 5%' rule really makes sense.
Anybody on board?
I do my 'due diligence', I buy an asset, I set my profit target and the damn thing drops just enough for it to trigger the stop-loss.
You guessed it, it later recovers and goes up past my profit target, leaving me behind to cry.
Yes, I do calculations and adjustments on my profit-to-loss ratio and the rest of it but there's no 'one fits all formula'. Not even 'one fits most of them', for that matter, that will work for me. Maybe I'm too impatient for it.
I'm way happier now.
Let me explain:
I don't like investing in crypto, I do a little bit of that with NASDAQ. I trade crypto and that's what gives me the kick, my daily dose of adrenaline (if I can't ride my bike, that is
).So, in case that the market turns against me - I become an investor until I spot an opportunity to carry out a correctly calculated DCA (I've done it enough times that now I can be fairly certain when will it move in my desired direction and that the movement will be enough to recover and close the deal in green).
Admittedly, sometimes it takes weeks before that opportunity shows up, but it always does - I just need to be ready for it and have the required funds available.
It requires a lot of reserve, but hey - it goes to show that the 'up to 5%' rule really makes sense.
Anybody on board?