Quote from: wxa7115 on Today at 03:04:03 AM

Quote from: Hardkoin on August 01, 2023, 05:24:27 PM

Quote from: LogitechMouse on July 31, 2023, 11:31:36 PM

Have a stop-loss before trading. I've experienced that a few times already where I see a token going up, I bought it not knowing that it's at it's peak already, and then all of a sudden, it went down bad, and I ended up at a loss. Of course I'm a newbie at that time, and I don't know about stop-loss.

What's the best approach? Having a stop loss would be the best option though it will not change the fact that you will still incur losses especially if you made wrong decisions. You might've made a mistake especially in your decision making, but what's important is that you learn from it, and you will not do it again next time. Whenever you make trade, always make a stop loss like a 10% stop loss if things don't go your way, or a specific price target where your position will close when it reaches that price.

Now if you're expecting that bought at the peak, and still make profits from it, then holding it for a long time is by far the best option. With this one, you become a long term holder from a short term trader. Cheesy

One disadvantage of stop loss is that there may be a fake-out in which it can go and pick your stop loss and return in your original direction of interest. Well I like the idea of 10% stop loss because it gives room for uncertainty.

Whatever disadvantages a stop loss may have becomes unimportant compared to the massive advantages it offers, I know that people do not like when the price goes down, it hits their stop loss and there is a reversal of the price and it returns precisely where it was just a few hours ago.

However even if opening your position again is inconvenient, the protection that a stop loss offers is simply something no trader can do without as it can protect you from massive losses, and once this happens to you at least once, you will never forget to use a stop loss out of fear of the massive losses you could incur if you failed to set a stop loss.

Others mindset when it comes on having a stop loss is that a close position would be totally be considered to be a losses on which they wouldnt really be that able to recover on the time that they would be tending
to hold up their position.This is why it would really be varying on what type of trading you are into on which whether you are doing spot or doing futures on which you could be able to set up those stop losses
basing up on what kind or behavior of trading set up your are making use of. If you are dealing with futures which price movements are really that too tight or something needs to be monitored then it would really be just that normal that you would really be that serious on taking up positions and tight stop losses.

Liquidated is really just that fast on this type of trading on which its recommendable on having a stop loss but for spot then you could always able to wait up and never ever close a position
as long you hadnt set out some stop losses on which the position would remain open and you could really be able to leave it out until the price or value would really be able to come back
or recover on which it wont really be able for you to make worries.