Risk and Reward

[tienda 8776]

Anything we do in our life comes with risk, but there is a limit and a level of knowledge you have acquired with the time on the such of thing your are doing, I think no reward without invest, and there is not any investment without risk!

 

 

[rocki 319]

On 9/26/2019 at 7:13 PM, SastraID said:

the thing that makes people lose the most is greed, it is the most difficult thing to control because our nature is always wanting more and more 🙈

I think you're right. Don't be greedy. Patience is the key to success when it comes to investing in cryptocurrencies.
You have to be patient and learn each day step by step every day and you will achieve success.

[Cryptonix 135]

From the first day of working in the market, Understand one of the main rules: you must make all decisions yourself, have self – discipline, analyze your trading, develop your own strategy, and determine acceptable risks.

[Kelvin2704 83]

As far as Internet investments are concerned, there is always some risk, the magnitude of which varies from case to case. However, he who does not take risks does not win... Depending on the magnitude of the reward, the user must decide whether or not it is worth taking the risk of investing at a certain time, in the hope of recovering what has been invested and making a profit.

[Hami 42]

You are very correct, even in open market you don't expect price to be going up always, there must be up and down movement to enable traders but at Lowes and sell when it is high, same in crypto market one have to be watchful to know the right time to trade and crypto is not for panic sellers.

[wiliamblacke 157]

Risk and reward always go together since not all operations in trading are won 100%, for this reason you must have a prior study of the market and have knowledge of the subject of trading to minimize failures.
 

[ayatoslaw 858]

On 10/11/2020 at 4:59 AM, Kelvin2704 said:

As far as Internet investments are concerned, there is always some risk, the magnitude of which varies from case to case. However, he who does not take risks does not win... 

But that doesn't mean those who don't take risks can't make a profit ))
Trading using risk management is really needed to help traders control emotions and greed, because when emotions and greed are dominant traders tend to make mistakes and in the end will only get a loss.

On 10/11/2020 at 11:03 AM, wiliamblacke said:

Risk and reward always go together since not all operations in trading are won 100%, for this reason you must have a prior study of the market and have knowledge of the subject of trading to minimize failures.
 

Of course market analysis is needed, novice traders and professional traders need market analysis before entering the market, because trading is very different from gambling.

[Ridam 7455]

Yes if we see Bitcoin particularly. After the small pump we always see a small re-test at smaller levels and it spikes more. So if the project has potential and we do have done good research, we don't need to worry at loss while hodl. Ad the coin will pump back and will makes us good profit.

[raking 50]

23 hours ago, nochemand said:

The first step for a trader should be to manage risks and not going all out to maximize profits and lose all investment power. Traders who lack patience and do not put this into practice usually run themselves down quickly.

I don't think many investors do this. Capital management is extremely difficult for new investors.

[EESHA AYYAN 49]

The risk/reward ratio is used by traders to manage their capital and risk of loss during trading.

The ratio helps assess the expected return and risk of a given trade.

A good risk reward ratio tends to be anything greater than 1 in 3.

[calongtong28 34]

I don't use the risk: reward ratio, I define resistances and supports to set take profit and stop loss points. Maybe I'm a day trader so my style is different

[ayatoslaw 858]

On 10/12/2020 at 10:30 PM, nochemand said:

The first step for a trader should be to manage risks and not going all out to maximize profits and lose all investment power. Traders who lack patience and do not put this into practice usually run themselves down quickly.

Too focused on getting maximum profit will cause confusion in making decisions, that's why there are techniques to gradually sell in each resistance area, this is to keep traders' emotions so they don't focus too much on getting maximum profit.

4 hours ago, calongtong28 said:

I don't use the risk: reward ratio, I define resistances and supports to set take profit and stop loss points. Maybe I'm a day trader so my style is different

The way you do it is right, don't worry trading is fun, you don't need to focus on trading knowledge, find your style and desire to trade, because I often meet professional traders, and they tend to trade using techniques that they develop themselves,

[TengoDinero 132]

I am not a professional trader either but I know that this risk management technique is effective since it allows you to have profits even if the number of losing trades is greater than the number of winning trades, cold head and strategy I think is what gives the results

[Brushless4500KV 4214]

On 10/8/2020 at 11:16 PM, WillSol23 said:

In my opinion, I think that when trading it is always necessary to take into account the risk of having losses, I would say that it is 50 to 50 for profits as you lose, that is why you analyze the market very well and how the prices are fluctuating. cryptocurrencies at that particular time, in order to make safe and reliable investments from which we obtain profits even if they are few, it is better to add than subtract.

Your theory is interesting but in practice everything may turn out the opposite of what we had calculated. We predict to gain X amount of profit with Y amount of risk but the market may not move in the straight road and all our calculations will fail. Trading is very similar to a ship which is sailing in the sea. The captain (trader) predicts the weather (market) will be good but suddenly an unexpected storm (price change) happens and his ship will stray from his route. A good trader is not the one who takes high risks, he is the one who knows how to fight against market storms.

[arqjairoc 112]

We have always known that to win you have to risk, this is not always true but most of the time, then we must risk in order to win.

[yato987 2811]

that is true , panic has no place to do when we trade because it will just destroy everything and cause us to lose the money so controlling the emotions is important , in the first place we should put in consider that there is always a chance to lose everything in trading so we don't get panc , and also we get the ability to think well before making decisions so we get the best profits we can or the less loses from the trade

[ayatoslaw 858]

15 hours ago, TengoDinero said:

I am not a professional trader either but I know that this risk management technique is effective since it allows you to have profits even if the number of losing trades is greater than the number of winning trades,

There is another way, you have to divide the capital, so you will trade several coins at once, not just one coin, this is to anticipate if our trades are not as we planned but can still get profit or minimize losses from other trades.

15 hours ago, TengoDinero said:

cold head and strategy I think is what gives the results

Profit is just a bonus that we get when trading properly and correctly, we don't have to have large capital, because the most important thing is being able to understand market conditions, understand risk management and also choose coins that have good chart movements.

[iloveyobit 6599]

I completely agree with you, and one of the strategies that must be mastered in the market is to always leave a portion of the capital for emergencies and market collapse, as it will enable you to buy from below ..

[Projectcrypto 4382]

20 minutes ago, JohanDonne said:

We need to take care of the difference of prices too when we are buying and selling. Although the risk is too much but still there are possibilities of earning profits here.

Sure mate but in order to reduce our risk of losing in the field of trading coins we need to avoid putting all our eggs in one basket meaning we should not invest on only one coins and instead we should divide the funds in different coins which have potential so that when one fails the other ones will give profit.

[mohamedpc1 2213]

You must be an expert in the field of trading in order to be able to expect the reversal of the price and the ratio of loss and profit, as the price may keep collapsing and you lose all your money. Trading requires a lot of analysis and study and does not depend on emotion, and I think that losing 20 percent is a big percentage

[basel23 1722]

I agree with you, setting targets and stop-loss points help us a lot in protecting ourselves from exposure to large losses, and there are also many publications that are written by the rest of the members containing tips that may help reduce the risks you are exposed to in trading.

[Trader123 32]

There is a strong correlation between the two concepts. The higher the risk is the higher the reward will be, and vice versa. I have two advices :

1. Do not invest money you cannot afford to lose ;

2. Only trade on trusted exchanges.

[velasco19 1753]

In trading the worst enemy is yourself, many times due to the FOMO or the lack of determination to shorten the losses, sometimes you do not sell waiting for it to rise and you end up with devalued cryptocurrencies. The study and basic knowledge is essential to start trading and experience is gained over time.

[Onden 2098]

That's a very good opinion. Before trading we must calculate all possibilities, including risk management. I use the upper limit of the coin price to sell, if the coin reaches the limit I have set, I will sell it. And I also set a lower limit which I have set if the price has touched the lower limit of course I will stop trading for a while.

[ayatoslaw 858]

4 hours ago, Onden said:

That's a very good opinion. Before trading we must calculate all possibilities, including risk management. I use the upper limit of the coin price to sell, if the coin reaches the limit I have set, I will sell it. And I also set a lower limit which I have set if the price has touched the lower limit of course I will stop trading for a while.

What indicators do you use to determine support and resistance areas? there are so many ways to determine support and resistance areas,

Determining support and resistance points is very important in trading, because support and resistance points will help you determine the area to buy or sell coins.