Ok, hopefully from the title you will understand this is not financial advice! I have zero trading experience. This is more for laughing at my misadventures and learning from my mistakes. Roasts and guidance are welcome.
But let's get straight to it.
Day 1: I moved $50 of BTC into my account and got my free $5 reward from Bybit
One, Two, Three and I liquidated my account! 馃憗馃憚馃憗
so glad I only deposited $50 cause even though I watched three tutorial videos, I still did not have a clear understanding of what leverage trading really was.
For example, I thought that trading $10 of my $50 I could only lose $10!! ha!!! So pay attention to the LIQUIDATION number!! Set the stop loss at 100% if you only want to risk losing that $10 and not the whole $50!!
Okay, lesson one learned real fast! I am really bullish on Bitcoin though. I know it's going up so this should be the easiest time for me to learn? right?
Day 2 and 3: I deposit about $120 of BTC. i know, what a dummy, add more??? I promise I won't deposit anymore. I don't know what I was thinking ( i was thinking $馃憚$) If I lose all of this I have to quit trading.
side note: You see, my most lucrative hustle right now is delivery driving. We got hit with that horrible ice/snow storm and I couldn't leave my house. I couldn't make my usual money, so i decided to risk a portion of my profits from alt season to try.
So, the next two days I was more cautious. I watched even more tutorials on bybit and candle sticks and indicators. Overall, I made 10 total trades and lost 7. eeeek about a $70 total loss for day 2 and 3.
yes... i'm losing, but at least i'm gaining knowledge in this trail by fire!? right??
Day 4: I had to delivery drive today so I totally missed the bull run up to 56k...booo. just my luck, when i got home the momentum had died down. But I wanted to trade anyway, so how did I do??? I made 6 trades and won them all! woooo! unfortunately, i didn't gain back all my losses yet. Only made about $25, but this is because i am only making tiny trades with what i have left. This still gives me hope that i can make a profit eventually, especially if i catch a big run up (highest run up i could catch this evening was a 40% gain).
What i learned: (caution, this is loser advice haha, i'm still way in the hole!!!
- don't rush - so many times I tried to place an order and the settings reset. double check. Today i went with Limit/Isolated/10x/25%/Post-Only. I'm trying to play as safe as possible with as little trading fees as possible!
- Only use 25% of your total - until i learn when to place trades, this helps, that way if i place an order too high and it starts dropping I have room before liquidation. At first, I tried setting stop limits at 5%, but the market changes so fast that it often kicked me out at a loss. I need room so i can wait for those bullish gains
- Only one order at a time- it's tempting to do two but it raises my point of liquidation and combines the orders to one at an average entry level. I admit, this was very confusing for me at first, but i can see how this would be handy when i'm more skilled
- be okay with small gains - 10% is still a gain, take it if you got it! I look at it this way... when i delivery drive, sometimes i only get paid $9 to deliver to two houses.... so a $5 gain in a few minutes is not bad.
- chase your gains with the stop limit - when green bars are going higher and higher, keep adjusting your stop limit. This will insure you will still get a profit when the price makes a sudden downward turn.
I'm sure my strategy will change the more i do this (unless i lose everything first!), but this is a bit of what helped me today.
Like I said at the opening, I'm a total newbie and can take a roasting. Tell me when I'm wrong so I can learn, get rich, invest in Leo/WLeo/Hive and upvote all your posts!!!
Maybe tomorrow I will remake all my losses and title my next post: How to trade like a Pro bwhahahaa
and yes, this is my referral link to Bybit.com, in case anyone is a gambler. honestly, if I had the chance to start over, i would have started with less. it's bitcoin. you can trade bits for practice.
Happy Bitcoin 1 Trillion market cap day :)