My first three years in the stock market ~ + 15% (2015-2017) // *Under the market average
Robinhood screenshot 2-21-2018
We all love Bitcoin because it provides an open playing field for speculative traders around the world. Anyone can participate in the ecosystem. It is immutable, borderless, and digital. Many of us in the community must be aware of massive manipulation being done by Wall Street, and it's pleasant to see how many people have stayed in the game.
Honestly, I think the crypto market is a good play space for newer traders. Cryptocurrencies have hit the markets so quickly, I'm sure the corporate agenda has already set in motion to hunt the retail traders, US. I must admit that I have had very limited experience in trading and portfolio management.
I started trading in 2015 on the brokerage platform called Robinhood. I still remember my percentages since the beginning, when I was a Junior in college. I ended my first year with a -3% loss. That year wasn't too bad and I gave myself some slack for it being my first time. I had spread my portfolio too thin while diversifying, and I never managed to sell my assets on a profit. I adjusted this tactic in my 2nd year, 2016, when I limited my portfolio to tech, oil, and banking stocks. I made a gain of 5%. I was under the market average this year, but I still made a profit.
2017 was my third year in the market with stocks, and I had my best returns narrowing down my portfolio to the technology industry itself. This was when I realized how desirable a small diversified portfolio was. I held around 6 stocks for 2017. Among them were Apple, AMD, and Blizzard. I made 20% profit in my third year. Again, I didn't beat the market's average of 25%. It was probably in my interest to stick with an ETF instead of building my own stock portfolio last year.
Despite overall stock profits last year, I think beating the market/ Wall St. will take a completely new ball game. With cryptocurrencies, I still consider myself a child playing around with my mouse. I'm making profitable trades based on luck and investing a tad earlier than some others. I can't begin to imagine how corporate/professional traders are killing the crypto markets.
I am left to believe that I should focus less on trading recently, and continue Dollar-Cost Averaging into some of the top platforms. Regardless, volatility provides us with endless opportunity. There are some reputable coins that have dropped dramatically which brings me to my next point. Why would we need to buy shitcoins when some reputable coins like Cardano & Stellar Lumens have had dramatic declines in the past few weeks.
In the end, I think we're a bunch of amateurs compared to those with experience on Wall Street. Those are the guys that strategize with investment banks, brokerages, and sponsored financial educators. The exchanges were designed to profit off of our losses. When it comes to Wall Street, they will always have a win-win scenario.
Wall Street will always take smaller risks than we, as retail traders, will ever make. There is too much opportunity in this market with the current volatility. I can only hope to be in a win-lose scenario if I can't be in a win-win scenario like the big guys. They already have Fibonacci algorithms running to trade automatically against us. AI will truly take over the future, but we can still be winners in this market with the right approach to trading.
This market will continuously expand until volatility is non-existent similar to the Dollar-Euro. There are bits and pieces we will lose in the short term, and with proper risk management, crypto should provide returns in the long term future. My approach, for now, is to let the big guys win, and I will continue profiting as well.
It will just be difficult to match Wall Street's market prowess, but those who stay in this game will be rewarded. That is my belief regardless of the differences between professional or retail trader. It's best to start learning early and take real risks when the stakes are lower.
As Anton Kriel states, "Professional traders use 80% fundamental analysis, and 20% technical."
Regardless of the wise words of a professional, you guys know I love technical analysis with Elliot :)
credits to Jay on 2-21-2018
Jay's use of Fibonacci yesterday continues to hit the mark. Bitcoin bounced of of the .618 level at $10,200 USDs in yesterday's post. He is still mastering the craft as well I am. I have not completed the book yet. I am past the halfway ;)
My dad continues to be the best dad and celebrate Chinese New Years with me and give me red envelopes despite the real party being in Vietnam & China. It is an unofficial holiday where I am, but receiving this sure makes me happy!
@kevbotThis channel is meant to be my journal of thoughts on crypto, working, traveling, and food. Sourced with photos, videos, and blogs.