What Are Your Loss Control Strategies?

[bhadz]

Stay on spot, I avoid going with futures even if there are times that I want to. I just don't want to have that loss story in trading through futures.

If you're doing futures trading with 1x leverage then it's not that much risky when doin it on coins like Bitcoin but when someone is going with higher leverage then that's going to be quite risky.

Those who do 2x leverage end up losing their capital when an asset drops 50% of its value and in most exchanges it's always going to be less than 50% and that's why one should avoid futures trading if he/she doesn't want to take those unnecessary risks.

1x doesn't make sense but with 2x, that's still a fine leverage to do. Well, I am satisfied with staying on the spot and I am free with emotional obligation to myself and it is effortless compared to doing futures. I guess that we've got our own satisfaction in trading and most of us even like to hold than to be active in the market. But doing like a few bucks to place in futures, it is not going to hurt whether you'd be able to grow or lose it.

[$crypto$]

Yes, of course knowledge will play an important role in determining us in trading, and I also see that someone who is a professional can be better because their knowledge is also extensive, so that helps them analyze better.

On the other hand, beginners, they are still in the development stage or there is still a lot they don't know, so that also influences their trading results, because they don't have much knowledge and experience.

At first experts are also new to the market and they don't know the reality so when time passes they realise about the good and bad things related to the market and start to find ways to eliminate The bad things that come into their way of success. This all can only be possible with the help of knowledge and if one has not got any knowledge then becoming an expert will be a time consuming process for him.

Most of the people are now getting Knowledge about trading but just with knowledge they cannot be successful until they get experience with the help of such knowledge and experience the win and loss situations because hearing about something is totally different from doing anything.

Yes, it is impossible for a professional that we know now or who exists today to be in their current position. They were also initially beginners who knew nothing about trading. But their hard work brought them to where they are today.

This applies to everyone, anyone who works hard and truly will achieve something they want in the future. It's just that they have to be patient with the process, which may result in failure many times which will make their mental state decline. But at the same time they have to quickly get back up again.

[NotATether]

I don't get the purpose of trading on futures with 1X leverage. You are likely trading with the spot. It would be better to trade in spot if you are planning to set your leverage to 1x.
The reason why using leverage is to borrow USDT to trade and maximize the amount you want to trade so if you set it to 1x then you are trading with your capital. If I'm going to set 1x then I'll buy on spot instead except for the short position if want less risk and take advantage to make profit in bearish season 1x levarage is fine.

Why would anyone want to use leverage for trading! Besides asset professionals of course.

Leverage is an easy way for you to get rekt, and I keep saying this, there is no use for you, a normal investor, to be trading with any amount of leverage.

It severely increases the chance of your trade "hedge" failing, and you lose a lot of money, since you are basically borrowing it from the exchange.

[snowpega]

For  risk management there is no doubt about the DCA method is the best and I also mention for this cause in my previous post. Anyway if I talk about the Future trading then you are also right that it's kinda gambling thing because there something depend on fully luck but even then I will not say that there is no need off skill, here skill are also matters so it will be only advisable to do future trading when the trader have proper knowledge and skill on analysis. 

Buddy risk management includes many steps to follow so that your risk can be reduced as much as possible. DCA is a very good method of investing for one to reduce his/her risk but I believe one should also focus on one more thing which is that one should not invest all of his/her amounts in only one project. He/she should diversify his/her amount and invest it in different good potential projects so that the chances of high risk can be reduced over his/her investment.

In this way, if one is following these both steps like your mentioned one and mine one. Then there may be a chance that his/her risk can be reduced as much as possible. Besides this, you may have some other strategies as well to reduce risk over investment in your knowledge. Must share any other information or ideas you have in your knowledge. Many Thanks!

[milewilda]

For  risk management there is no doubt about the DCA method is the best and I also mention for this cause in my previous post. Anyway if I talk about the Future trading then you are also right that it's kinda gambling thing because there something depend on fully luck but even then I will not say that there is no need off skill, here skill are also matters so it will be only advisable to do future trading when the trader have proper knowledge and skill on analysis. 

Buddy risk management includes many steps to follow so that your risk can be reduced as much as possible. DCA is a very good method of investing for one to reduce his/her risk but I believe one should also focus on one more thing which is that one should not invest all of his/her amounts in only one project. He/she should diversify his/her amount and invest it in different good potential projects so that the chances of high risk can be reduced over his/her investment.

In this way, if one is following these both steps like your mentioned one and mine one. Then there may be a chance that his/her risk can be reduced as much as possible. Besides this, you may have some other strategies as well to reduce risk over investment in your knowledge. Must share any other information or ideas you have in your knowledge. Many Thanks!

On the moment that you would really be experiencing some loses then it would really be that impossible that you wont really be able to reassess on what happened earlier.
This is why on the time or moment that you do find yourself on such losing condition then you are wary on what are the things that you should really be doing in next time.
Control would really be that totally depending on how you would really be acting into it on which there are people who are really that good when it comes to
self control and there are ones who arent.

[famososMuertos]

...//:::
On the moment that you would really be experiencing some loses then it would really be that impossible that you wont really be able to reassess on what happened earlier.
This is why on the time or moment that you do find yourself on such losing condition then you are wary on what are the things that you should really be doing in next time.
Control would really be that totally depending on how you would really be acting into it on which there are people who are really that good when it comes to
self control and there are ones who arent.

No, not really, I have already mentioned it in other posts, losses are not indicative that your process is wrong, I don't know why the "speech" is repeated and repeated, losses are an unequivocal requirement in any risky activity, especially investment, so your ability to respond to that is to have calculated the level of acceptable losses.

It's simply understanding the percentage of losses that correspond to the financial movement you're making.

[JunaidAzizi]

Buddy risk management includes many steps to follow so that your risk can be reduced as much as possible. DCA is a very good method of investing for one to reduce his/her risk but I believe one should also focus on one more thing which is that one should not invest all of his/her amounts in only one project. He/she should diversify his/her amount and invest it in different good potential projects so that the chances of high risk can be reduced over his/her investment......

DCA is a good method to reduce the chance of loss, but I think diversifying your investment is a wiser decision. You can find some other projects that you can be sure will give you some profits, and in case of your wrong prediction and the price goes down, then you will only lose in one project, and the rest of yours will be safe. I have another method to reduce your loss as much as possible, and that is to not invest your whole funds; just put one part of your fund in a project and keep the rest as a backup. So if you lose in that trade, then you can use the other parts.

[|MINER|]

No, not really, I have already mentioned it in other posts, losses are not indicative that your process is wrong, I don't know why the "speech" is repeated and repeated, losses are an unequivocal requirement in any risky activity, especially investment, so your ability to respond to that is to have calculated the level of acceptable losses.

It's simply understanding the percentage of losses that correspond to the financial movement you're making.

Well said buddy. To say that most of the traders trade without understanding only in the hope of profit, I see that there are many trades which have become debts of a lot of money by borrowing and trading . So to survive from all these aspects, I think they should need to know their  ability before starting trading. As I think if someone wants to manage risk then he can continue investing around 10% of his income in DCA strategy. I don't know if it will be the same for other people though. And traders should always remember this Investment should be that much which they can afford to lose.

[happytime]

In order to make the most of this bull run, it's important for all of us to carefully position ourselves by conducting thorough research on promising coins.

I personally rely on https://cryptogugu.com [nofollow] for my research.

[snowpega]

DCA is a good method to reduce the chance of loss, but I think diversifying your investment is a wiser decision. You can find some other projects that you can be sure will give you some profits, and in case of your wrong prediction and the price goes down, then you will only lose in one project, and the rest of yours will be safe. I have another method to reduce your loss as much as possible, and that is to not invest your whole funds; just put one part of your fund in a project and keep the rest as a backup. So if you lose in that trade, then you can use the other parts.

Buddy, this is the real game, winning wines in this space according to his/her decision during the time he gets into the market. So, One who has sufficient knowledge has a higher chance of winning in the market, and one who has insufficient knowledge has a lower chance of winning in the market, Besides this, we are talking about diversifying, so for this, high and quality research is required which mean one should have good knowledge as we know that investing in alt projects is a very picky part. So, one who diversifies his/her portfolio into a good potential project that can give them a good profit then these investors will be counted as the winner in the crypto space.

Besides this buddy, you also suggested me a piece of advice, so what are you referring to here? are you referring to short-term investment? where one can invest one part of his portfolio into one project so when this project is given to him/her profit then he/she can exit from the market. The rest of his/her amount stay safe? if that so then you are referring to doing trades just by using some part of the whole portfolio where I am talking about long-term investment using DCA and the Diversification method. Buddy, I like your advice, I have done only some trades from the time I am in the crypto space, and Alhumdulila all trades were good I had. Many Thanks for your advice, Buddy! 

[Mr. Magkaisa]

I could remember trying something new with my trades back then. I challenged myself to try futures trading and be consistent with my profits, I tried with less than a $100 account and was able to make some decent profits, but greed as they said, made me lose everything to volatility and I was back to zero because after I saw the profit, I saw a little loss and i wanted to recover it at all costs and while I didn't use a stop loss, I traded with my emotion and before you know it, everything was gone.

It's a day to learn the hard way for me and I do wish that futures trading platforms would develop something to help people like me get back on their feet then because it took me a whole lot to get back on my feet both psychologically and account wise, because if it was a spot trading, at least I would have the asset to hold on to till it rises, so I would like to ask how do you guys control your loss and, most importantly, recover from it to continue trading?

     -     I believe that trading is a skill; you can't study trading and learn the other tool indicators used in trading here in the crypto trading business and even in other trading like the stock market.

It is not possible to just change it because trading is not just luck as others think, so there is a lot to consider here in the crypto trading industry in the crypto space. There is no shortcut here either.

[surendertakyaan70]

I have no special knowledge of trading but I am commenting on the basis that my colleague earns good profits in crypto trading. If a well-known crypto trader has a large following by sharing his analysis strategies and insights, the platform provides crypto trading signals and educational material. He can earn a good income on the basis of market analysis and trading strategies.

[Crypto Library]

I have no special knowledge of trading but I am commenting on the basis that my colleague earns good profits in crypto trading. If a well-known crypto trader has a large following by sharing his analysis strategies and insights, the platform provides crypto trading signals and educational material. He can earn a good income on the basis of market analysis and trading strategies.

It's good to know that your friend have a lot of profit by trading. But in terms of trading, I think it is best not to rely on others to analyze and trade by yourself, especially following different groups for trading signals is foolish work.
And for you if you have any interest on trading I will say as you are a beginner at trading you should take long term strategy with the DCA method what is the best for loss management and as well as you can control your loss on this strategy.

[alltalk]

I have no special knowledge of trading but I am commenting on the basis that my colleague earns good profits in crypto trading. If a well-known crypto trader has a large following by sharing his analysis strategies and insights, the platform provides crypto trading signals and educational material. He can earn a good income on the basis of market analysis and trading strategies.

To be honest, it is too risky to believe in a well-known crypto trader. Even if your colleague can earn good profits several times following the popular trader, he is actually a human only. Sometimes he can make a mistake, he won't always share the right prediction. Also, if we only relies on a certain trader, we will never be a professional trader. I think it is better to improve our knowledge, so we can make our own prediction and have our own analysis.

[LogitechMouse]

I have no special knowledge of trading but I am commenting on the basis that my colleague earns good profits in crypto trading. If a well-known crypto trader has a large following by sharing his analysis strategies and insights, the platform provides crypto trading signals and educational material. He can earn a good income on the basis of market analysis and trading strategies.

To be honest, it is too risky to believe in a well-known crypto trader. Even if your colleague can earn good profits several times following the popular trader, he is actually a human only. Sometimes he can make a mistake, he won't always share the right prediction. Also, if we only relies on a certain trader, we will never be a professional trader. I think it is better to improve our knowledge, so we can make our own prediction and have our own analysis.

If you're relying on other traders, just stop trading. What happened with your colleague doesn't happen to you. He might be making some profits in crypto trading, but that doesn't mean that if he shared his way of doing it, the same will happen to you. Well, you might give it a try and follow what he's saying to test it. After all, you will not know what will be the result if you will not try.

Relying on others doesn't make us a good trader. Relying on ourselves, and our knowledge makes us a better one. Learning how to analyze the markets, analyze the charts, and making good decisions is what makes us a good trader. Unfortunately for me, I didn't become a successful trader. Still, I wouldn't recommend relying on others when it comes to trading.