Welcome to this publication about How to trade without losses for an active trader via Afrokonnect.
Asset prices change every minute, so you need to be prepared for the fact that there can be both profit and loss.
What trading methods exist, how active traders and investors use them correctly in conditions of high volatility.
Range trading
For such trading, it is necessary to take into account the RSI indicator chart.
It demonstrates the overbought (upper border) and oversold (lower border) zones, which serve as reference points for the trader to trade.
At the moment, when buying and selling go beyond the bottom line, the asset is in the overbought zone.
This means that there are fewer buyers than sellers. As one of the options for behavior – to enter into deals on the longs.
If the asset is in the oversold zone – that is, beyond the upper limit – then, on the contrary, there are fewer sellers than buyers.
Here, as one of the many options for behavior – to go into short positions or sell an asset.
Scalping
This is volume trading at minimum stop losses, which is carried out on second, minute time frames. Trader’s task:
- Find a trading opportunity on short swings;
- Subsequently – to increase their assets.
The trend in this strategy does not matter much, because the scalper sees and catches the situation from the inside and in real time.
Plus, due to the large number of transactions, it is best to scalp on exchanges with the lowest commission.
With such a strategy, it is necessary to focus on trading volumes, order movements,
As well as analyse candles, order book, use technical indicators and graphical analysis.
Trend analysis is a large-scale analytical work that should clarify where the market is moving.
It includes the study of candles, patterns, orders, charts in the logarithm, etc. in different periods of time.
Trade without losses Strategies
Arbitration
One of the simplest strategies. Arbitrage is the accumulation of assets on the spread, that is, the difference between the purchase and sale prices.
The key here is that the actions must be performed on different platforms.
This is possible due to the fact that trading volumes and liquidity for assets on exchanges may differ – hence the difference in prices.
Trade without losses
Long term strategies
Due to high volatility, since cryptocurrencies often trade near highs and lows, it is important to stick to a risk-minimizing strategy.
It is more suitable for holders, but does not exclude parallel trading.
The main thing is to stay with your money every day.
Has the asset withstood the test of volatility and time: it is recommended to add to the trading portfolio those assets that have been on the market for at least a few months, and preferably for several years.
However, it is you who decides where to invest and when to risk. After all, the possibility of earning depends on the right moment.
Work only with trusted brokers. It can be AvaTrade, which provides free webinars for any level of traders, competent technical support and high-class service.
