I wanted to explain how I am a profitable trader even if it just helps a few people. I do want to state that this is not a get rich quick method this is how you learn how to be "The Rock" as stated in my last post. If you want to learn what is going to go up and what is going to go down then you may want to just go to the casino and put everything on red.
So where do I start? Well you do need to know a little about chart reading first and how to get the markers on the chart but that will be a write up all by its self. So I am going to post a chart I have drawn up already which its pretty basic. All it has it horizontal lines which are my markers to buy or sell.
So you don't need to know how to read everything on this chart all you need to look at are the green numbers on the right hand side. These numbers are how much Steem will cost in BTC when it gets to that marker.
As I said there is a simple formula that I stick too when trading. It is easy to do so I am going to try and explain it as simple as possible.
I always stick to buying an easy number to remember and that number has to be low. The reason for this is because sometimes you may have to 10x that amount to be profitable. I always use 0.001BTC to trade with as it is an easy number to work out multiples of and its also a low amount so I can double up as much as possible.
Lets say I buy 0.001 BTC worth of Steem at the marker in the middle which is 0.00020651 now if the price now goes up to the next marker 0.00024336 then I can sell a portion of my BTC and just keep doing that until it drops. However it is when it goes down that people have a problem with.
This time say I buy the same at the same marker but it goes down to 0.00018776 I would then buy again but I would buy 0.002 BTC worth of Steem. This is because to break even now I don't have to go all the way back up to the first marker I can just go up 50% of the way however if I go up all the way to the first marker then I have made a profit.
However what if it goes down again? Well you keep buying. Next I buy 0.006 because I already own 0.003 worth of Steem so I am doubling that money.
The only way to use this method is on good solid coins that you yourself trust. Also it is better if they fluctuate quite a bit so you can get more out of it. This method does work but you need the money to back it and also the balls to keep buying when it drops lower and lower.
Feel free to ask me any questions you have in the chat below.
Disclaimer: I am not a financial adviser, just a solo investor/trader. This is my personal point of view. Please conduct your own research before making financial decisions. Thanks for reading.