I closed my short position with profit of $2000/btc short!
I'm sorry people,
I swear I wouldn't have posted this if the candle didn't flip. I'm not trying to spam, honest.
Anyways, I have officially closed my short position and added the $2000/btc short to my balance. As you may know, I was stopped out in my last small long position and I stand by my choice to make the buy. It may not make sense to most because I went in before confirmation, but I did it to minimize risk and catch potential upside.
What you see now is interesting because at the moment, the daily candle is a bearish candle in a bullish setup. So what am I going to do? I'm going to stick to my strategy and buy even though it is a bearish candle. I have a strategy and I stick to it. I do NOT THINK the market will go up, at least, I'm not sure. And, this isn't some way to just take both sides of the action so I can't be wrong. This is just a very interesting scenario and I thought it would benefit you guys to see how I am going to handle it.
I kind of hope I get stopped out again so that I can make you people realize the following TRUTH about successful traders: a succesful trader can be wrong most of the time and still make money. I know it sounds impossible, but I've had many long periods of red that were completely washed away by a large wave of green. The idea is to limit risk. That is what I do. I am not the best analyst here, I am not the smartest. That said, I have a pretty good combination of all the skills which I think is rare here. I also preach things that no one does like this: come up with a strategy, WRITE IT DOWN, and follow it always. This is the only way you can become a good trader: by constantly improving your strategy.
I cannot predict price. I am not a genie. I don't know where the f**k it is going next. I don't and no one does. That doesn't matter though as long as I know two things: at what price the trade is invalid and what is the maximum risk I can take on a given trade. That's all you need to know.
With all of this said: I am a buyer again! In the last trade, I actually didn't make a loss per se, it was a hedge. I won big overall as you can see in the title. If you look at when I went short, which can be verified, I went short at $8200. The current price is $6242. That is approximately $2000/btc short of profit. I am BETTER OFF after being wrong with my long position than I would have been if I was right. Why? because it was 1/20th of the open volume as my short. Even if you don't believe that and think I opened up a huge position, My stop loss was at $6150 and I opened it at $6350. A difference of $200. My gain was 10x my "loss." I can afford to be wrong 9 times in a row with the same risk limit and still break even. That is being right only 10% of the time and making money. See what I mean? This is how you become a good trader.
I'm sorry to barrage you all with information, but these are the thoughts of someone who applies algorithms to make money.
Thanks for reading guys, I promise no more posts for at least 24 hours. :)
-YoungShkreli
I swear I wouldn't have posted this if the candle didn't flip. I'm not trying to spam, honest.
Anyways, I have officially closed my short position and added the $2000/btc short to my balance. As you may know, I was stopped out in my last small long position and I stand by my choice to make the buy. It may not make sense to most because I went in before confirmation, but I did it to minimize risk and catch potential upside.
What you see now is interesting because at the moment, the daily candle is a bearish candle in a bullish setup. So what am I going to do? I'm going to stick to my strategy and buy even though it is a bearish candle. I have a strategy and I stick to it. I do NOT THINK the market will go up, at least, I'm not sure. And, this isn't some way to just take both sides of the action so I can't be wrong. This is just a very interesting scenario and I thought it would benefit you guys to see how I am going to handle it.
I kind of hope I get stopped out again so that I can make you people realize the following TRUTH about successful traders: a succesful trader can be wrong most of the time and still make money. I know it sounds impossible, but I've had many long periods of red that were completely washed away by a large wave of green. The idea is to limit risk. That is what I do. I am not the best analyst here, I am not the smartest. That said, I have a pretty good combination of all the skills which I think is rare here. I also preach things that no one does like this: come up with a strategy, WRITE IT DOWN, and follow it always. This is the only way you can become a good trader: by constantly improving your strategy.
I cannot predict price. I am not a genie. I don't know where the f**k it is going next. I don't and no one does. That doesn't matter though as long as I know two things: at what price the trade is invalid and what is the maximum risk I can take on a given trade. That's all you need to know.
With all of this said: I am a buyer again! In the last trade, I actually didn't make a loss per se, it was a hedge. I won big overall as you can see in the title. If you look at when I went short, which can be verified, I went short at $8200. The current price is $6242. That is approximately $2000/btc short of profit. I am BETTER OFF after being wrong with my long position than I would have been if I was right. Why? because it was 1/20th of the open volume as my short. Even if you don't believe that and think I opened up a huge position, My stop loss was at $6150 and I opened it at $6350. A difference of $200. My gain was 10x my "loss." I can afford to be wrong 9 times in a row with the same risk limit and still break even. That is being right only 10% of the time and making money. See what I mean? This is how you become a good trader.
I'm sorry to barrage you all with information, but these are the thoughts of someone who applies algorithms to make money.
Thanks for reading guys, I promise no more posts for at least 24 hours. :)
-YoungShkreli
Comment:
I went long at $6230. Stop is going to be $6030. So, if I get stopped out again. I'm still up $1600/bitcoin. I hope it makes sense now that if you are right even 50% of the time (coin flip) you can make a f**k ton.
-YoungShkreli
-YoungShkreli
Comment:
And btw that's assuming the volumes were equal which they definitely are/were not. In reality, I am up like $1950 with the "loss" or something like that
-YoungShkreli
-YoungShkreli
Trade closed: stop reached:
Whoops. See? Two straight wrong trades within, what, 24 hours and I'm still massively ahead. I would rather make money, but I'm still glad you can learn what's going on on the money management side of trading like what I am doing here.
-YoungShkreli
-YoungShkreli
-YoungShkreli