BTC - Scared Money Don't Make Money - Impulse and Risk
Updated
What investors should fear most; is fear itself. Whether your opening a business, getting into a relationship, or trading and investing, fear will prevent you from taking advantage of opportunities. Not taking calculated risks due to the fear of losses, or failure, will prevent you from succeeding in life PERIOD! When we bought our restaurant we researched, calculated and pulled the trigger. We took on risk of losing our life's savings, but it was calculated risk after much due diligence. As in all things in life it was not easy and we were literally a few weeks from bankruptcy feeling real pain, but we failed to give up. It was not easy, but today we feel the gains from our risk and pain. But they were calculated.
In life nothing worth while is easy. "NO PAIN NO GAIN" is in every locker room. There is a reason why. Those that fear taking some pain in investing will never reap the gains that come from calculated risks. They find a false sense of security within the herd. If you find yourself selling at bottoms and buying at tops, then you are letting fear and greed drive your decision making.
So yesterday on S.C. I posted an add to BTC'. Does this mean the trade will work out or that I am some sort of oracle of crypto? NO, and I do not claim to be. I post real trades, and take real losses. I also make real gains too. Bottom line, taking losses in trading is just the cost of doing business. Just like having to comp a check because a customer didn't like the grits. Of course they were from NY and had no clue what grits were and didn't realize you mix them with something, but I digress. LOSSES ARE PART OF THE COST OF TRADING, DEAL WITH IT.
Technical:
I have seen this type of wedge pattern over and over. I made a comparison in the article to the recent wedge formed identically in the S&P. Bitcoin is also following a similar trend pattern to gold which I have posted on numerous times. NONE OF THIS HAS CHANGED.
We have a higher low followed by a lower high, which forms the wedge pattern. As long as 6500 is held this trend and count is still valid. As long as 6000 is held, we can consider this simply a horizontal wave correction. 6000 breaks; then as I mentioned yesterday "Houston we have a problem". I am an investor first and I love it when I get another opportunity to buy something lower than it previously was. The structure of this correction is quite different then the prior initial leg down, which I explained previously so I will not regurgitate it again.
Bottom Line:
My point is, if you live in a shell, trying to play it safe your entire life, afraid to step in and pull the trigger, you will end up lonely and unsuccessful. Whether its a relationship, business, or investing, one MUST ONLY FEAR; FEAR ITSELF. We all have those friends that were afraid to start a relationship because they "feared rejection" or "feared they weren't good enough". Now they are 45 and single. Don't be that guy. Now this does not mean be impulsive. Ease into a relationship over time. Wow this is no different then easing into a position in bitcoin'. Why do I make this point?
Some think cryptos are unique and different from other markets. Not only is it the same as other markets, its the same as anything in life. Fear to take a calculated risk in trading is the same as fear of asking a girl out on a date. Fear of loss or rejection are one in the same. Now this does not mean "Here hold my beer watch this". One must separate impulse from calculated risks and understand the difference.
Just another boring update, but I am finishing up an article on a coin that is under the radar. Real product real market.
In life nothing worth while is easy. "NO PAIN NO GAIN" is in every locker room. There is a reason why. Those that fear taking some pain in investing will never reap the gains that come from calculated risks. They find a false sense of security within the herd. If you find yourself selling at bottoms and buying at tops, then you are letting fear and greed drive your decision making.
So yesterday on S.C. I posted an add to BTC'. Does this mean the trade will work out or that I am some sort of oracle of crypto? NO, and I do not claim to be. I post real trades, and take real losses. I also make real gains too. Bottom line, taking losses in trading is just the cost of doing business. Just like having to comp a check because a customer didn't like the grits. Of course they were from NY and had no clue what grits were and didn't realize you mix them with something, but I digress. LOSSES ARE PART OF THE COST OF TRADING, DEAL WITH IT.
Technical:
I have seen this type of wedge pattern over and over. I made a comparison in the article to the recent wedge formed identically in the S&P. Bitcoin is also following a similar trend pattern to gold which I have posted on numerous times. NONE OF THIS HAS CHANGED.
We have a higher low followed by a lower high, which forms the wedge pattern. As long as 6500 is held this trend and count is still valid. As long as 6000 is held, we can consider this simply a horizontal wave correction. 6000 breaks; then as I mentioned yesterday "Houston we have a problem". I am an investor first and I love it when I get another opportunity to buy something lower than it previously was. The structure of this correction is quite different then the prior initial leg down, which I explained previously so I will not regurgitate it again.
Bottom Line:
My point is, if you live in a shell, trying to play it safe your entire life, afraid to step in and pull the trigger, you will end up lonely and unsuccessful. Whether its a relationship, business, or investing, one MUST ONLY FEAR; FEAR ITSELF. We all have those friends that were afraid to start a relationship because they "feared rejection" or "feared they weren't good enough". Now they are 45 and single. Don't be that guy. Now this does not mean be impulsive. Ease into a relationship over time. Wow this is no different then easing into a position in bitcoin'. Why do I make this point?
Some think cryptos are unique and different from other markets. Not only is it the same as other markets, its the same as anything in life. Fear to take a calculated risk in trading is the same as fear of asking a girl out on a date. Fear of loss or rejection are one in the same. Now this does not mean "Here hold my beer watch this". One must separate impulse from calculated risks and understand the difference.
Just another boring update, but I am finishing up an article on a coin that is under the radar. Real product real market.
Note
First a little education for new traders and new "analysts"#1 a "pip" is the smallest price change to the right of the decimal point. So if you see an "analyst" say we made a 1000 pips on bitcoin, that implies with an $8000 trade they made 8 cents. (not including fees)
A point is the smallest tick to the left of the decimal point. So 1000 points would equal $1000 dollars.
#2 I understand why many are bearish. There is great reason to be bearish. Of course if you are bearish and think when wall street comes in you will have an opportunity to buy before the spike your kidding yourself. If Monday, the NASDAQ and the Winklevoss Brothers announce an ETN or ETF do you think you will have time to buy the spike? I know some are glued to their seat with their finger on the buy button ready to catch that spike drinking redbull and coffee. I on the other hand want to enjoy life, so I will continue adding into the pullback and whether it happens next week, month, or year, I will already be in.
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