Trading Aug 24

Aug 31th

• Volume will be more effective to use in 1 day TF, not a tiny time frame
• Trading is some kind of job that doesn't need continuous action or work, its work is like just place and leave. Waiting at the monitor and stare the chart all day doesn't have any effect on the price and will waste your valuable energy.
  • The better thing to do is to read books, research more information, develop yourself, and do other hobbies.

Aug30th

• For Crypto trading strategy, because I normally see the chart on TF day, the chart can be sideways for several days with a few unidentifiable trends. It is not unusual that the position I open will be wrong several times. Thus, it is always crucial to cover the position with stop loss to avoid large accumulate loss.

Aug 28th

• I have tried applying the DCA method in short-term investment but I think it failed, I still lost around 25% of my fund.
  • I think it is not correct that I invested all of my wealth in only one high-risk asset. Because it is not my own business, so no matter how good it is, it could be only a part of my life by investing some of my money, but not risk all my life on it.
    • In contrast, If it is my own business, I can invest all I have into it.
    • I think if I want more profit from investing, I should do it by trading with proper knowledge(the more knowledge, the more money, and less risk), not by risking my money like this.
• Crypto is like a kind of stock that uses the time frame 1 day in charts to be more proper
  • it is like some kind of technology company that develops in kind of financial.

Aug 26th

• The more I read about Technical analysis and watched the chart, the more things I could see resulting in more chart reading skills improved. This means that it works! By reading books and practicing, it is gradually better!!!
  • I can now see much better in charts.
• Shouldn't I trade crypto? because I've invested in it, I tend to have a bullish bias. Or I would separate my portfolio between trade and investment
• Today, I made a plan in the morning and let the price run as I planned, My trade is much better than immediately trading in the evening without plans.
• Today strategy
  • In the morning, Select the chart to trade by filtering only the top 10-20 highest-volume traded charts
  • Watch charts and planning for trade in the day with a 1-hour TF for the most, and 4h, 1d TF for some charts that have less clue
    • Mark the chart with some flag or star for the charts that saw the opportunities to trade
  • Periodically monitoring Marked charts in a day, when the price comes as planned, go to trade with 1-minute TF
  • Running a trend is much preferable to short-term trade

Aug 25th

• My today trading strategy is the following
  • Monitors the top 6 highest volume traded charts in each sector each day.
    It is no use trading small participated volume assets in each sector.
  • Trade when seeing the proper price patterns or fundamental news, and wait until the price reaches the target, don't leave the trade prior because each trade has fees.
  •  

Aug 24th

• I wonder why when I use fundamentals analysis to trade, it just simply makes a huge profit without messiness with Technical analysis in charts.
  • Maybe I haven't been an expert in Technical analysis yet, so I can't gain profit by using it. But fundamental analysis is just a very simple method with huge rewards.
• Today, I trade cryptocurrencies that have high volumes which means that they gain a lot of attention, and tend to go further than the other coins.

Aug 23rd

• I think to be able to read charts professionally, I have to practice reading a lot which means there will be so much incorrect reading before I get more understanding in it.
• I think I would turn back to trade by reading and analyzing news(no idea, no trade), and for the technical analysis, I will have to practice more and trade only after I've already mastered it.

Aug 21th

• The technique of trading is always realizing that you are just like a small fish that swims in the ocean of very large money which can always crush your fund without mercy when you swim on the wrong side or recklessly.
• Maybe, I shouldn't trade when the market has no trend, because it is hard and has less profit-risk ratios.
  • I have a new idea in trading, first is to find a chart to trade with 5min TF, analyze firstly with TA(trendline, SNR zone, etc), then go to higher TF(h1, h4) to see if it has a trend or not, if it has trend then trade it.
• Technical is not the best all-around or fool-proof tool, the best is the combining of Technical analysis, Fundamental analysis, and risk management.
  • In my opinion, even though there are many conditions that technical analysis can't be used, only pure reading of market actions(which is the main concept of Technical analysis) can be used around 40-60%. ??
    • I also found that although the technical user can have different views eg. trendlines, chart patterns, snr zone, .etc the result of the target is usually the same.
• Trendline vs price pattern https://g.co/gemini/share/4261159e3143 
  • Here's a breakdown of their relative importance:
  • Trendlines: In general, trendlines are considered more fundamental to technical analysis, as they provide a clear indication of the overall market direction. They can be used to identify potential entry and exit points, as well as to set stop-loss and take-profit levels.
  • Price patterns: While less fundamental, price patterns can be valuable for confirming trends or identifying potential reversals. They can also provide additional insights into market sentiment and momentum.
• today, I watched most charts to make some plans for the future, but not much trade.
  • Trade what you've planned, if you haven't planned yet, don't trade but plan them first

Aug 20th

• I think trading is such a kind of weird work. Even with huge effort paid in trade, it can be easily just a waste of time if you don't have the proper knowledge used to process that experience. The proper knowledge sometimes also does not work, it is not like you just do work and get the result, many times it will get nothing?
  • I would wait until I found the most proper and definite way to make money in trade. At this time, I will just keep watching the chart. I believe there will be a proper method to constantly make money from trading.
  • However, I think the real problem is money management.
    • I will trade again but I must conform my trade with more risk management discipline.
• Don't be hurried,
  • Don't be hurried, if the trade is on the correct side, there is still always plenty of time to enter the trade. If it is not correct, you will see with your eyes that the market will flip your view soon.
• Yesterday, I traded after playing a game. The result became a large loss because I traded without planning it before.
• Don't think about more leverage in the 1-minute timeframe, it is just used to limit the loss
  • I think I should limit risk per trade to 0.2-0.3%

Aug 19th

• I feel like time goes so fast, I assume that it is because I focus too much excessively on trade which so much waste of time. My excessive focus came from over-risk usage and not enough knowledge which made me unconfident in the trading system and always thought that each trade was a critical time for changing my life resulting in trying to use over-risks every time.
  • The good principle in trade is to always spend most time gaining much more knowledge, less keeping an eye on the chart, focusing on just one or two charts, trade no more than 5 times a day with a 0.5% risk limit per trade.
  • always trade with care and a healthy mind which will come from using risk limitation.
• Two trading life style
  • all day trade
  • one hour trade a day
• I think I would do no harm to my money anymore, I wouldn't trade until I've finished my studying at least technical analysis.

Aug 18th

• My trade has just gotten so much better after I read the Technical analysis book. However, many times I still use over risk which results in so much loss though I've tried to limit the risk.
  • Maybe, it is because I've never clearly determined the principle of limiting risk to myself.
  • Because of so much volatility, should I adjust the stop loss?
    • Because the commission fee(have to be paid instantly at the opening of the position) related to the profit ratio in a 1-minute timeframe is so high, it is more sensible to leave the position open as long as possible(to close in the larger timeframe). Thus, if I've placed the order, I won't adjust the stop loss in the later but, instead, keep it either indefinitely or until the stop loss is triggered.
      • the commission fee is just like buying a ticket to play a roller coaster, what is the matter that you don't take a ride or even cancel it before it finish?
        • https://g.co/gemini/share/578bbaea5418 
  • How large a position size I should use which will affect the fee you cost?
    • depend on how much stop loss is required i.e. if the stop loss is little, you can use a larger position.
    • the fee is calculated by position size x 0.001, i.e. position size open is 1000$ the commission fee is 1$.
    • normally, the fee per trade shouldn't cost more than 0.5% of your fund, because the normal risk limit per trade is 1% if you use more than that the stop loss will be very tight or you are risking more than the limit.

Aug 17th

• I found that the great thing about technical analysis is that even though the chart can be read in many ways/aspects, the result can be similar which means that just trying to read with the correct principle is enough, though it is not sure whether the reading is accurate.
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Aug 14th

• I found that with h4 TF I can trade more profitably than h1, m1!!!, also it is calmer and has no hurdle-like movement.

Aug 13rd

• New trading algorithms
  • For Trend following, look at the chart with the 1-day TF first and then 4h.
  • For short-term scalping, look at the chart with the 1h TF then 1 min. 
  • use a simple trend line and support and resistant zone to determine a trading plan
• After reading more about technical analysis (a textbook written by John Murphy), I found that I could read charts more correctly. There are a lot of things that I have never seen or some parameters that I never pay attention to.
  • an example is the open interest rate(funding rate) and volume in a day which show how popularities they are in trading.

Aug 10th

• yesterday, I tried Technical analysis again, it seemed to work well. The concept of technical analysis is its trend-following nature and supply-demand analysis with market actions, you should look at the trend with a bird-eyed view and wide time horizon.
  • For example, if the trend is downtrend and there are a lot of strong bearish candlesticks, even though the price moved in range and has already broken the old down trendline, it is still a good chance to sell because the trend is down(trend following), and many strong bearish candlesticks meant that supply is much more than demand(supply and demand analysis).
• Technical is like a ruler which is always precise, but the market is like nature which is not always exact(even our opposite hand is not the same size). It can be used to measure the market effectively but you should also have the flexibility with the nature of the market.

Aug 8th

• I think technical analysis is just for the hurdle in following the trend. In chart prediction, anyone is always biased the price will be in their own way. It can't tell much especially when it is a strong accident trend which chart can result in any way related to the real world.
• 1m TF may not be suitable for me because of the very tight stop loss, waiting patiently for proper action is required!!! which I don't have such a time to monitor it.
  • Even though I can't wait in 1 min TF, it still can be used to place limit or stop market orders which is very useful!!!
  • In 1 min TF, the price is mostly random walking, even when I tried using a trend line, it did not follow the technical law.
  • it is no use to trade in 1 min TF
• Timing is so important. Today, I traded in the morning, and I found that the price moved in a range all day until the evening when it started breaking into a trend, so I wasted a lot of time and energy to get nothing.
• Shouldn't trade much and letting the market run the profit with the trend is the best strategy. Always use proper risk in each trade, and gradually(not hurriedly) increase position size when the trade is right. When you trade it means that you've put your money at risk of uncertainty of the market, the more frequent you put the more risk you are exposed to. 

Aug 7th

• Technical analysis is used to read supply and demand, not prediction
• Too much failure and stress in technical analysis for me(100$). In contrast, I feel enjoyed and relaxed when I use fundamental analysis(eg. reading news, planning my trading)
  • There may be a few things that I've not learned enough in Technical analysis.
• Trading in tiny(1min) TF is quite a waste of time and energy because the trend is usually not strong, and also the high % fee compared to the expected profit is not good in the long run.

Aug 6th

• Dead spiral trading yesterday
  • After introducing new trading techniques eg. technical analysis, I would try trading without remembering risk management. And it will become a huge loss in a day.
• Just read the news and trade, it is just that simple!
• I found that 1 minute time frame does not work, especially for the beginner. It may be able to be explained by psychology that 1 minute causes you to want more profit which increases your risk appetites spontaneously, those risk appetites will ruin your trade!!!

Aug 5th

• I was still over-traded, I traded for money more than practicing skills and learning
• I found that just trading with a technical system is much better than trading with a fundamental.
  • fundamental is much slower than technical(chart discounts everything), though the core concept of both is the same which is supply-demand analysis.
• I think I would stop trading crypto for a while, because of massive loss. Also, DCA strategy is still working well, I don't need to worry about the crypto market at this time.
  • I have to gain more knowledge about technical analysis before turning back to trading the futures market other than forex.
  • However, the forex trading strategy is still working well with news reading, so I will continue this information analysis method.
• Fundamental, Technical analysis and risk management are equally important.
• Back to trade in time frame 1 hour., I found that trade in 1 minute is too frequent and loses much of the % of the fee compared to the profit (eg. % of the fee is 0.2$ and the profit is 1$ so the fee is 20% of the profit!!!)