The Wolf Den #53 - Trades, Markets, Tips, Money Printing And More
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This newsletter is sponsored by 2 amazing companies: VOYAGER and PHEMEX.I use Voyager for my spot trading and investing (and to compound interest) and I use Phemex for trading with leverage. Sign up to both with the links above and get some free Bitcoin. I really encourage you to check them both out - you know that I never endorse a product that I do not use! -- Paid members receive this newsletter 2-3 times EVERY WEEK. I would love to have you join us! https://www.getrevue.co/profile/TheWolfDen/membersBitmex went down. Again.I have been railing against Bitmex since the end of 2017, warning people that it was an unregulated casino, with market stops failing to execute, massive slippage, overloads during volatility and an internal trading desk counter trading customers during down time. These issues have been reported countless time by disgruntled traders, many of who still run back to lose again and again like battered spouses.This was never more clear than on March 12th, when Bitmex nearly sent the price of Bitcoin to 0 because of their overeager liquidation engine, firing 10-15M sell orders into an empty book. This morning, the Bitmex chart was showing Bitcoin price as 0. We have discussed this to death, so no need to go much deeper. I just want to be clear that Bitmex is bad for Bitcoin - and while it is down, it is unwise to trade Bitcoin on any exchange with confidence.Now back to our regularly scheduled programming...Making great calls and being able to actually trade them for profit are vastly different skills.This may seem like a confusing statement, but it should be very obvious to those of you that trade actively. A great analyst can make million of dollars a years at a hedge fund without ever executing a trade. You can find amazing chartists, fundamental experts and technical analysis wizards on Twitter and beyond. Great analysts are valuable, can have an incredible feel for the market and it's direction. They are great advisors.Most of them STILL lose money as traders.Like everyone else, they are emotional beings who fail when ego and money are on the line.Analysis and trading are worlds apart with regards to the skill set and discipline required to be successful. A great trader is far less concerned with their analysis, understanding that they are likely to be wrong. They are far more concerned with maintaining a zen like emotional state while executing their trading plan, cutting losing trades quickly and letting winning trades run. A great trader is defined by one who has a plan and sticks to it, come hell or high water. They plan their losses without day dreaming about potential gains.Success comes down to the trader, not the strategy that they employ to analyze trades. A good trader can make any analysis method work.Analyzing an asset is generally about identifying a likely direction and making a general prediction about price action. Trading is a far more in depth pursuit. Not only does a trader have to accurately predict direction, they also have to manage a stop loss (not get stopped out before the trade goes their way), decide when to take profit, how much to risk on the position and when to enter. Traders lose money all of the time, even when their idea is "right" because they have a misplaced stop loss or take profit order, have entered at the wrong time, or have sized their position incorrectly to accommodate for volatility.Eliminating ego and the inherent human compulsion to be "right" is an invaluable skill for a trader. Right and wrong are meaningless in trading - what matters is profit, which comes as a result of strong conviction in a strategy and plan and iron-clad ability to stick to it once the trade is active.Great analysis is the first step to being a profitable trader, but is barely the tip of the iceberg. It is how you manage the risk based on that analysis that matters. Almost anyone can draw lines on a chart.Paper trade your butt off, find a system that works, then stick to it without emotion. Gauge your performance over years, not days. Be a robot. Protect your money at all costs.To my free members (I love you!) - paid members receive emails like this at least 2 times a week - sometimes up to 5. Every Thursday I chart any request sent by my paid members, often over 30 or 40 charts. It’s a ridiculous amount of work, but I do my best to add real value to anyone who subscribes. If you would like to join the paid side, you can do so for $15 a month here.https://www.getrevue.co/profile/TheWolfDen/membersThis will give you access to everything that I have ever written. If you cannot use a credit card, please contact me directly to pay with crypto by responding to this email or sending me a DM on Twitter.What’s in this issue?Bitcoin Thoughts And AnalysisThe Wolf Of All Streets Podcast Ft. BullyESQTrading Tip - Not "Till Death Do Us Part"Defining A Good Trade And Random ReinforcementAltcoin ChartsPhemex Adds Zero Fee Spot TradingJ.K. Rowling Vs. Crypto TwitterRecurring Buys Are Now Available On VoyagerFed Chair Jerome Powell On 60 MinutesLegacy MarketsQuick Security Tips
The Wolf Den #53 - Trades, Markets, Tips, Money Printing And More
The Wolf Den #53 - Trades, Markets, Tips…
The Wolf Den #53 - Trades, Markets, Tips, Money Printing And More
This newsletter is sponsored by 2 amazing companies: VOYAGER and PHEMEX.I use Voyager for my spot trading and investing (and to compound interest) and I use Phemex for trading with leverage. Sign up to both with the links above and get some free Bitcoin. I really encourage you to check them both out - you know that I never endorse a product that I do not use! -- Paid members receive this newsletter 2-3 times EVERY WEEK. I would love to have you join us! https://www.getrevue.co/profile/TheWolfDen/membersBitmex went down. Again.I have been railing against Bitmex since the end of 2017, warning people that it was an unregulated casino, with market stops failing to execute, massive slippage, overloads during volatility and an internal trading desk counter trading customers during down time. These issues have been reported countless time by disgruntled traders, many of who still run back to lose again and again like battered spouses.This was never more clear than on March 12th, when Bitmex nearly sent the price of Bitcoin to 0 because of their overeager liquidation engine, firing 10-15M sell orders into an empty book. This morning, the Bitmex chart was showing Bitcoin price as 0. We have discussed this to death, so no need to go much deeper. I just want to be clear that Bitmex is bad for Bitcoin - and while it is down, it is unwise to trade Bitcoin on any exchange with confidence.Now back to our regularly scheduled programming...Making great calls and being able to actually trade them for profit are vastly different skills.This may seem like a confusing statement, but it should be very obvious to those of you that trade actively. A great analyst can make million of dollars a years at a hedge fund without ever executing a trade. You can find amazing chartists, fundamental experts and technical analysis wizards on Twitter and beyond. Great analysts are valuable, can have an incredible feel for the market and it's direction. They are great advisors.Most of them STILL lose money as traders.Like everyone else, they are emotional beings who fail when ego and money are on the line.Analysis and trading are worlds apart with regards to the skill set and discipline required to be successful. A great trader is far less concerned with their analysis, understanding that they are likely to be wrong. They are far more concerned with maintaining a zen like emotional state while executing their trading plan, cutting losing trades quickly and letting winning trades run. A great trader is defined by one who has a plan and sticks to it, come hell or high water. They plan their losses without day dreaming about potential gains.Success comes down to the trader, not the strategy that they employ to analyze trades. A good trader can make any analysis method work.Analyzing an asset is generally about identifying a likely direction and making a general prediction about price action. Trading is a far more in depth pursuit. Not only does a trader have to accurately predict direction, they also have to manage a stop loss (not get stopped out before the trade goes their way), decide when to take profit, how much to risk on the position and when to enter. Traders lose money all of the time, even when their idea is "right" because they have a misplaced stop loss or take profit order, have entered at the wrong time, or have sized their position incorrectly to accommodate for volatility.Eliminating ego and the inherent human compulsion to be "right" is an invaluable skill for a trader. Right and wrong are meaningless in trading - what matters is profit, which comes as a result of strong conviction in a strategy and plan and iron-clad ability to stick to it once the trade is active.Great analysis is the first step to being a profitable trader, but is barely the tip of the iceberg. It is how you manage the risk based on that analysis that matters. Almost anyone can draw lines on a chart.Paper trade your butt off, find a system that works, then stick to it without emotion. Gauge your performance over years, not days. Be a robot. Protect your money at all costs.To my free members (I love you!) - paid members receive emails like this at least 2 times a week - sometimes up to 5. Every Thursday I chart any request sent by my paid members, often over 30 or 40 charts. It’s a ridiculous amount of work, but I do my best to add real value to anyone who subscribes. If you would like to join the paid side, you can do so for $15 a month here.https://www.getrevue.co/profile/TheWolfDen/membersThis will give you access to everything that I have ever written. If you cannot use a credit card, please contact me directly to pay with crypto by responding to this email or sending me a DM on Twitter.What’s in this issue?Bitcoin Thoughts And AnalysisThe Wolf Of All Streets Podcast Ft. BullyESQTrading Tip - Not "Till Death Do Us Part"Defining A Good Trade And Random ReinforcementAltcoin ChartsPhemex Adds Zero Fee Spot TradingJ.K. Rowling Vs. Crypto TwitterRecurring Buys Are Now Available On VoyagerFed Chair Jerome Powell On 60 MinutesLegacy MarketsQuick Security Tips