The Wolf Den #62 - Weak Bitcoin, The Economy, "Stonks" 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!Make sure to use code SCOTT25 after you download the Voyager App to get $25 in free Bitcoin.Are you still short SPY?I have been asked this question easily 100 times on Twitter in the past week.The answer - Yes, I am. I did not close my SPY short from $312. SPY topped (thus far) at $323, meaning that my position was never underwater more than 3.5%. Considering I only short the stock market to hedge against a much larger net long position, this was EASILY within my risk management plan. My stops are above the all time high, far away from current price, which is now back below my entry - the short is currently in profit.Shorting a market that you are net long is emotionally very easy, because when you "lose" on your trade it is a net win. I would much rather, as an investor, see the market rise indefinitely, stopping me out of my shorts and making my long term holdings increase in value.As you know, my approach to Bitcoin is the same. I am ALWAYS net long with the bulk of my portfolio, so any short is a trading hedge. If you balance a portfolio properly (mostly investing), it's easy to remove emotion and bias from your trades. On a separate note, there is really never a reason to identify as a "bear" or "bull." I find the classifications a bit absurd and misleading, because identifying as either needs to be clarified with a time frame. You can be "bearish" on the hourly chart while maintaining your permanent "bullish" bias. Also, choosing to identify as bear or bull is an admittance of a biased view of the market and usually comes with an emotional attachment to the position. This goes back to what I wrote in the newsletter on Tuesday about bias. You cannot open a chart and view it objectively if you are already sold on one side of the story.Better to be net long as an investor and an emotionless robot as a trader.Bitcoin is looking a bit weak, so I am not trading alts at this moment. Seems to be the case on Thursday. Also, some of the requests may have changed a bit since I analyzed them, based on this bitcoin movement. A general note - whenever I draw a line on a chart, it should be viewed as elastic and not static. It is more of a zone. So the areas around those lines are usually more accurate. Further, I try to use multiple techniques and indicators on various charts, so if you are learning TA, you should read through all of these to see how I blindly look at a chart.If you are a new member, please refer to Issue 10 (you can click on it here - https://www.getrevue.co/profile/TheWolfDen/issues/the-wolf-den-crypto-newsletter-issue-10-219754 and have it sent to you) for instructions on how to make my charts your own.IMPORTANT NOTE - I will only accept requests on Wednesdays, between 8 AM and 1 PM EST. That will make sure that they are your most pressing requests. Please mark it in your calendar and email me by responding to this email!What’s In This Issue:BitcoinThe Wolf Of All Streets Podcast Ft. Big ChedsWill The Banks Collapse? Trading Mistakes That Will Leave You BrokeStablecoins > SWIFTInstitutional Money Is HereRetail Is Buying "Stonks" Like Hot CakesDon't Be A Victim Of A Crypto ScamUnemployment Number Are Fake NewsAltcoin TradesMy Recommended Platforms And ToolsChart Requests
The Wolf Den #62 - Weak Bitcoin, The Economy, "Stonks" And More
The Wolf Den #62 - Weak Bitcoin, The Economy…
The Wolf Den #62 - Weak Bitcoin, The Economy, "Stonks" 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!Make sure to use code SCOTT25 after you download the Voyager App to get $25 in free Bitcoin.Are you still short SPY?I have been asked this question easily 100 times on Twitter in the past week.The answer - Yes, I am. I did not close my SPY short from $312. SPY topped (thus far) at $323, meaning that my position was never underwater more than 3.5%. Considering I only short the stock market to hedge against a much larger net long position, this was EASILY within my risk management plan. My stops are above the all time high, far away from current price, which is now back below my entry - the short is currently in profit.Shorting a market that you are net long is emotionally very easy, because when you "lose" on your trade it is a net win. I would much rather, as an investor, see the market rise indefinitely, stopping me out of my shorts and making my long term holdings increase in value.As you know, my approach to Bitcoin is the same. I am ALWAYS net long with the bulk of my portfolio, so any short is a trading hedge. If you balance a portfolio properly (mostly investing), it's easy to remove emotion and bias from your trades. On a separate note, there is really never a reason to identify as a "bear" or "bull." I find the classifications a bit absurd and misleading, because identifying as either needs to be clarified with a time frame. You can be "bearish" on the hourly chart while maintaining your permanent "bullish" bias. Also, choosing to identify as bear or bull is an admittance of a biased view of the market and usually comes with an emotional attachment to the position. This goes back to what I wrote in the newsletter on Tuesday about bias. You cannot open a chart and view it objectively if you are already sold on one side of the story.Better to be net long as an investor and an emotionless robot as a trader.Bitcoin is looking a bit weak, so I am not trading alts at this moment. Seems to be the case on Thursday. Also, some of the requests may have changed a bit since I analyzed them, based on this bitcoin movement. A general note - whenever I draw a line on a chart, it should be viewed as elastic and not static. It is more of a zone. So the areas around those lines are usually more accurate. Further, I try to use multiple techniques and indicators on various charts, so if you are learning TA, you should read through all of these to see how I blindly look at a chart.If you are a new member, please refer to Issue 10 (you can click on it here - https://www.getrevue.co/profile/TheWolfDen/issues/the-wolf-den-crypto-newsletter-issue-10-219754 and have it sent to you) for instructions on how to make my charts your own.IMPORTANT NOTE - I will only accept requests on Wednesdays, between 8 AM and 1 PM EST. That will make sure that they are your most pressing requests. Please mark it in your calendar and email me by responding to this email!What’s In This Issue:BitcoinThe Wolf Of All Streets Podcast Ft. Big ChedsWill The Banks Collapse? Trading Mistakes That Will Leave You BrokeStablecoins > SWIFTInstitutional Money Is HereRetail Is Buying "Stonks" Like Hot CakesDon't Be A Victim Of A Crypto ScamUnemployment Number Are Fake NewsAltcoin TradesMy Recommended Platforms And ToolsChart Requests