With the ever-increasing use of virtual currency and its volatility, cryptocurrencies are being adopted across the world for various transactions. Cryptocurrency derivatives trading is a new trading area that many daytime traders are interested in. Last time we give you a brief introduction of the aspect of trading marketing and some point you need to remember. While in this article we will tell you a useful point to be a powerful trader that is why a good record makes good trader and how to realize this. For those who do not, we will give you the basics introduction of this, so you may have a deeper understanding of it.
Good Records Make Good Traders
Remember this rule: “it is OK to make mistakes, but not OK to repeat them.” It reminds me of a Russian saying: “Don’t step on the same rake twice.” Many traders keep losing money, repeating the same mistakes.
A habitual loser doesn’t remember what he did right and made money or what he did wrong and lost. Had he remembered, he would have done more of the right stuff and stopped repeating the wrong moves.
Let’s be realistic: it’s beyond human capacity to remember all the nitty-gritty details of trading tools, systems, entries, exits, news reports, and a myriad of other details. That’s why we need to write those things down. Successful traders keep good records, review them, and learn from them.
You need to keep both numerical and visual records: a spreadsheet and marked-up charts of your trades. StockCharts gives you a great way to mark up your charts and I’m going to give you a spreadsheet you can use for numerical records. Let’s review the spreadsheet first.
How to Make Good Records，What is the Important Points
Firstly you need to make an excel to record the important information as follow：
1 Source -where do you get the idea for this trade. It could be yourself
an analysis article or a friend’s tip.
2 Method – If the Source is ‘self,’ then this is the method you used to find this trade.
3 Quant – How many contracts do you hold at that moment
4 L/S–You want to hold the contracts for long or short
5 Bought- the price you hold the contract
6 Sold – the price you want to sell the contract
7 Date – Sold date
8 Comm – Sales commission
9 Fee – Exchange Fees
10 P/L – Gross profit or loss
11 Buy gr – Buy Grade, How far from the day’s high did I buy? See below for more
12 Sell gr – Sell Grade (How far from the day’s low did I sell? See below for more)
13 Trade gr – Trade Grade (What percentage of the channel did I capture? See below for more)
After doing this, you could get a very clear understanding of where to get in, place stops, add an exit. In short, you are now trading professionally and not from emotion. In addition to numerical records and ratings of all your trades, it’s very educational to keep a visual diary of your trades.
Thanks for your time, after reading this article, you may have a deeper understanding of a good record makes good trader and the action to realize this. It was an honor to share the experience of cryptocurrency derivatives trading with you. In the next time, we will discuss good record- keeping, a key tool for your growth as a trader. For more information, please follow all of our newest articles on Bybit. m,,.
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