Pretty much every exchange offers these features, only one of which I use.<\/p>\n
Take Profit<\/h2>\n
I use TP to manage my lack of patience, my aversion to risk and my constant self-doubt when trading.<\/p>\n
At its simplest, TP is a wonderful tool for people like me, who constantly struggle with the fear of “missing out” on higher profits from a pump, but who never know when a coin’s price has peaked. Far too often, I used to sit here thinking “Is that going to go higher? Should I sell now? How stupid will I feel if I sell now and it goes up another 5%?!”<\/p>\n
Instead of worrying about price pumps and missing out, I use TP to decide how much I want to gain from a spot trade (combined with what’s likely to work) and set the selling price before I even buy<\/strong>, fixing the thing in place and removing the constant reassessment. Well, at least until the price dithers around and I start re-thinking the profit margin, then have to convince myself to stick with what I’d decided!<\/p>\n A great example of TP is my GRT trades. Recently, I bought in a small dip at 0.0605 USDT, marked TP and set the sell price at 0.06353 USDT (a 5% gain, which MEXC shows as a tooltip when entering the TP price). Put in the order and walked away. Once the price dipped to 0.0605, the buy went and the system immediately set up a TP sell at 0.06353. I didn’t need to worry about it any more, or monitor it in any way.<\/p>\n A while later, when GRT pumped up to 0.075 or something. It went straight through my sell price and the TP triggered.<\/p>\n I followed that buy with another in the dip, so ended up with about 6% profit on the whole lot when it pumped, as I mentioned on Sunday.<\/p>\n OK, so there’s a little part of me that thinks I could’ve made more profit if I hadn’t used TP (like 20% or more), but how would I know it had peaked unless I constantly monitored the price? Who’s to say I’d be around if it was a quick pump that fell back to where it was almost immediately? That 6% is a lot for a single, short-term trade and I’m happy with it.<\/p>\n TP also works when you’re selling: you can set your limit price, mark TP and put in the lower price at which you want to buy. The system will set up a buy order for the same value of crypto when yours sells – note that it’s the sold crypto’s value it uses<\/strong>, so if you sell $15 of BTC, the TP buy will be for $15 of BTC at the lower price, leaving the profit in your spot account. Took me a while to get used to that idea and, to be honest, I don’t use it in that direction.<\/p>\n I also try not to adjust the TP buy\/sell before it triggers unless the market moves massively. Doing that risks getting myself into the worrying mindset where I rethink everything and make a horrible mess!<\/p>\n I don’t use Stop Loss.<\/p>\n I probably should, but my first thought is always about volatility.<\/p>\n If I set a Stop Loss at, say, 5% below my buy price, it’ll stop me losing more. But we’re talking about markets where 5% is a fairly common movement, so it could drop 5.1%, then pump straight back up to 5% in the other direction… and I’d lose out because my SL would trigger and sell at 5% down.<\/p>\n It’s risky, I know, but I just don’t see the point unless you’re trading in extremely volatile markets with huge movements.<\/p>\n I’m a bit obsessive about numbers and tracking, so I have an “Earn \u00a31 Million Through Crypto” spreadsheet.<\/p>\n As I go through ideas and thoughts, I’ll post bits here in case they’re useful to anyone else. I’m reasonably good at basic maths and a bit of a whizz with Excel, but I’ll keep it all very simple and assume you hate both maths and Excel (or Google Sheets, where these things all work as well).<\/p>\n My little space to do the percentage calculations for TP quickly is simple enough: buy price in a cell, then several to the right with fixed percentage gains, like this:<\/p>\n So if I buy BTC at $108k, 1% profit will be a TP of $109,188. That’s a pretty simple formula: (buy price x 101.1%), which includes 0.1% fees. I’m never sure if a TP sell counts as Maker or Taker, so I add the fees in case. Maybe I earn an extra 0.1% each time. \ud83d\ude42<\/p>\n 2% is the next cell (buy price x 102.1%) and so on. I actually do (buy price x (percentage + 100.1%)) so I can change the percentages and the numbers adjust.<\/p>\n You can see the formula there for the 1% calculation, using an absolute address (the $ signs) for the buy price, so you can just copy\/paste that formula across the other percentage columns.<\/p>\n Next week, I’m going to look at something I learned (or realised) recently: Positions.<\/p>\n Do you use TP and SL in your trades? Would love to know if you have specific strategies!<\/strong><\/p>\n <\/p>\n","protected":false},"excerpt":{"rendered":" Welcome to the mid-week info post! I’m still thinking about trading, so I’m going to look at TP and SL today. I’m talking specifically about spot trading, whether it’s day…<\/p>\n","protected":false},"author":3,"featured_media":54,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3],"tags":[10,9],"class_list":["post-53","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-midweeks","tag-excel","tag-trading"],"_links":{"self":[{"href":"https:\/\/bonjourgeorge.org\/index.php?rest_route=\/wp\/v2\/posts\/53","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/bonjourgeorge.org\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/bonjourgeorge.org\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/bonjourgeorge.org\/index.php?rest_route=\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/bonjourgeorge.org\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=53"}],"version-history":[{"count":2,"href":"https:\/\/bonjourgeorge.org\/index.php?rest_route=\/wp\/v2\/posts\/53\/revisions"}],"predecessor-version":[{"id":56,"href":"https:\/\/bonjourgeorge.org\/index.php?rest_route=\/wp\/v2\/posts\/53\/revisions\/56"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/bonjourgeorge.org\/index.php?rest_route=\/wp\/v2\/media\/54"}],"wp:attachment":[{"href":"https:\/\/bonjourgeorge.org\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=53"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/bonjourgeorge.org\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=53"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/bonjourgeorge.org\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=53"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}Stop Loss<\/h2>\n
Excel<\/h2>\n
![\"Excel:](\"https:\/\/cdn.publish0x.com\/prod\/fs\/images\/e3ba84139048f492df1fa273a04e308b231c4ba4e2c48a03be097917b867146f.png\")
<\/p>\n