Jump to content
Sign in to follow this  

Bitcoin is the smart trade at the moment - Trend is your friend!

Recommended Posts

At the moment, Bitcoin, is the smart trade. The smart money is on Bitcoin right now. Put to one side whether or not you think Bitcoin is in a bubble waiting to fall. From a trend following perspective the trend is strong and long!

 

Bitcoin is one of the best performing asset and currency in 2017. Bitcoin is outperforming Gold in times of crisis and political uncertainty. For example, when the rhetoric started between US and North Korea then yes Gold did move upwards but Bitcoin moved more upwards. During this period, Bitcoin, performed better than Gold. Bitcoin was actually less volatile than UK FTSE 100 stocks during this same time period. A popular share like Lloyds was plummeting between 1% - 3% in a day. 

 

The trend is your friend when it comes to making profits consistently. From a technical perspective, just look at the charts. It tells you a very interesting story. Look at the 20 day, 50 day and 200 day moving averages. It may be wise to trade long on any pullbacks looking closely at Oscillators.

 

I don't think there is a better trade on IG.com than Bitcoin right now. If there which can make you as much money as Bitcoin per day, week or month then please let not just me but everyone reading these posts know.

 

Share this post


Link to post

NIce info you are shring here. I am always scared of bitcoin and hear a lot of tarders dont touch it. 

 

I guess set limit orders on the pull backs but i find close stops do stop you out as the volitilty gets high.

Thoughts.

 

TreV

Share this post


Link to post

It is very scary indeed. Risk management is crucial. Friday was very difficult and the ranges with changing and so setting stop losses and limits were very difficult.

 

To trade Bitcoin effectively you need large cash / equity balance, **** of steel, be ruthless and not let emotion get in the way and most important not to trade against the trend.  

Share this post


Link to post

Ok I am started out with a 15 k account. Do you think that's enough?

 

I am mainly trading on the currencies and indices gold and my main trading is scalping price action and news events. And now i am starting to look for trends and jump on them. I trade on the news events sometimes at the time or after it is settling down in price action.

 

He is another trade I do and would like your feed back.

I traded on gold last week and made 2k in 3 mins. How I did this:   I waited to be spiked into the market by setting a order and a limit.

The spikes put me in the trade and then staright back down to claim profit and of course I closed out. Is they a name for this type of trading and the spikes seem to only happen when gold has a lot of volume at the time or a news events is happening.

 

Plus I look at Finbiz to look for over bought or over sold tardes and set orders.

 

Thanks for your time

 

TreV 

Share this post


Link to post

I cannot comment on whether a £15,000.00 account is enough or not. It all depends on what your aim and objectives are. How much are you looking to make per day, week, month of year? What are your targets and what are the specifics in your trading plan.

 

Bitcoin is extremely high risk. Its as risky as they come. It is also about having tight controls, a specific plan / trading strategy and sticking to it. Risk management is crucial.

 

Failing to plan is a plan to fail. Do not even attempt to trade bitcoin without a plan. There are lots of different ways to trade Bitcoin. So for example the long term trend is up and until this reverses then you could open a long position and hold until your profit target is met. However, remember let your winners run and cut your losses as quickly as possible. Or you could have specific price targets short term to buy and sell and use 'limit' and 'stop losses' depending on the short terms trends.

 

Whatever you choose you must take emotion out of it. Let the price action and volume determine your decisions. Everything else is 'noise'. The media can influence trades to make incorrect decisions so be careful of TV and print media.

Share this post


Link to post

Top man,

 

I have noticed when i place stops in I seem to get stopped out. When I dont use them i do well. But this leave me open to bad things.

 

Maybe ill have to lower trades and to give me more margin on the stops?

 

Plus can you advise? I traded on BOC today, and the rates did not go up, thus thinking the pound would go down it did not it went up??

 

Please confirm what happens to the pound or dollor  when the interest goes up or down?

 

Trev. 

Share this post


Link to post

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.
Note: Your post will require moderator approval before it will be visible.

Guest
You are posting as a guest. If you have an account, please sign in.
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Sign in to follow this  

  • Member Statistics

    • Total Topics
      6,582
    • Total Posts
      29,595
    • Total Members
      39,239
    Newest Member
    Alip
    Joined 25/04/19 06:46
  • Posts

    • Thursday's pre-market big names and charts.
    • US durable goods data at 1:30 pm today. Dow and S&P still loitering just under the ATHs losing momentum but not looking too concerned, still waiting for a push. On the H1 Dow working it's way up to the new daily pivot around 26600 and Dax looking up at a first target of yesterday's high at 12350.
    • @Xtian, Unfortunately the DRIP option is not available on IG. I accept this is disappointing for those who really want this option. This question keeps on constantly appearing. There are other threads on this very question where you will find more detail. If you type 'DRIP' or 'Dividend Reinvestment' in the search box and press enter then you should find other threads with this very question. 
    • @tombarrow, On IG's UK Spread Betting platform there are quite a few Commodities that have both the 'Spot' and 'Futures' option available trade. There are some where just 'Spot' is available and others where 'Futures' is just available. You will have to go through them to ascertain which they are. If you look at Precious Metals then they all have a 'Spot' and 'Futures' option. I suppose there is more liquidity from a markets / trading perspective which could possibly be the reason for this. Yes there is overnight funding for 'Spot'. You are right 'Futures' do not have overnight funding but the spreads are less attractive.  No overnight funding will not be displayed on the trade. IG will inform you of the charges by sending you a daily statement which includes them. You can alternatively go to the charges / cost section and try and work out the charges yourself.
    • Hi there New to trading metals and wanted to understand a bit more about the spot and futures pricing. I'll make the question in sections so it is easier to answer. 1) For base metals it seems only HG Copper has a futures and spot option. Does this mean there are no futures trading for the other metals? Or is the spot price derived from the LME 3 Month Futures Price? 2) Are there expiry dates on the spot prices and is there overnight funding for spot? (I am aware futures do not have overnight funding but are embedded into the spreads).   3) If there is overnight funding or an expiry date will they be displayed on the trade?
  • Our picks

×
×