#B90X - DAY 38 - Top 3 Trading Myths

b90x
#1

Once an amateur takes a few hits, he becomes fearful and starts developing strange ideas about the markets. The unstructured environment of the market makes it easy to develop fantasies!

1 - The most popular fantasy is called the “brain myth.” Saying stuff like: “I lost because I didn’t know trading secrets.” (I’M GIVING YOU ALL OF THEM)!

  • NO! Successful traders create personal systems of trading. They become some of the most disciplined individuals out there. The have learned through patient experimentation and retrospecting constantly.

2 - Another popular fantasy is called “undercapitalization myth.” Saying stuff like: “If only I had a bigger account, I could have stayed in the market a little longer and won.”

  • NO! A loser isn’t undercapitalized. Their mind is just underdeveloped.
  • Experts say that it takes at least several years to get to the point where all the experience you’ve gained works harmoniously. It’s a time tested thing! Which is why we’re putting you on the B9 0X program! To get you in the game of garnering as much experience as you can, as fast as you can!!!
  • Expect to lose, however, you can de-risk your losses by starting with small incremental “bite-size” chunks of capital. Don’t worry. The crypto market never closes. You’ll have plenty of time to get into the right trades and the right coins in no time!

3 - “Autopilot myth.” - Electronic Trading Systems

  • The pursuit of wealth cannot be automated

  • Some try to develop a system

  • Others try to buy one from experts

  • “Canned competance” as Elder Alexander once said, are people who are driven by greed, laziness, and mathematical illiteracy." OUCH.

  • As a scientist, I know that complex human activities do not lend themselves well to automation. Computerized learning systems have STILL not repleaced teachers, and programs for doing taxes have still not created unemployment among accountants.

  • Markets always change and defeat automatic trading systems. Period. Full stop.

  • A competant trader can adjust his methods when he detects trouble.

  • IN TODAYS B90X - Comment below in TheBitcoin.Pub - Have you fallen into any of these trading and investing myths? Have you made mistakes by falling into these myths? If so, tell us a story! We’d love to learn from your MISTAKES!

#B90X - Full Trading, Market, and Personal Psychology 10 Part Series
Margin trade: Bleeding money, Please help
#2

I can honestly say…I have done all of those things. But through your leadership and teachings, I can help myself become better and help those just starting be aware of the mistakes they eventually will do. We all do it! We can all get better!

#3

Hi, CryptoNation

Yes, yes, yes. I have fallen in all of those myths) Omg, how many myths you have destroyed today)
I was too greedy sometimes, saying no, it’s too early to sell, I need to wait. And after a few those “I need to wait for more to get more profits” I saw only red color in the chart) This thoughtless hope.
Now I will think in another way)

Best regards,
Roman Hapatyn

#4

I’ve fallen into the undercapitalization myth. I have even used this concept to keep myself from trading because I don’t believe I have enough funds to have enough of a cushion to stick to my strategy (or make my gains “worth the trouble”)! It’s pretty ridiculous, especially with crypto. When I started out with stocks and futures it almost made sense because you need minimum amounts in your account, however with crypto that is not really an issue, and thus cannot be used as a valid excuse. Trading with smaller amounts that are in alignment with my capitalization tends to challenge the greed section of my brain that tells me, “Good job on that winning trade, but too bad you’re undercapitalized because you could have made so much MORE!!!” I think switching your focus to making good trades instead of making money is a great way to look at it.

#5

You got it man. Crypto makes the heart wanna go bigger. WHen you see those gainz!!! You always wish you had more. Crypto will never go away. We’ll have gainz for years!

#6

I agree @bretts. IT is not about the money you have or the money you don’t. It is about learning a capability that will allow you to do what you want, when you want and under your own terms. I was really silly in the beginning and lost money doing silly things. As Peter says, you will all make mistakes so make them fast and move on. Therefore the more you start with, the more you lose in those mistakes. I saw this post the other day and it makes me pause and think. Crypto is a zero-sum game. Therefore for every person(s) who make a million, there are people who probably have lost the same. Go slow, be smart and tomorrow there is going to be another awesome trade waiting for you when you are ready!

#7

ohhh that feeling - “ahhhh should’ve had more on it” :smile:

#8

I’ve been taking things pretty slow since starting out. I can’t say that I’ve fallen into the undercapitalization or autopilot myths but maybe a little into the brain myth. The small losses I’ve had so far have definitely been due to me being inexperienced, though as long as I can keep my losses small and learn from them… I’m okay it, especially this early in the game. I like to look at them as investments towards my education. :stuck_out_tongue_closed_eyes:
What I’ve learned from other investors/traders so far is that losing will always be part of the game. The key is to keep those losses small by managing your risk. Have a plan before making each investment/trade and with good discipline in sticking to the plan, your wins will outweigh your losses.

#9

as a late adopter i am at a high risk with thr price being where it was when i bought in. aslong as the bubble talkers are wrong. however i have already found myself feeling under funded and feeling quite exposed. i am keeping my head up though. couldnt be a naysayer anymore

#10

Oh yes. I know that myths and I feel in the first two too. It needs a long time to realize that with little steps and consistency you can go the long run. But greed and fomo are hard to fight.
Concerning the third myth. I’m working in IT. One of my goals is to automate everything. Yes, to a certain degree you can do it. But as @peter said, years of automation and we still have people working in this “they will be extinted” jobs. You can’t automated where people are involved. The only one to make money with automated trading systems are the one that sell them.

#11

I bought a trading bot (gunbot) to try to automate the strategies that I was learning and testing. It’s definitely not as simple as turning it on and letting it run, you can input your own parameters, stop losses etc but if Bitcoin crashes or goes on a bull run, usually all the altcoins take a hit and you can be left holding bags quite easily. I still can’t say definitively whether it works or not overall but you have to choose trading pairs carefully and keep an eye on longer term trends for sure.

#12

I also thought I was getting in late in August, had a fairly big crash (40%) just after I bought in, I never bought the dip because I wasn’t sure if it was going to go to zero. It has recovered & crashed/corrected twice since, I bought both those dips and now hoping it recovers again…

#13

They all resonate! I have exhibited all in the past but with B90x I am growing in knowledge and experience.

#14

The undercapitalized myth, that was my issue. But now I know that to learn to trade any money is good, later is just a thing of adapting the percentages that you use to trade according to your own capital.

That’s the reason I become a patron. Waiting until I make thousands a month in order to support this community that’s just an excuse.

I’m going to the moon guys right now I’m in the economic seats. But I’ll be gone to executive and then VIP and all the way to sitting with the PILOT :grin:

#15

Hello from :canada: again,

Where to start? I have only been in the crypto space, and I feel like there is so much that I have learned alrady (and much more to learn as welll). The myths that @peter has outlined in his video are so true.

I did make some awesomely bad trades, one of which nearly a %30 percent loss. Luckily, it was a trade that was only a quarter of my account, but it was still a rough lesson to learn (wasn’t using stop loss and dodgy TA). There has been some successful trades on my part, so it’s not all bad news.

In my first month of crypto, I did look into several “bots” that could take out trades for me, along with various signal services. There is already a thread that I created in where I mentioned that those automated techniques are essentially rubbish. Instead the “teach a man to fish” motto is a better route to take for the long run.

I’m currently working with an account that around the 1K mark, so yeah, at times I have felt like it was a loosing battle. However, I’m sure that this account can be grown in some way or another and there will be future opportunities down the line.

Crypto isn’t going anywhere as we all know!

Darcy C

#16

Great information as always, but I’m not sure I’ve ever fallen for these myths. I’m pretty new to investing, and with very limited funds I haven’t been trading that much. The only thing I could say would be that when I made a great trade I just wished I had more money because I would’ve gained more capital. 1000% increase of $1000 is a lot more interesting than 1000% of $100.
In the beginning when I was pretty much just gambling with what I invested in, if the particular coin I had bought went down a lot I just held it until I could at least sell it for the same price as I bought it for, even if it took a month.
The worst I’ve done is buy more of a coin that I was already holding, when it had already increased in value 30 times, because I thought it was gaining value due to it being a good project. Little did I know that it was all based on hype and FOMO. Luckily the initial investment had grown so much that it more than covered the loss I suffered when I sold it all.

#17

I’m with @bamse on this one. I’ve accepted that I’m new to the space and am aware of the possibility of failure. That’s why you never put in your bread money!

I have experienced the auto-trading myth in the stock market during my short stint with it. I actually didn’t know the crypto space even had auto-traders right now.

#18

Yep gone through most of those emotions. Constantly thinking I should put more in, but it’s a long game.
I saw an advert on the TV for IBM blockchain. I wanted to shout the roof down.

#19

Oh My Fricken GOD! I have fallen for all these at one point in time! LOL. I wish I found the PUB before I got into Crypto or stock trading for that matter! Thanks Peter, I look forward to more Knawledge in the upcoming videos. I feel I need to take a step back and focus more on learning rather than reacting for right now till I hone these skills. You are awesome bro! Thanks!

#20

So I have fallen under the second one in the past. I feel less under-capitalized now that I’ve got goals and a road map to get there. But now days I know ill get there just takes hard work. is it faster and easier with more cash yes. do I absolutely need it no. I’ll get there with my friends and family no problem. every day gets better. but I’m developing my own system for success. and after 37 years I think I’ve got a good Idea what I need to do. and coming here helps me a lot. thanks everyone.