Here are 5 steps for choosing trading coin-pairs.
1.) TOP VOLUME TRADED COIN-PAIRS FIRST
The traded coin-pairs selected for trading must first have activity and a large traded volume at your exchange.
2.) UP-TREND COIN-PAIRS
Save time and capital by only going for coin-pairs that are in an Up-Trend / Bullish market.
Otherwise, prepare with Risk-Management strategies like a Stop-Loss or a DCA strategy to eliminate part of the losses from a Down-Trend market.
3.) CHECK THE COINS HISTORY AND REPUTATION
Do some research before trading a specific coin. Due diligence is important, with a lot of exit-scams lurking around.
4.) “CHART” THE COIN-PAIR WITH TRADGINVIEW.COM
Get down to Technical Analysis! Use a Price Charting tool like TradingView to plot, estimate, back-test and optimize your trading strategy before starting trading.
5.) LOOK-OUT FOR PUMPS-AND-DUMPS
Regularly check your trading coin-pairs for out-off place market movements, like high spikes in price in very short periods of times. Avoid losses by not trading pump-and-dump coin-pairs.
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