How to Develop A Trading Strategy

 A trading strategy is a fixed plan that is designed to achieve a profitable return by going long or short in markets. The main reasons that a properly researched trading strategy helps are its verifiability, consistency, and objectivity.

Trading Strategies are specific and general techniques you use in your trading. The cryptocurrency trading space is too large not to go there without a trading technique or strategy.

A Trading Strategy is a specific plan to achieve one or more trading goals under conditions of uncertainty caused by the volatility of the cryptocurrency space.

As we all know that the crypto trading space is very volatile and without a properly researched trading strategy, you will always be at loss and be caught in the whirlwind of the market.

How do I develop and trading strategy?

Trading strategies most times are birth from the knowledge acquired during your learning and development phase. Developing a trading strategy maybe a long or a short process depending on you, your experience and your desires. This is a phase for beginners. Here are 2 Major factors needed in developing a trading strategy

1.       Trading Knowledge:  Jumping into something or trade without a comprehensive or good knowledge is a foul play and a death trap. You need to have a full or comprehensive understanding of what you are doing and how to do it, same applies here, you need to understand how cryptocurrency works, risks associated, where to buy and sell, when to buy and sell, what to buy and sell and how to carry out your trading analysis. This knowledge will help you develop a trading strategy.

2.      Your Goals: What are your ambitions? Why did you come to the market? Are you in the market for a long and short trade? Answers to these questions will assist you in developing a trading strategy, any trades have an approach and knowledge of these questions will help you develop a trading strategy.

Like I said earlier, developing a trading strategy is key and very essential, but it is a process, you have to be steady and constant in the market to have a trading strategy, avoid copying the strategies of others because it may not go your way, I believe everyone is unique in this own way, so keep on trading, find your uniqueness, develop a strategy that suits you and then be consistent in it. See you at the Top!