Tips for Improving Your Automated Crypto Trading in 2021
2021.01.26
As every experienced crypto trader knows, an automated trading system is effective in monitoring the market and making trades automatically. Without the software, determining the crypto market’s entry and exit points and making money management rules could be difficult.
Automated crypto trading is one of the best developments that happened in the recent past. From generating trading signals to placing trades, it does all the hard work.
Now that you are already aware of the benefits you can reap from using automated crypto trading software, it’s time to discover how you will improve your automated crypto trading.
1. Limit Your Cash Investment in Each Trade
Going overboard is a red flag for beginners at cryptocurrency trading. It’s not ideal to invest too much amount of cash into each trade. You can start with a $100 trade and work your way up to $250-$500 trades. Just ensure that you are completely aware of what you are doing.
In case you are a professional crypto trader, you can invest more amount in each trade. On the other hand, ensure that you know exactly what you are doing. Meanwhile, for a trusted automated crypto trading system, using the icharts.net is an advantage.
2. Stay Updated with the Economic Calendar
Before starting making a trade on any given day, a trader must check the economic calendar. The automated crypto system includes this kind of feature and you can check it daily.
Additionally, you also need to look out for the 3 bull news. For instance, if the national currency experiences 3 bull news, it’s not worth it to trade with it. Before and after the release of 3 bull news, ensure that you will not trade with that currency for 30 minutes
3. Choose the Right Time to Trade in a Day and Week
When trading with the help of automatic cryptosystem software, it’s essential to do it at the right time of day and week. For instance, the right time of the day to trade is between 9 am and 7 pm. If you trade during this time, there’s a big chance that you can make the most money.
Mind that the aforementioned time frame is for the GMT time zone. In case you live outside the GMT zone, ensure to make correct calculations so that you can make a trade based on the GMT time.
Additionally, it’s also ideal to trade from Monday to Friday. While you can trade cryptocurrencies during weekends, the results are not quite good.
4. Limit Your Trade Placements at Once
Another tip to improve your trading with an automated cryptosystem is to limit the number of your trades placed at once. This is especially essential for novice traders who have less trading experience.
When there are plenty of open at once, it would be more difficult for you to keep track of records. If it is your first time using the software, it is recommended to begin with 2-3 trades. In case you have somewhat experience in crypto trading, you can try 5 trades. If you are a professional trader, you can trade as many as you want at once as long as you see fit.
5. Set Stop Loss and Take Profit Levels
Setting the proper stop loss alongside taking profit levels are quite important when trading with automated crypto software.
In case your trade goes wrong, the stop loss level can help you save money. It is recommended to set your stop loss level at no over 70%. Meaning, if your trade goes wrong, you can save at least 30% of the initial investment.
Conclusion
You can see that all the tips for improving your automated crypto trading are very simple. All you need to do is to follow them, and you will have a great chance of making winning tons of trades.
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