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RE: The Anticipation of Sentiment

in LeoFinance3 years ago (edited)

I tend to see large swings, both up and down as opportunity, or if I may, a "delta strategy".

Once you realize that any asset can lose 10% a day, every day to eternity, it starts to make more sense. Coin at 100 minus 10%, now 90 minus 10%, now 81... to infinity.

If you invest using this delta strategy, you can, even with any fixed amount, buy infinitely and sell infinitely. And oddly, you celebrate every single move, the larger the better.

Of course without knowing what you're buying, negates the value of any strategy.

I do this, not to get rich, or claim I have any special technique, insight or skill. I just love overlaying philosophy, maths and such, on top, as a curious exercise.. it's intriguing.

In philosophy I was exposed to the idea: If you can always go half way to your destination, then from that half way point, go another half way, and from there another half way. Then, in philosophical terms, one could prove you can never reach your destination, or any destination. Don't remember the philosopher that proposed this, as it's been a very long time, but.. hmmm, interesting.

And math... Y axis price levels that are linear... bahhhh.... at least try logarithmic, then change your indicators logarithmic.. getting there..

Now quick, think, Why does a mirror flip your image left to right, but not up to down? This has an answer, but that's not the point. It's the ability to analyze... fast and variant. Does it make you a more successful investor? No, but it sure as heck subtracts emotion, forcing the brain into logical paradoxes to fend off emotion. Less or no emotion, then theoretically, stress free investing.. yay!... while you go broke! Double Yay! lol

Whoops, meant to comment and got all loquacious. Ask me the time and I'll give you the history of the watch.

@tarazkp always a thought provoking post from you.

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If you invest using this delta strategy, you can, even with any fixed amount, buy infinitely and sell infinitely.

Exactly - it is just that the "volume" of token is going to change - which scares a lot of people as value increases.

I do this, not to get rich, or claim I have any special technique, insight or skill. I just love overlaying philosophy, maths and such, on top, as a curious exercise.. it's intriguing.

I think this is another reason that attracts people to be active in crypto - it has a philosophy to it - many philosophies...

A really interesting comment - thanks. And the Australian in me is glad you call it "maths" ;D