Buy or Sell?
Otherwise known as short (selling) or long (buying) in trading terminology we often come across this decision-making moment especially when we are trying to trade for the highest value of our cryptos.
Then we may already have read a basic and pretty easy to understand mantra that is saying "buy low and sell high" or when the market is bleeding hoard and when the market is gaining sell. Actually, those mentioned principles are true especially when you are in the long term investment. What goes down will eventually come higher then that is the time to materialize your profits.
Trading not Investing.
However, when you are day trading or even when you are swing trading it can be counter-productive for you. In fact, one of the first principles you need to learn when trading is that "You don't go against the trend". Yes, you can be right in saying that when the price is going up and you are betting against it, it will eventually come down. But when that time comes your trading account may already have been wiped out. The trend usually runs for a long time, days, weeks, and even months or years.
The MAEE Formula.
One of the more popular trading strategies is called the M.A.E.E formula M stands for Market Structure or the Trend, A is the Area of Value, E is the Entry Trigger, and the 2nd E for Exit Strategy. As you can see one of the very first things you need to determine is the Market Structure or the Trend. Which can be Bullish (buy), Bearish (sell) or in a Range (you wait or you can buy or sell). The term "the trend is your friend" is actually true when you are trading. You'll have more winning trades if you follow this, otherwise, if you're betting against the market you can be losing money in no time.
For more info, watch the video.
Here is one YouTube video which discusses this principle. If you're interested to make money with trading this video is worth your time watching.
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