Trading with leverage is surprisingly simple for something that is so risky, but some exchanges have actually simplified the concept even further by creating leveraged tokens. A leveraged token is just another way of amplifying risk but without having to provide collateral or consider margin levels. The price movement is simply magnified at an agreed… Continue reading Leveraged Tokens
Month: September 2022
What is trading cryptocurrency with leverage?
Leverage works through a cryptocurrency exchange or brokerage granting you the right to trade positions that are multiples of your trading capital. You might for example have $1,000 of trading capital. If you executed a regular (non leveraged) trade that realised a 10% gain you would make $100 (1,000*0.10) and end up with $1,100. If… Continue reading What is trading cryptocurrency with leverage?
Trading with Leverage
What you’ll learn What is leveraged trading An example leveraged trade Leveraged tokens The risks of leveraged trading Trading cryptocurrency involves risk. There is no way to sugar-coat that message. Its riskiness is actually what attracts a lot of traders. Prices move significant amounts over very short periods of time, and traders see that volatility… Continue reading Trading with Leverage
Basic Rules for Drawing Patterns
Though there are common chart patterns, the Trading tool won’t identify them for you, so you need to learn how to identify them yourself. As you can see from the cheat-sheet Continuation and Neutral patterns are symmetrical in terms of the price points that contribute to the pattern formation. They suggest that a significant price… Continue reading Basic Rules for Drawing Patterns
Price Chart Patterns
Technical analysis becomes more complex when you start looking for standard patterns within the price chart, or to annotate your own interpretation of price and volume movement. The idea is to identify patterns that are considered to have a proven correlation to a specific price move, based on whether price moves below support or above… Continue reading Price Chart Patterns
Technical Indicators
As mentioned, standard trading tools are jam-packed with Technical Indicators which are available via a simple drop-down menu. Tradeview boasts over 100 as standard, so as mentioned you need to first decide what sort of trader you are, where you think you can find an edge, and apply the relevant indicators, rather than being led… Continue reading Technical Indicators
Built-In Chart Tools
Trading tools like Tradingview can be thought of a bit like Excel. Their job is to do as much of the heavy lifting of analysis, applying defined statistical measures and indicators, but leaving you with the crucial challenge of understanding their relevance to future price movement. The range of indicators and ways of filtering price… Continue reading Built-In Chart Tools
How to read crypto trading charts & patterns
What you’ll learn An overview charting tools Introduction to chart patterns An example of a Pennant formation How to crowdsource chart resources If you’ve followed the sequence of our knowledge base articles, explaining how to trade crypto, you should be familiar with the concept of technical analysis. Technical Analysis uses crypto price history and volume – … Continue reading How to read crypto trading charts & patterns
Beyond Spot Trading
The purpose of this guide is to provide you with enough information to make your first cryptocurrency trade. It is intentionally simplistic because trading options are so wide and varied. As explained Spot Trading relates to the price on-the-spot. There is another dimension to trading called Derivatives. Derivatives enable you to trade on a derived… Continue reading Beyond Spot Trading
Converting BTC to another Cryptocurrency
At this point you’ve learned the simplest way to purchase Bitcoin with FIAT on Coinbase and Binance, using a Market Order. You’ve also explored a Classic Trading Interface on Binance that introduces more trading options, such as Limit Orders and the process for selling. As you now own Bitcoin you can use the “Convert” to… Continue reading Converting BTC to another Cryptocurrency