Episode 2 On Money Management.
Topic.
Stop Loss.
Stop Loss is one of the essentially recommended tools in Bitcoin trading, many traders accounts that had been blown up over the years can be attributed to the inability in the use of stop loss in there trade, in a research my team conducted in combination with a poll on professional trader's, three things has been responsible for liquidation of many trading accounts,
1. Not using stop loss in trading and also inappropriate use of stop loss.
2. Unprofessional or outdated trading plan.
3. Diviating from your trading plan.
But stop loss tend to lead the list, so as a trader we must get addicted to the use of stop loss in all of our trade, as a brake pads in Tesla cars is essentially needed for a safe trip, Cars are always made to move forward but a brake is all applied to have a smooth ride and avoid accident.
The brake in Bitcoin trading is the stop loss that watches your trade for you, while the mentality of every trader is to make profit, the* brake pads is Needed to mitigate any eventuality that tries to negates your trade.
So my fellow Bitcoin trader we are on this journey for a long time, trading is our habit, is more of a lifestyle so take a minute while opening a trade and add a stop-loss on your trade today, and save-guard your account for the future. Cheers