Tag: trading

All trading related articles are found here. Educative, informative and written clearly.

EToro or Tradeo, That Is The Question?
We made a comparison

4 min read

***eToro USA LCC does not offer CFDs, only real Crypto assets available

eToro and Tradeo? It is very hard to make a decision about which broker suits you when you want to start trading or investing in cryptocurrencies. You can find a lot of offers but whom to trust? And that is the most powerful weapon in your hands. Freedom to check all of them. I suggest testing everyone who has a demo account.

OK, not exactly all, but let’s say the first 5 on the radar. In intention to help you, we will try to make a comparison between the brokers, eToro and Tradeo.

When you are reading reviews about both, you will find that both are reliable. But there are some PROS and CONS on both sides.

ABOUT Etoro and Tradeo

EToro is one of the largest currency trading companies operating currently in global financial markets. Forex eToro was established in 2007, its headquarters are located in Limassol (Cyprus) and this broker is a Cyprus Licensed and registered investment company.

Tradeo (registered in Cyprus) is not, strictly speaking, a broker in its own right, but a partner of FXGlobe Ltd, who are the actual providers of the brokerage services obtained through the Tradeo platform. They’re an STP brokerage (not a market maker), which means they don’t trade against you.

EToro is a leading social trading platform and takes advantage of the most advanced tools, advice, and support by top professionals.

Tradeo is not the first social trading platform, but they are one of the newest and most heavily invested in the social trading concept as the new wave of Forex’s future.

The fact that eToro has over 5 million users shows that their idea of social trading found it, enthusiasts, globally.
But Tradeo is one of the first trading platforms around that have fully integrated both trade execution and social trading functionality into the same interface.

After we were testing eToro and Tradeo with a smaller real account, we have some experience to share with you. So, let’s start!

Features

our preferred trading platform system is designed to be as user-friendly and transparent as possible. Terms are carefully explained, tutorials are readily available, and policies are straightforward.

Tradeo combines social trading with an advanced, synergistic trading platform, a platform that fully integrates both social and trade execution within the same visual interface.

eToro and Tradeo have enjoyable web and mobile trading platforms and good social trading experience.
To open a real account on eToro, the amount you need to deposit vary across countries and with Tradeo it is €100 but both have free accounts. Tradeo wins this round.

On Tradeo signing up is easier since only one sign up is required.

We have to say that social trading as a form of trading has been largely confined to platforms like eToro or ZuluTrade. That was the case until the introduction of Tradeo’s social trading network, which gave social traders an alternative social platform to trade on.

The eToro ‘Copy Portfolio’ platform allows traders to copy what they refer to as Popular Investors. By following the trends and decisions of experienced traders, newcomers can make a profit without having to learn all the complexities involved. (Also, through the eToro trade copier venue, popular investors are rewarded for sharing their expertise, making this market an effortless second income for veteran traders.)

But Tradeo went a step further. You can follow experienced traders on Tradeo too. One of the unique features of the Tradeo social trading platform is that additional commentary is provided that explains the strategic moves of one’s choice of partner. In other words, a trader may learn as he/she goes along with each mirrored trade. They can chat directly, just like Facebook, with traders that have a wall where they can see what your “friends” are doing. Automatic stop-losses may also be set for added protection.

EToro and Tradeo both have a fast and seamless account opening process, as we already said a bit simpler on Tradeo.

SUPPORT SERVICE

our preferred trading platform support service is not available 24/7 and traders have many difficulties to contact acc officers especially if they don’t live in the same time zone. EToro doesn’t provide live chat (you have to fill the ticket and wait for an answer but not too long) and it is a problem for some traders.

Tradeo highlights its reliability is the quality of their customer support service. To provide their clients with unfettered access to the support services, Tradeo has made their support services available on a 24 hours basis. This means regardless of the time of day, a trader can always request assistance from the support staff at Tradeo. Access to their support services is enhanced by the fact that traders can communicate with the support team through email, live chat, or the telephone.

Both offer multilingual communication.

Free demo account

Both have unlimited FREE DEMO ACCOUNTS. EToro with $100,000 paper money and Tradeo with $50,000 paper money.

76% of retail investor accounts lose money when trading CFDs with this provider. You should consider
whether you can afford to take the high risk of losing your money.

eToro and Tradeo platforms are easy to use and the withdrawal process is fast (account opening is completely hassle-free and super fast).

Both brokers have acc managers who are a real asset and always available, along with great info, but eToro doesn’t provide live chat.

But something has to be NOT GOOD 🙂

our preferred trading platform CONS:
1. Their spreads are slightly more than with most other brokers and their trading platform isn’t as advanced as offered by other brokers.
2. The data eToro provides is not completely transparent.
3. You cannot download or view the full trading history of the traders you may want to copy and the performance statistics only go back for 1 year.
4. The disclosed deadlines are long and you should expect them to be even longer than it is disclosed (instead 5 you can wait up to 10 days)
5. Does not accept Bitcoin deposits/withdrawals
6. Limited cryptocurrency listings
7. No live chat with customers according to testimonials
8. The financial offices are not located in different time zones, which makes communication difficult for the customers
Tradeo’s CONS:
1. Only One Account
2. Limited Payment Options
3. Currently not so developed community
4. High spreads
5. There is a slim column at the bottom of the page for opening an account somewhat slightly annoying. It pops up on almost every page and often interferes with the rest of the information posted there.
6. Salespeople can be pushy
7. The company refrains from publishing exemplary spreads – customers with an interest in this matter must ask support for a current listing.
We recommend you to read this too: How to find and use the best online stocks trading platforms?

IMPORTANT BENEFITS of eToro and Tradeo

Tradeo has a Live stream of trading signals that allows you to view what other traders are buying and selling in real-time and also Live market notification that keeps up-to-date with market movements and improves your trading decisions.

Tradeo has Social WebTrader, an advanced trading platform, layered with social data such as technical indicators and analysis, social charts, one-click trading, free trading signals. And there is one feature that makes the Tradeo’s social chart a little special: Real sentiment and volume indicators which may be switched on or off at any time. This is true data showing where the majority of Tradeo’s clients have their positions on any given currency pair, and how much is being traded through the brokerage. These can be powerful tools for traders who know how to use them.

our preferred trading platform Social Trading features are by large the most evolved in the field.

All traders have a public profile, which can be freely viewed, where several data of past performances can be found. Everyone can follow everyone else, just like all trades can be replicated. Even someone who has never manually opened a trade, by simply replicating other’s trades, can be copied (maybe even you, one day).
Even though it has been improved since the users’ performance view is still not at the same level as the other companies in the field.

But let the traders speak for themselves. Here are some testimonies.

They said about eToro:

* EToro is simply the best and easy to use for newcomers. There is a difference between losing because you made the wrong decisions and a poor site. Most of the comments on this site tell me more about a poor loser than eToro.
* It is the worst platform I came across, freezes 2-6 hours every week during peak times.
* Poor execution (always 8-10 pip delay for execution on top of spreads). You cannot do market orders and have to wait to manually open trades and when you open you lose out 8-10 pips due to poor execution. There is no trailing stops either.
* It seems pretty impossible to reach a customer service representative.

They said about Tradeo:

* I was heavily scammed by Banc de Binary. I won them finally but without help of Tradeo I would not have done it. Guys from Tradeo told me one thing that no regular trader knows. Regulated brokers are not allowed to give signals. That is strictly prohibited in terms of licence but however they do it. That was the main reason I got a positive decision from the Ombudsman of Cyprus and even after that it took about half a year of fight to get my money back. I highly recommend Tradeo as a reliable broker.
* I started with Tradeo 2 months ago. Since then I had really good support. I like the social features and that you can copy other traders. Of course it is not always 100 % profits, but it far better results than if I was trading on my own. I made withdraw 1 week ago and 3 days after I received it without fees. So based on my experience till now I recommend Tradeo both hands.
* I am very satisfied with the attention. Complete users expectation. I received good bases to use the platform, good explanations and customer support. Fast transactions every time I wanted to withdraw money. Highly recommended!
* I got insulted by their sales people after repeating call because I was not interested after testing the demo.

FINAL WORDS

eToro would have scored higher if it was listed on a stock exchange or provided more transparency about its financials. Based on our research and testing we think eToro is not a scam, it is an honest business with regular operation problems. And we hope they will solve them.

Tradeo is one of the better ‘trading platforms’ in terms of social interaction features offered. Wonderful for beginners. Hence Tradeo is more suited to active traders who enjoy engaging with others than passive investors who just want to copy other traders without monitoring their positions.

We hope that this article was helpful to you. If it is that case, feel free to share it with others.

You might like to know Why Are There People Who Profit In Trading?

ETORO DISCLAIMER:

eToro is a multi-asset platform which offers both investing in stocks and cryptoassets, as well as trading CFDs.

Please note that CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.

Past performance is not an indication of future results. Trading history presented is less than 5 complete years and may not suffice as basis for investment decision.

Copy Trading does not amount to investment advice. The value of your investments may go up or down.
Your capital is at risk.

Don’t invest unless you’re prepared to lose all the money you invest. This is a high-risk investment and
you should not expect to be protected if something goes wrong. Take 2 mins to learn more

eToro USA LLC does not offer CFDs and makes no representation and assumes no liability as to the accuracy or completeness of the content of this publication, which has been prepared by our partner utilizing publicly available non-entity specific information about eToro.
29th June 2018
Why Are There People Who Profit In Trading?
Are They Smarter Than You? Be one of 8 percent.

3 min read

Each of us would like to be successful in what he is doing. It’s natural. Each one of us has asked himself several times in life: Why some person is successful and someone is not?

There is a study by the University of Scranton (Pennsylvania, United States) that says that only 8 out of 100 people manage to achieve their goals. I believe that every one of us, at least once in life, has found her/himself among these 8%.

If you are not satisfied with your success, look at what successful people are doing.

The difference between successful and unsuccessful people is reduced to the difference in their habits.

Eh .. now! Let’s talk about whether successful traders are smarter than us.

Why are there people who profit in trading?

You were thinking about becoming a currency trader, but are you discouraged at the very beginning by the fact that you are not sufficiently educated in the field of finance?

Or you think that you simply can’t be a successful trader if you don’t have previous experience in working in finance?

If you think that way, you are wrong!

On the market exists and successfully works a huge number of people without formal financial education, who started off without a big initial capital, and also did not work in a team of analysts like banks such as Goldman Sachs.

People who profit in trading

If we analyze entrepreneurs as people who have gathered the courage to enter the raw world of capitalism on one side and traders who independently trade currencies on the other, we will find plenty of similarities between them. Both of them invested their money and took the risk of their actions. From this point of view, for the people who profit in trading, trade is just one type of business, not a gamble or betting. As in any other business, in order to achieve maximum profit, it is necessary to possess certain skills.

The skills of successful traders

First of all, I want to remind you that real traders do not start from the idea that they can become millionaires overnight, but from the idea of securing a stable and regular income. Sustainability and consistency are key factors in this business. Therefore, certain rules should be followed:
1. Define a trading system
Under the trading system, we mean a set of rules that you must respect when opening/closing a position. Whether you get to the right system through a series of unsuccessful attempts and a random hit, or you will use some of the existing systems and recommendations for creating a trading system, it’s your own decision. The advantage of creating your own system is that you can adapt it to your own needs, your personality and psychological characteristics. However, if you move “from scratch” this job will cost you a lot of time and money. Instead, the advantage of using a “borrowed” system lies in the fact that your adaptation and adjustment to your needs will cost you considerably less.
1. Basically, everything is hard work
I’m sure you have been in a situation to hear comments that the trader’s job is exactly what one wants to do. You do not have a strict job or working hours, you can work from anywhere in the world, you can be on the beach, have a cocktail and trade, or in a Jacuzzi in a magnificent hotel. You only need a laptop or smartphone with an internet connection. However, there is also the other side of the medal, and it is the mental effort that needs to be invested in this business so that it can be profitable. You will rarely be able to read about it. Remember that success is hard and hard to succeed. Work, discipline and patience. That’s what’s needed. That’s what’s worth. Hard work and sacrifice. Without it, there is no profit. Cocktails on the beach are just great commercials.
1. A set of skills
Trade was never a prediction game. First of all, nobody knows what will happen in the future. The currency trade can be somewhat comparable to the game of imitation. Your job is to monitor, monitor, monitor, analyze, and try to identify the psychology and way of thinking of the main participants in the market. Traders follow the movement, but they don’t deal with predicting the future.

To succeed, you will have to learn to think differently from most people. The vast majority (over 90%) represent a group of people known as “losers”. Moreover, to win, you need to know more than 90% of others. It’s not easy, but it’s feasible.

Avoid these mistakes

Three most common mistakes that traders make are:

The first mistake, they don’t test their forex trading strategy. They find a strategy somewhere and decide that this system is right for them and start trading with real money with the help of it. Unfortunately, even if the system is profitable, for new dealers is very difficult to make intelligent decisions in trading if they have not tested the system for themselves before.

Another mistake made by traders is that when they have a closed-to-minus trade or a few failed trading, they are leaving the current strategy and looking for “better.” This is related to the above mentioned first mistake. If you’ve proved to yourself that the strategy is profitable, then why should you ask for another method? The fact is that every system or strategy will have trades closed in the minus. This is something that is normal to happen and just because it happened does not mean that you have to change the strategy!

The most common mistake

The third mistake and it is very common for many traders, is to risk too much in the trade. They have read about the strategy and feel that they have understood it fully and then jump into the market by risking 10 or more percent of their account in the hope that they will get a lot of money and earn a lot. To repeat, Forex trading does not work that way. Imagine yourself and your emotions that you would spend to lose 10% of your order in a single trade.

Also, for the psychology of trading, the following is also of great importance:

– Monitor the global trend
– Don’t run for profit/loss ratio
– Replace the strategy
– Change focus
– Reverse the direction of trade
– Consecutive trading
– Lack of evaluation of the plan and strategy

And learn. Continuous learning is a habit of success. Even when you are tracking successful traders, you actually learn from them. Hence, that’s how you will become one of the people who profit in trading.

You would like to read Forex Trading – Simple Tricks to Master it

Risk Disclosure (read carefully!)
29th June 2018
Just 5 F***ing Minutes In Trading To Find What BS Is

Start with a small amount if you do not have a lot of money.
Stop on what you consider to be the last stop.

2 min read

These are the best trading tips you’ll ever get. Remember this:

* When the market is sinking rapidly – buy.
* But when it rises, place a stop order at the price of the purchase.
* Each time the value rises to $100, move the stop for $100. Follow the trend. Every time you move your stop, it protects your profit. Follow the trend until the momentum is lost or until everything is reversed.
* Do not try to predict the climax. Continue moving the stop order point.
* Stop on what you consider to be the last stop.

So, you want to enter the crypto-trading? You do not want some small 10% ROI after a year on a regular old stock market because it’s for grandparents and old people. Or you want to quit your business with a middle finger and immediately start trading cryptos. Okay!

Maybe it’s your dream to become Gordon “greed is good” Gekko, or Jordan Belfort, a Wolf from Wall Street? Or you may want to blow up and do not want anything less than a yacht, a villa and a girl in a bikini scrambling around one of your pools. All this and even more FULLY can be yours! Find how HERE

Are you ready to turn your dreams into reality?

Cryptocurrencies have some of the best ROI in history (ROI = return on investment) and you have a great opportunity to earn good money.

How to make money with cryptos?

Stories like “… I invested all my money in Ethereum (and so are all my friends) …” they are fun at some level (students can afford some risks because if they lose everything they will have a lot of remaining life to recover later).

On the Internet, you could read the announcement of a person who pawned his car because he wanted to enter the “shit coin pump” where traders gather and buy like crazy to inflate a collapse of crypto. Before it falls on idiots. Of course, he lost all the cryptos and his wife kicked him out. This is not good and you do not want to be that guy.

FIRST QUESTION

“Do you have enough money to invest?”, is the first thing you need to ask yourself because if you have extra money, you would be surprised what you can do with it.

Start with a small amount if you do not have a lot of money. Careful. You should only invest money that you can afford to lose.

Of course, nothing stops you to take a loan, sell a cottage, another apartment, a wife’s car, something that you do not need anyway. It will be hard not to make money. The crypto will not disappear as the Internet has not disappeared.

SECOND QUESTION

“Are you a buy-and-keep, or a trader?” This is the second question that you need to ask yourself when trading with crypto. Because these are two completely different things.

Simply, just buy and keep is the right strategy for most people. You should get some of the famous cryptos like Bitcoin, Litecoin, or Ethereum, put them in cold storage and forget about them. Do not read the news and do not worry about wild swings or predictions of a collapse from the ”yellow” press.

But if you want to trade cryptos, this is something else, because that means looking for information on how to enter and exit the market. We recommend you to do some research before you accidentally select some cryptos and look at their charts because otherwise you will trade blindly and you don’t want that. The rules of the game are basic, but it’s important to remember:

Buy cheap, sell more expensive!

There are two parts: earning money and keeping! Most people fall and burn in the second part because everyone earns money and then immediately invests it further. Trading with crypto is like a golden fever! You are like the conqueror of new territories.

You enjoy the excitement that is better than sex.

However, it is brutal in the days when you are losing. You will lose money, friends, hair, you will be unsatisfied, angry, depressed and distracted. Remember, you play against the maniac and sadistic “mind” of the market, and against yourself. Your system of belief, emotion, and mental power works against you. Markets and people are not rational. First of all, we all have partial information like in the fog, because the information isn’t near evenly distributed. We all have different degrees of ability to process this information, which means that we are all at some point stupid. We all own distorted mental heuristics and a stupid system of belief.

Being “right” when you are actually wrong is a great way to lose your money.

The reasons why new traders are losing are:

a) They trade without edge, in other words – they are gambling
b) Also, they are trading on a lot
c) And they’re trading low-value things

Trading with crypto is like juggling with a cobra! So if you’re not a professional trader, do not do these things. Crypto markets are moving at the speed of video games and you can easily lose money.

Does this mean you should not trade cryptos? It’s not about it. We enjoy trading!

You should too!

Risk Disclosure (read carefully!)

28th June 2018
Trading Or Investing – What’s Better Strategy?

Understand the differences between trading and investing to be able to choose your strategy for approaching the stock market

By Guy Avtalyon

Trading or investing? Actually they are two very different strategies of trying to profit in the financial markets. The goal of investing is to continuously build wealth over a long time through the buying and holding of a portfolio of stocks, mutual funds, bonds, and other investment products.
Investors usually increase their profits through compounding or reinvesting any profits and dividends into new stocks

Trading versus Investing

Investments are usually kept for years, sometimes even decades. There are many advantages to investing for a long time, for example, interest, dividends, can give profits also. Investors are more concerned with market fundamentals, such as price/earnings ratios and management predictions.

On the other hand, trading involves the more frequent buying and selling of stock, commodities, currency pairs, or other, with the goal of generating returns that outperform buy-and-hold investing. Trading profits are generated by buying at a lower price and selling at a higher price within a short period of time. But, trading profits are made also by selling at a higher price and buying to cover at a lower price (known as “selling short”) to profit in falling markets.

For traders, the stock price action is more important. If the selling price goes up, they will usually want to sell the stocks they hold. Trading is more the art of right timing while investing is the ability to create wealth by increasing interest, plus dividends over the years. Investors’goal is to keep excellent stocks in the market. Trading will give you a chance to profit on short-term market movements.

Investing means to hold stocks for a longer time, longer than 5 years, for example. But some investors hold their excellent stocks for decades and sometimes they are the part of the inheritance.

Stock investor versus stock trader

Stock traders and stock investors approach the stock market with the same objective but use different modus operandi. But stock investor tries to achieve this through a single transaction, whereas the stock trader chooses multiple transactions but in quick succession. The stock investor just buys and holds while the stock trader buys and sells stocks on a continuous basis.

Select stocks for investment

Stock investors are very patient and have the tendency to hold stocks until the market realizes their actual worth.

Stock traders are simply concerned about the price movement and they are ready to buy an overvalued stock if the price movement suggests so. They are least worried about the valuation of the stock.

Trading tools for trading and investing

Stock investors rely on fundamental analysis for identifying investment avenues. They utilize top-down and bottoms-up approach together with ratio analysis for stock selection.

Stock traders employ technical analysis to maximize their returns. They are concerned about past and current price movements.

Different market niche

Stock investors pay more attention to taking dividends payments while traders never or rarely pay attention to dividends. This limitation makes the derivative market more suitable for traders and the cash market for investors.

Why you have to know all of this?

You have to know, to recognize, your own psychology before entering the market. To find which of this technique suits you better. Identifying your personality will enable you to employ the right tools and techniques to be a winner.

If you are comfy with speculation, be a trader, and if you are a hunker, choose to be an investor.

27th June 2018
Crypto is at Risk In Korea!

1 min read

Crypto is at risk in Korea.

What excited the audience most is the information that one of an employee of Bitkoex, an exchange launched in May, posted information on how much of the Karma (KRM) cryptocurrency was held by 19 users on the platform in a social media chat last Friday.

The leaked message contained the email addresses associated with the users as well as the wallet addresses and private keys to the KRM token in their accounts. This could allow anyone with the information to access the assets, according to a report from CoinDesk Korea.

Those users hold 750 million won, or around $620,000, the report said.

Later, Bitkoex said the employee posted the message by accident and the exchange has moved the exposed assets to a cold wallet. That means that information about them is not accessible through the internet. The company claimed no assets have been lost. This is not the first time that user information had been leaked from a Korean crypto exchange.

CoinDesk, previously reported, the computer of an employee from Bithumb, was hacked earlier last year.

On Monday, June 25th, the country’s Ministry of Science and ICT inspected the information security level of 21 crypto exchanges in South Korea from January to March and confirmed that most companies have security vulnerabilities.

Just last week, Bithumb said, that around $31 million in cryptocurrency was stolen by hackers from the platform.

But, it is obvious, that is not the reason why Crypto is at risk in Korea.

Update 5/30/2019

South Korea’s major currency exchange Bithumb has properly started an over-the-counter (OTC) trading desk under the Ortus brand, according to a press release published on Feb. 7 this year.

Moreover, South Korea is a hotspot for cryptocurrencies.

A survey announced on April 20 by the Korea Financial Investment Association reveals that the ordinary cryptocurrency trader in that country has grown their crypto holdings by 64.2% in the last year.

26th June 2018
Do You Need A Broker To Trade Crypto?

Read to the end.

By Guy Avtalyon

Do you need a broker to trade crypto?

Nowadays, everything revolves around Bitcoin and cryptos. Due to the exponential increase in the price of most cryptos, an increasing number of people are considering how they can profit from it. So far, you’ve only been watching from the side of the other, watching others fill their pockets … it’s certainly an unpleasant feeling. It’s time for you to start trading!

When you first start taking an interest in cryptocurrency you may think you are so lost in this huge sea of unknowns.

Do you know how does the cryptocurrency market work? FIND HERE

Where do you start? What are the useful keywords to look up and keep in mind? What are the available helpful resources?

The question: Do I need a broker to trade crypto is the mother of all questions.

To whom I can trust is the main and most powerful weapon when you have to choose the way to trade crypto.
Over time, many have proven themselves to be scammers, and people lost trust. But you still have wonderful platforms. So, the answer is:

No, you DO NOT need a broker to trade crypto.

And of course, you may trade bitcoins with anyone without having to pay fees to a centralized exchange. True is that you don’t need any kind of mediator or agent between you and the crypto seller. I think the big advantage of bitcoin is no middle man.

You don’t need a broker to trade crypto

All you have to do is to use one of the trading platforms’ equipment with very good software. And there are scores of trading platforms. Powerful, to which you can trust.

The most common place where people buy and trade cryptocurrency is on the exchanges. Those are places where you may buy and sell your crypto, using fiat. There are multiple measures to judge the reliability and quality of an exchange, such as liquidity, spread, fees, purchase and withdrawal limits, trading volume, security, insurance, user-friendliness.

The first thing you really need is access to the “marketplace” from where to buy these cryptocurrencies. In other words, if you want to trade cryptocurrency you need:

1) cryptocurrency wallet
2) cryptocurrency exchange to trade on.

Simple as that.

Choose some respectable exchange and follow instructions. It mostly comes down to the following. After setting up an intermediary bank account and verifying your details, you are only five simple steps away from a Bitcoin purchase:

1) Access the ‘Buy/Sell Bitcoin’ tab
2) Select the payment method using the drop-down menu
3) Enter the desired amount
4) Click ‘Buy Bitcoin Instantly.’
5) View your credited Bitcoins on your dashboard

This process sometimes should be repeated several times.

But it’s worth it in the end. Of course, it isn’t without any fees but fees are much lower than if you use a broker.

If you’re interested in trading Bitcoin then you have a broad range of cryptocurrency exchanges from where to choose. But first make sure the exchange you pick accept fiat deposit so you can buy Bitcoin directly with your fiat money (US Dollar, Euros, etc.). Secondly, you want to make sure your preferred cryptocurrency is listed on the exchange. The most popular Crypto Exchange is CoinBase. But you can also use GDAX, BitFinex, Wirex, Binance, Coinmama, Bitpanda, or similar.

If you want a bunch of fancy tools with which you can buy and sell cryptocurrencies you’ll want to use one of the exchanges that offer you a large variety of order types.

An important factor when deciding your preferred cryptocurrency exchange is to research it thoughtfully and also listen to other user reviews and experiences.

So, the answer to the question is – NO!

If you want to invest in cryptocurrency, and not just buy/sell/trade, then you have a few options:
a) New investors can choose an exchange to buy coins on and a wallet to store the coins in.
b) An exchange-broker-wallet hybrid that allows customers to buy/sell/store cryptocurrency or some else options which I don’t want to recommend one until I reviewed them.

But that is a completely different story.

24th June 2018
A Trading Portfolio Should Look Like…

Take a big breath and a pencil.

2 min read

Everyone has dreams about how the good life should look like. But it, besides earning enough money, it is necessary to build an investment or trading portfolio. Especially if you want to invest or trade cryptos.

Before you begin building your complete financial portfolio you have to be calm and reasonable.

Take a big breath and a pencil.

The whole process of building a trading portfolio should be done in SEVERAL STEPS:

STEP 1: Define why do you want to invest or trade. Your purpose is very personal. If you thought saving and investing meant the same thing, you were wrong. Savings are the unutilized part of your income. Only when you put your savings partially or entirely into an investment instrument, it qualifies as an investment.

STEP 2: Be realistic about your appetite for risk. Most of us know how much we have saved to date but very few of us have a realistic understanding of how much risk we’re willing to take on to achieve our financial goals. Your risk appetite will depend on your age and financial responsibilities.

Young investors are under enormous stress! READ MORE

STEP 3: Understand the relationship between risk and return. Risk and return are directly proportional to each other. Higher the risk involved, higher is the return and vice versa. For example, you have promises higher returns compared to fixed deposits, but it also comes with a relatively higher risk.

Step by step to the trading portfolio

STEP 4: Create a contingency fund. Honestly speaking, this has to be the first. Before you invest or trade anywhere, you must create a contingency fund for those rainy days. A contingency fund worth six months of your current income is good enough to keep you from dipping into your investment funds.

STEP 5: “If you don’t know where you’re going, you’ll miss it every time.” – baseball philosopher, Yogi Berra. That means, you know your purpose for investing, but do you know what it will cost to achieve that purpose.

STEP 6: Invest with a plan. The most successful portfolios are assembled based on a solid understanding of the fundamentals of the individual securities that comprise the portfolio. The trading portfolio should also factor risk tolerance into the balancing discussion.

STEP 7: Give it time. While there may be some investment choices that you hold for shorter periods of time than others, overall, maintaining the long view should deliver consistently positive returns.

And general advice while building a trading portfolio: TRY NOT TO BE OBSESSED!

Markets can be volatile from day to day, even month-to-month, never mind hour-to-hour especially the market of cryptocurrencies. But over longer periods of time, volatility subsides. Build your portfolio and let it run.

Checking the market every 15 minutes or so won’t affect your portfolio, but it will affect your sanity.

When a lot of people think of investing or trading, they imagine painstakingly picking individual stocks, tracking their daily performance and constantly buying and selling. This may be good and interesting for TV shows or movies. But in real life it is agony.

All you need to do is pick a couple of funds that attempt to mimic the total market’s behavior, and, for the most part, leave them alone for 5 or 10 years. It’s very simple, and it’s something everyone can and should do. In fact, it’s one of the best ways to effortlessly build wealth in the long term.

There are more cryptos to the market and a good portfolio will usually include a few different types of investments.

Are there any differences among trading portfolios for different assets?

But when we are speaking about the trading portfolio, the principle is the same for cryptos and stocks: suitability, balancing different sectors and fund/crypto types.

You can build a cryptocurrency portfolio using a risk-reward formula if that is acceptable to you. You are that one who has to decide how much risk you want to take on and that should influence which coins you invest in.

Recommendation is keeping at least 50% of your portfolio in safe-ish coins like Bitcoin, Ethereum, Litecoin, Icoin.

When building your own cryptocurrency portfolio you should not simply copy mine, always do your own research and decide which coins you can be excited about. Crucially, the entry point is very important and I entered many of these coins months ago when they were cheaper, there may be better buys out there right now. Buying more coins to expand your cryptocurrency portfolio is a smart idea.

Diversify trading portfolio

The more you diversify, the better your chance of hitting a coin that flies to the moon.

To properly expand your portfolio, you will need to join a trading platform, some of the largest and most trusted trading platforms which list a wide selection of decent coins.

Once you have your BTC in place on a cryptocurrency exchange, you can then expand your portfolio and buy other coins.

How to structure your stock portfolio? HERE IS THE ANSWER

24th June 2018