In our previous article of trading tips, we highlighted a checklist to make better trades and also encouraged new and amateur traders to trade moderately to understand how they react in different situations before going deeper.
Here are some additional factors to make a better trade:
- Understanding the technology — There is no need to understand the technical complexities of the technology but a basic understanding of its fundamentals will aid you in deciphering signals within news and announcements that may help you predict future price movements. The technology is essentially a continuously growing list of secure records also known as blocks. Cryptography secures the interactions and then stores them publicly, serving as a public ledger and cutting out intermediaries.
- Technical analysis — Studying the historical price charts to identify telling patterns is the first step into technical analysis. History has a habit of repeating itself, if you can identify a similar pattern you may be able to predict price movements. Having such an edge will enable you to turn an intraday profit. For more details on identifying and using patterns, see our previous article.
- Choosing the right exchange — There are many factors to consider when choosing the exchange for you, such as apps & software, liquidity, token pairs, security and most importantly fees. Security and transparency with traders and projects alike, are equally important — which is what WOWX prioritises.
Why are fees one of the most important factors? Fees have a direct influence on your profits from trades, especially for a day trader who makes a high volume of trades, even a marginal difference in trade fees can easily become profits. After making a profit, the next most important thing is the ability to be able to use those profits which deposit and withdrawal fees play a huge part. Some exchange may have the best trade fees but they get their cut from high withdrawal fees. As for WOWX, there are also tiered trading fees which will benefit all traders.
At the end of the day, it brings back the importance of doing your own research before attempting any trades.
WOWX pre-sale runs from 1st March 2019 (6:00pm GMT+8) to 31st March 2019 (11:59am GMT+8). Don’t miss out on the presale bonus of 5%!
