The Beauty of Red Days

The Beauty of Red Days
                                                                  

Waking up to a bloody market can invoke one of two feelings. Extreme panic of profits loss, may come to mind. This is a novice feeling, and must be countered with appropriate knowledge and funds. To see the top 20 coins on coinmarketcap.com, all on a decline of various percentages is a little discouraging, especially if plans were made to withdraw. This is where proper chart reading and analysis comes in to play. Staying abreast on current events, is also another way of determining if the market will dip or fly or just remain moving sideways. Bitcoins flirted with just under $5000, and investors world wide pulled for profits. This is almost second nature, and you will develop these skills with more time in investing. Consider this the rookie stage. Of course you want to ball out, receive accolades, and vacation but there are still new moves to learn and master. Now selling on a red day is a HUGE mistake. Everything is circumstantial, but one never wants to rid a coin lower than the initial purchase. Lets dive into an example: Let's say a coin was purchased for $20.00. Three days later the coin dips to around $18.43. This is completely nonsensical to sell, due to no profit gain.

These exercises require patience more than any other trait, but a good way to counter this notion is to remember, If I don't plan on holding this coin for the duration of the year, I might want to pass on it. Emotions are a huge trigger when it comes to trading. Lets discuss the beauty from "Red Days". Imagine waking up and going to the outlet mall, assuming they aren't all closed down, for a nice trip with a friend. You enter the store and see Nike, Louis Vuitton, Tiffany, and Coach all out front with HUGE stickers in front of the establishment stating all products are 20% off. You may very well feel like this is the best day of your life. A 33% marked down Tiffany bracelet for your wife is almost an automatic buy assuming she loves jewelry. The same applies to the market. Do not be discouraged some of your assets are losing money, for this is the most opportune time to advertise and get more people to buy up the product at a lower price. Sometimes, these "Red Days", only last for a couple of days. If you can master your emotions, and develop your own personal purchasing algorithm with cryptocurrency, the future is very bright.

A good rule of thumb is to buy in on the red days, and sell some on good green days. Follow Warren Buffet's motorized advice, "invest when others are fearful, and sell when others are greedy." This 2017 Labor Day proved to be a good sell indeed. As investors worldwide perfect that digital portfolio to prep for Christmas, do not miss opportunities to get in where you fit in. I have spent the last two hours staring at market orders to see just how much money investors are shelling into OmiseGo (OMG). I admit, I purchased quite a few on sale, and I plan to hoard until Christmas. I hope you found motivation in today's passage, and more importantly I hope I have better situated you mentally for another game of money ball.

-Knotty