Trade Bitcoin Trading

Techniques of Setting Stop Loss BTCUSD Orders in Bitcoin Trading

A trader can also place set stop loss & take profit bitcoin orders according to the indicators used to set these set stoploss order & take profit bitcoin orders. Certain indicators use mathematical equations to calculate where the set stop loss bitcoin order and take profit bitcoin order - these bitcoin trading should be set so as to provide an optimal exit point for trades. These bitcoin crypto currency technical indicators can be used as the basis for setting these set stop loss bitcoin orders & take profit bitcoin trade orders.

Other traders also place these set stop loss bitcoin orders & take profit bitcoin orders according to a predetermined risk to reward ratio specified in their bitcoin strategy. This method of setting stop loss & take profit order depends upon certain mathematical equations. For example, a ratio of 20 pips bitcoin stop loss can be used by a trader if the bitcoin trade has the potential to make 60 pips in bitcoin profit: this is a risk reward ratio of 3:1

Other traders just use a predetermined risk % calculation of their total bitcoin equity balance.

To set stop loss bitcoin orders & take profit bitcoin orders in bitcoin trading it's better to use one of the following techniques:

Trading Bitcoin Calculate Stop Loss Bitcoin Order & TP Bitcoin Order in Bitcoin Trading

This method is based on the percentage of bitcoin account balance that the trader is willing to risk and the risk : reward ratio.

If one is willing to risk 2 percent of bitcoin account balance then the trader determines how far he will set the stop loss bitcoin order level based on the bitcoin trade position size that he has bought or sold - the trader also uses the risk reward ratio to calculate where to set bitcoin take profit order for this bitcoin trade transaction.

Another method to set stop loss bitcoin order and take profit bitcoin order in bitcoin trading is to use supports and resistance levels on the bitcoin charts.

Given that stop loss bitcoin orders & take profit bitcoin orders tend to congregate at key support and resistance levels, when one of these levels is tested and touched by the bitcoin price, other bitcoin orders are set off. Stop loss bitcoin orders & take profit bitcoin orders tend to accumulate just above or below the resistance or support zones, respectively. Traders should use these support and resistance levels to set stop loss bitcoin orders & take profit bitcoin orders in bitcoin trading depending on which side of the bitcoin trade they are in.

A resistance or support level should be like a barrier for bitcoin price movement, this is why these resistance and support levels are used to set bitcoin stop losses and bitcoin take profits, if this bitcoin price barrier is breached the bitcoin price movement can move towards the opposite trend direction of original bitcoin trade, but if this barriers (support and resistance areas) aren't broken the bitcoin price will continue moving in the intended direction. This means that these support and resistance levels can be used as good points to set stoploss order bitcoin orders & take profit bitcoin orders in cryptocurrency trading.

Stop Loss Bitcoin Order & TP Bitcoin Order

Interpret Stop Loss Bitcoin Order & TP Bitcoin Order

Study More Tutorials and Lessons:

Forex Seminar Gala

Forex Seminar

Bitcoin Broker