Why take crypto profits when you can just set a stop order? Announcing the arrival of Valued...
Is it possible for SQL statements to execute concurrently within a single session in SQL Server?
Most bit efficient text communication method?
Did Deadpool rescue all of the X-Force?
ArcGIS Pro Python arcpy.CreatePersonalGDB_management
What was the first language to use conditional keywords?
Why is it faster to reheat something than it is to cook it?
Disembodied hand growing fangs
How do I use the new nonlinear finite element in Mathematica 12 for this equation?
Is there any word for a place full of confusion?
What is "gratricide"?
What does it mean that physics no longer uses mechanical models to describe phenomena?
What is a fractional matching?
Is grep documentation about ignoring case wrong, since it doesn't ignore case in filenames?
Why do we bend a book to keep it straight?
If Windows 7 doesn't support WSL, then what does Linux subsystem option mean?
Has negative voting ever been officially implemented in elections, or seriously proposed, or even studied?
Would the Life Transference spell be unbalanced if it ignored resistance and immunity?
Is a ledger board required if the side of my house is wood?
What is the topology associated with the algebras for the ultrafilter monad?
What's the meaning of "fortified infraction restraint"?
What is this clumpy 20-30cm high yellow-flowered plant?
Why does it sometimes sound good to play a grace note as a lead in to a note in a melody?
How does light 'choose' between wave and particle behaviour?
Crossing US/Canada Border for less than 24 hours
Why take crypto profits when you can just set a stop order?
Announcing the arrival of Valued Associate #679: Cesar Manara
Planned maintenance scheduled April 23, 2019 at 00:00UTC (8:00pm US/Eastern)
Frequently Answered Questions (by topic)
Can we remove “Strategies for earning more money” from the on-topic list?
.everyoneloves__top-leaderboard:empty,.everyoneloves__mid-leaderboard:empty,.everyoneloves__bot-mid-leaderboard:empty{ margin-bottom:0;
}
In such a volatile market as cryptocurrency, I have heard many people stress the importance of taking profits. For example, when a coin doubles in value, they sell 50% of their holding. This ensures profitability (if a coin goes up) but results in the investor missing the peak. I was wondering, could stop orders be better?
For example, if each time a coin goes up 10%, an investor sets a stop order at 90-95% of the present value. That way, there is no sale if it keeps going up, and if it plummets, it ensures that you sell it close to the peak (90-95% of it). I never read about something like this online. What are some flaws with this strategy / thinking?
cryptocurrency profitability
asked 5 hours ago
Nick SolonkoNick Solonko
111
New contributor
Nick Solonko is a new contributor to this site. Take care in asking for clarification, commenting, and answering.
Check out our Code of Conduct.
add a comment |
In such a volatile market as cryptocurrency, I have heard many people stress the importance of taking profits. For example, when a coin doubles in value, they sell 50% of their holding. This ensures profitability (if a coin goes up) but results in the investor missing the peak. I was wondering, could stop orders be better?
For example, if each time a coin goes up 10%, an investor sets a stop order at 90-95% of the present value. That way, there is no sale if it keeps going up, and if it plummets, it ensures that you sell it close to the peak (90-95% of it). I never read about something like this online. What are some flaws with this strategy / thinking?
cryptocurrency profitability
asked 5 hours ago
Nick SolonkoNick Solonko
111
New contributor
Nick Solonko is a new contributor to this site. Take care in asking for clarification, commenting, and answering.
Check out our Code of Conduct.
1
Use a trailing stop order though there's no guarantee that you'll get a fill at that price if it's a very volatile issue.
– Bob Baerker
5 hours ago
1
Why ever take any profit?
– quid
4 hours ago
add a comment |
In such a volatile market as cryptocurrency, I have heard many people stress the importance of taking profits. For example, when a coin doubles in value, they sell 50% of their holding. This ensures profitability (if a coin goes up) but results in the investor missing the peak. I was wondering, could stop orders be better?
For example, if each time a coin goes up 10%, an investor sets a stop order at 90-95% of the present value. That way, there is no sale if it keeps going up, and if it plummets, it ensures that you sell it close to the peak (90-95% of it). I never read about something like this online. What are some flaws with this strategy / thinking?
cryptocurrency profitability
asked 5 hours ago
Nick SolonkoNick Solonko
111
New contributor
Nick Solonko is a new contributor to this site. Take care in asking for clarification, commenting, and answering.
Check out our Code of Conduct.
In such a volatile market as cryptocurrency, I have heard many people stress the importance of taking profits. For example, when a coin doubles in value, they sell 50% of their holding. This ensures profitability (if a coin goes up) but results in the investor missing the peak. I was wondering, could stop orders be better?
For example, if each time a coin goes up 10%, an investor sets a stop order at 90-95% of the present value. That way, there is no sale if it keeps going up, and if it plummets, it ensures that you sell it close to the peak (90-95% of it). I never read about something like this online. What are some flaws with this strategy / thinking?
cryptocurrency profitability
cryptocurrency profitability
asked 5 hours ago
Nick SolonkoNick Solonko
111
New contributor
Nick Solonko is a new contributor to this site. Take care in asking for clarification, commenting, and answering.
Check out our Code of Conduct.
asked 5 hours ago
Nick SolonkoNick Solonko
111
New contributor
Nick Solonko is a new contributor to this site. Take care in asking for clarification, commenting, and answering.
Check out our Code of Conduct.
asked 5 hours ago
Nick SolonkoNick Solonko
111
New contributor
Nick Solonko is a new contributor to this site. Take care in asking for clarification, commenting, and answering.
Check out our Code of Conduct.
asked 5 hours ago
Nick SolonkoNick Solonko
111
asked 5 hours ago
Nick SolonkoNick Solonko
111
111
New contributor
Nick Solonko is a new contributor to this site. Take care in asking for clarification, commenting, and answering.
Check out our Code of Conduct.
New contributor
Nick Solonko is a new contributor to this site. Take care in asking for clarification, commenting, and answering.
Check out our Code of Conduct.
Nick Solonko is a new contributor to this site. Take care in asking for clarification, commenting, and answering.
Check out our Code of Conduct.
1
Use a trailing stop order though there's no guarantee that you'll get a fill at that price if it's a very volatile issue.
– Bob Baerker
5 hours ago
1
Why ever take any profit?
– quid
4 hours ago
add a comment |
1
Use a trailing stop order though there's no guarantee that you'll get a fill at that price if it's a very volatile issue.
– Bob Baerker
5 hours ago
1
Why ever take any profit?
– quid
4 hours ago
1
1
Use a trailing stop order though there's no guarantee that you'll get a fill at that price if it's a very volatile issue.
– Bob Baerker
5 hours ago
Use a trailing stop order though there's no guarantee that you'll get a fill at that price if it's a very volatile issue.
– Bob Baerker
5 hours ago
1
1
Why ever take any profit?
– quid
4 hours ago
Why ever take any profit?
– quid
4 hours ago
add a comment |
1 Answer
1
active
oldest
votes
The big issue is that there has to be a buyer. If BTC (or whatever you trade in) drops 20% very suddenly, your order might not be filled. There has to be someone willing to buy at that price, so a sudden decrease can leave orders unfilled. Your stop-orders can and many times will work to protect your gains, but they are not guarantees.
answered 4 hours ago
Hart COHart CO
36k686103
add a comment |
Your Answer
StackExchange.ready(function() {
var channelOptions = {
tags: "".split(" "),
id: "93"
};
initTagRenderer("".split(" "), "".split(" "), channelOptions);
StackExchange.using("externalEditor", function() {
// Have to fire editor after snippets, if snippets enabled
if (StackExchange.settings.snippets.snippetsEnabled) {
StackExchange.using("snippets", function() {
createEditor();
});
}
else {
createEditor();
}
});
function createEditor() {
StackExchange.prepareEditor({
heartbeatType: 'answer',
autoActivateHeartbeat: false,
convertImagesToLinks: true,
noModals: true,
showLowRepImageUploadWarning: true,
reputationToPostImages: 10,
bindNavPrevention: true,
postfix: "",
imageUploader: {
brandingHtml: "Powered by u003ca class="icon-imgur-white" href="https://imgur.com/"u003eu003c/au003e",
contentPolicyHtml: "User contributions licensed under u003ca href="https://creativecommons.org/licenses/by-sa/3.0/"u003ecc by-sa 3.0 with attribution requiredu003c/au003e u003ca href="https://stackoverflow.com/legal/content-policy"u003e(content policy)u003c/au003e",
allowUrls: true
},
noCode: true, onDemand: true,
discardSelector: ".discard-answer"
,immediatelyShowMarkdownHelp:true
});
}
});
Nick Solonko is a new contributor. Be nice, and check out our Code of Conduct.
Sign up or log in
StackExchange.ready(function () {
StackExchange.helpers.onClickDraftSave('#login-link');
});
Sign up using Google
Sign up using Facebook
Sign up using Email and Password
Post as a guest
Required, but never shown
StackExchange.ready(
function () {
StackExchange.openid.initPostLogin('.new-post-login', 'https%3a%2f%2fmoney.stackexchange.com%2fquestions%2f108002%2fwhy-take-crypto-profits-when-you-can-just-set-a-stop-order%23new-answer', 'question_page');
}
);
Post as a guest
Required, but never shown
1 Answer
1
active
oldest
votes
1 Answer
1
active
oldest
votes
active
oldest
votes
active
oldest
votes
The big issue is that there has to be a buyer. If BTC (or whatever you trade in) drops 20% very suddenly, your order might not be filled. There has to be someone willing to buy at that price, so a sudden decrease can leave orders unfilled. Your stop-orders can and many times will work to protect your gains, but they are not guarantees.
answered 4 hours ago
Hart COHart CO
36k686103
add a comment |
The big issue is that there has to be a buyer. If BTC (or whatever you trade in) drops 20% very suddenly, your order might not be filled. There has to be someone willing to buy at that price, so a sudden decrease can leave orders unfilled. Your stop-orders can and many times will work to protect your gains, but they are not guarantees.
answered 4 hours ago
Hart COHart CO
36k686103
add a comment |
The big issue is that there has to be a buyer. If BTC (or whatever you trade in) drops 20% very suddenly, your order might not be filled. There has to be someone willing to buy at that price, so a sudden decrease can leave orders unfilled. Your stop-orders can and many times will work to protect your gains, but they are not guarantees.
answered 4 hours ago
Hart COHart CO
36k686103
The big issue is that there has to be a buyer. If BTC (or whatever you trade in) drops 20% very suddenly, your order might not be filled. There has to be someone willing to buy at that price, so a sudden decrease can leave orders unfilled. Your stop-orders can and many times will work to protect your gains, but they are not guarantees.
answered 4 hours ago
Hart COHart CO
36k686103
edited 4 hours ago
answered 4 hours ago
Hart COHart CO
36k686103
answered 4 hours ago
Hart COHart CO
36k686103
answered 4 hours ago
Hart COHart CO
36k686103
36k686103
add a comment |
add a comment |
Nick Solonko is a new contributor. Be nice, and check out our Code of Conduct.
Nick Solonko is a new contributor. Be nice, and check out our Code of Conduct.
Nick Solonko is a new contributor. Be nice, and check out our Code of Conduct.
Nick Solonko is a new contributor. Be nice, and check out our Code of Conduct.
Thanks for contributing an answer to Personal Finance & Money Stack Exchange!
- Please be sure to answer the question. Provide details and share your research!
But avoid …
- Asking for help, clarification, or responding to other answers.
- Making statements based on opinion; back them up with references or personal experience.
To learn more, see our tips on writing great answers.
Sign up or log in
StackExchange.ready(function () {
StackExchange.helpers.onClickDraftSave('#login-link');
});
Sign up using Google
Sign up using Facebook
Sign up using Email and Password
Post as a guest
Required, but never shown
StackExchange.ready(
function () {
StackExchange.openid.initPostLogin('.new-post-login', 'https%3a%2f%2fmoney.stackexchange.com%2fquestions%2f108002%2fwhy-take-crypto-profits-when-you-can-just-set-a-stop-order%23new-answer', 'question_page');
}
);
Post as a guest
Required, but never shown
Sign up or log in
StackExchange.ready(function () {
StackExchange.helpers.onClickDraftSave('#login-link');
});
Sign up using Google
Sign up using Facebook
Sign up using Email and Password
Post as a guest
Required, but never shown
Sign up or log in
StackExchange.ready(function () {
StackExchange.helpers.onClickDraftSave('#login-link');
});
Sign up using Google
Sign up using Facebook
Sign up using Email and Password
Post as a guest
Required, but never shown
Sign up or log in
StackExchange.ready(function () {
StackExchange.helpers.onClickDraftSave('#login-link');
});
Sign up using Google
Sign up using Facebook
Sign up using Email and Password
Sign up using Google
Sign up using Facebook
Sign up using Email and Password
Post as a guest
Required, but never shown
Required, but never shown
Required, but never shown
Required, but never shown
Required, but never shown
Required, but never shown
Required, but never shown
Required, but never shown
Required, but never shown
1
Use a trailing stop order though there's no guarantee that you'll get a fill at that price if it's a very volatile issue.
– Bob Baerker
5 hours ago
1
Why ever take any profit?
– quid
4 hours ago