What is Laddered Buying? Example using Bitcoin Cash
Per my prior blog post on toeing into Bitcoin Cash for a trade, the below shows how I would ladder my buy orders:
Notice that I use support/resistance levels to define the buy points. If you want to say buy 10 Bitcoin cash, 7.5 coins would be targeted to be bought within the middle dotted lines and the rest split evenly amongst the lower and upper rungs.
Why is this a good method? It removes emotion! How often have you bought all shares in one transaction only to see the price fall lower than your buy point? This laddering method builds wealth because it minimizes the emotional damages!
Check out my other blogs for details on how to ladder buys: https://steemit.com/bitcoin/@haejin/eos-update-some-of-my-buy-ladders-got-filled
Bear in mind that not all rungs will get filled and that's ok! Usually, I only have 3-4 rungs executed.
If this blog post has entertained or helped you to profit, please follow, upvote, resteem and/or consider buying me a beer:
BTC Wallet - 19gHMJc9wi9KkP47wokz8y4cFNgz1kAAUE
ETH Wallet - 0xf83641dbf1a53498eae6d0d568c969790da48a36
LTC Wallet - LU1mEw1LHvffoWf9VDEVdP7Day4jv6VLqu
EOS Wallet - 0xf83641dbf1a53498eae6d0d568c969790da48a36
Legal Mumbo Jumbo: This is only my opinion, make of it what you wish.
Thanks for sharing
Cool, never studied technical analysis nor methods of investing but this is precisely the method I use to invest, thought it was my own thing ahaha... but yeah this makes the most sense and is the most effective, started following you.
Yes mate, both ways, scale in and out of the position. Always move partials it's take a away lot of the emotion i agree! It's a mind fuck if you fully committed equity to one price and then moments later could of got a better one. That doubt alone could maybe cloud judgement into the trade, thats why I also use a similar winding in and out strat often based on fibs or key numbers
yeah i find spreading really helps me with emotes