The most important calculation you will need for trading
I have never been much of a mathematician. At school it was one of my worst subjects and my usual response would be 'what do we need maths classes for if we have calculators?'
Could it be that 30 years later I have discovered the answer to this question?
Trading
I have been trading in the crypto markets for the last month and tracking all my investments on a whiteboard in my office.
I write down the coin I have invested in, the quantity, the price at purchase and the price today. Updating the today price each morning, so I can immediately focus in on any that have grown far above the buy price.
And the one question I keep asking myself is a mathematical one. What is the growth percentage since purchase?
Yet even with the calculator before me, I did not know how to calculate the answer to this question.
Damn, perhaps I should have concentrated more?
...or perhaps not!
Obviously I would like to assert that I was still right all those years ago to laugh in the face of maths classes because I had a nagging sense that there would one day be this awesome powerful tool called the internet which provides the answer to such questions in under a second.
So, until I am presented with a maths challenge that cannot be solved by the internet, I rest my case :)
The Answer
Thank you Google!
Now get out there and start trading!
Happy Monday everyone :)
The stop loss level is an important calculation too. You can set a fix level but a percentage will work too if you said for this investment, I'm prepared to lose about 6%.
Thank you for this. For sure this is something I had not taken into account. And was more working on the assumption that even if a currency dips low, it will at some point recover to a point greater than when I bought in. But this is turning out to be a rather big assumption. Only time will tell!
You're welcome
Brilliant.
Many thanks for the comment ;)
Check out the Blockfolio app on both IOS and Android. You will no longer need you're whiteboard nor will you need to worry about calculating the percentage increases because that is all handled for you and more.
I've tried tons of different apps and Blockfolio is by far the best crypto portfolio app out there, not to mention it's free!
I volunteered for their beta testing a while back and in doing so was able to have some really good conversations with the devs. Their dedication to their app is unparalleled.
Thanks! I wondered about this :)
In truth I love my whiteboard. I love actually writing the numbers down the old school way. Though I could use some instant help with the calculation side of things :)
So perhaps I could do both?
I love writing as well. I have tons of notebooks all over the house with all of my crypto info inside them.
Writing also helps me remember what it is I'm putting down on paper. When I type it's just not the same. It's the action of writing and my use of multicolored pens that help, because as I learned in my Power Business class, the more senses one can stimulate when trying to remember something, the easier it is to recall the information. I used to use smelly markers as well, but I don't like when the ink bleeds through the paper.
I waiste a lot of time making everything look nice and writing out tons of material, but It serves it purpose quite well.
I would definitely recommend doing both for sure. It's nice to have the app when you're away from your notes or if you need to be quick with the draw. I typically have doubles sometimes triples of all my info. Triples is over kill, but I'm OCD and I retake notes for several reasons because of it.
Thanks for pointing out blockfolio, very useful!
Brilliant! Many thanks for this insight.
Nothing wrong with a bit of OCD!
I was labelled ADHD & dyslexic a long time ago but find today that being these things is actually not a disadvantage at all :)
Happy trading Sam... Nice ! :)
haha. Nice :)
Thank you my friend.
Nice. That does look pretty useful. Many thanks for that :)