Hello everyone, hope you are all doing great. I welcome you all to my seventh homework task provided by @stream4u. Thanks to @steemitblog for this awesome initiative.

Q. Discuss Money Management.

Answer: Every trader has a purpose to make a profit. But loss is an inevitable part of the trade. Winners are those who exceed the profit amount from their loss amount. When we open a trade, we will make a profit if the trade goes in our favor, and if it starts going the other way instead of our expected direction, then we will make a loss. The job of money management is to think about how much risk we are taking on our capital and how much profit we can make in exchange for it when we think of taking a trade. This is a comparison of risk with what is called money management.

Q. Future plan on your Money Management..

Answer: If we compare trading with driving a car, then money management will act as an accelerator and brake for us. When driving, we have to look at the maximum speed limit of the road I am driving and we have to drive within that. Similarly, when trading in the market, you have to see how the market is moving now. If we see that we have the opportunity to increase the profit then we will trade that way, but if we see that the market conditions are not good now then we will try to get out of there by putting stop loss in our trade. Many times we get emotional and stick to the trade we opened for a long time and think that the market will turn around and come back to me. But when the market does not understand anyone's mind or does not follow anyone's words, it will continue at its own pace. No one can ever tell which way the market will go one time, so without expecting the market to come back to you at some point, the wise thing to do is to get out of there and invest time in another trade. When the market starts to come back to my predictions, I will re-enter that trade. In this way, I will be freed from a bad trade and I will be able to invest in the market as my wish.

_{Portfolio management image. Source}

Q. Discuss Portfolio Management.

Answer: Many ordinary investors in the crypto market think that successful traders / investors achieve success by managing insider news rather than portfolio management. But to be honest, successful traders / investors show the real life application of this proverbial sentence"Money Brings Money" by managing the appropriate portfolio over time. The key to how many coins you have bought in your portfolio is your capital. Many people in the market buy a coin with all the money. This becomes very much risky. If the price of the coin falls down, he / she will lose everything. The wiser decision is to diversify total capital to various coins. It should be noted here that all the money of capital should be invested step by step without investing at once and it is better to keep 20-30% of the capital in hand at all times.

Q.If you have an investment and if it is okay with you then show portfolio and explore it briefly..

Answer:

^{My total asset list.}

This is the screenshot taken from my poloniex wallet. I have vanished my balances due to personal reasons. I am a new investor. I am trying to learn trading and applying them to my investment. When I had zero knowledge, I wanted to do my all investment in Steem and Bitcoin. But after knowing about portfolio management and seeing the volatility in the market, I have already diversified my total investment among five crypto coins. Till now, I am in a good profit.

Q.Future plan on your Portfolio Management.

Answer: The main purpose of bringing diversity to the portfolio is to reduce the investment or capital risk of your portfolio. The first thing to keep in mind when investing or doing business in the crypto market is that nothing can be done in this market based on the word "If". So I thought how I can make a good diversity in the portfolio by eliminating all the investment thoughts in 1 coin. This has allowed me to stay in the group of smart investors even if I have little capital. Since I am a newbie, I am still learning and trying to bring more diversity on my portfolio including some good coins.

Q.When was the last investment failed and Why?

Answer:

_{My Last failed trade analysis.}

The last investment I had failed happened yesterday. I invested some USDT to buy MDT coin. I thought the coin will provide me at least 25% profit in 3-4 days. But I think my calculation was wrong, The price began to fall down. I applied stop-loss and sold the coin with a loss of 2.99 USDT to prevent my further loss.