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In this lecture I'm going to give you two basic strategies what most traders use for short term trading

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or The first is called Pump and Dump.

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Basically you buy two cars for one it's rising and you sell when it starts to drop.

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So you buy low and you try to sell high.

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It's a short term strategy and not the best.

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In my opinion many times you offer new money by then you start selling it to others buy buy buy buy

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buy buy buy.

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And then when it starts to going down then you sell yourself and other people who bought it because

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you recommended it.

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They are still in.

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And that's also not a teacup and after all many people end up buying high and selling low like we saw

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in the previous picture here.

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Many people end up buying here and then they sell here low.

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So that's what many times happened.

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The ideal situation would of course be that they buy here when it's writing and sell here when it's

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hasn't dropped yet.

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But most of the time it happens.

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Otherwise many people end up buying high and low especially beginners so that's why if you are starting

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out if you have little experience I highly highly recommend that you don't do this kind of training

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more advanced technique is technical analysis and this is what like professors and traders are doing.

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And they study the market trends and use them in there as well as also the same idea.

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Buy low sell high.

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They talk about Bear and bull markets bear market which means when the value is going down and the bull

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market means that we value is going up.

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And then there are many kind of indicators.

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For example a CD indicator candles hanging man handler invert timer buyer support cellular resistors

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et cetera et cetera.

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So there are many factors that people are using in order to study and find the right thread and try

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right market trend where it is going.

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And if you don't understand about this yet I highly recommend that you stay out of trading at the moment

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and you start with long term investing because trading is more for more otherwise people who are already

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lots of experience have they know how the market works.

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And still most of them are also losing money.

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And with technical analysis you are basically playing with probabilities.

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So it's somehow similar to Polgar and other gambling because you can never know what will happen in

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the future.

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So you are putting probabilities.

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You are believing Most likely this will happen so I'm betting for it and then I sell when it starts

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going down.

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And that's you probably know it's possible to make money with poker.

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It's possible to make money with gambling but it requires lots of skills and knowledge about the subject.

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That's what most beginners make.

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They just go there and they lose their money in the long run.

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There's this big question that you need to answer.

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Can you predict the future based on the history because technical analysis and short term trading in

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general it's tries to predict the future based on the history.

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So let me show you examples.

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They studied these kind of trends.

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They drove this line.

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They show that OK the market has been going here.

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So then it will go up or down or they had these trends and trading the different kind of indicators.

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Also can those three insights three outside three at once in while it's always many many different one.

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And then I took this one task to illustrate that some of their lies.

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They are.

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They take them out of nowhere and they don't make sense.

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Now this is sorry for this little low picture but I just want to highlight and underline that some some

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indicators that traders are using is nonsense and they are making it look like something smart they

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throw all this lies.

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And in reality they are as nothing.

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Very good.

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So let's go to our convolutional short term trading is not recommended for beginners.

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I know that some people can make money with short term trading and it is possible but I want to highlight

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an underlying requires lots of knowledge lots of education.

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Most of the time.

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Short term trading is sold so it has higher risk and you make smaller profits.

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I have talked with many people who invest in cryptocurrency so many times they say me that I made two

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times gains but I could have done let's say 100 times gains and they miss these gains because they were

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just traders.

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The risk was also higher because they were all just looking for some pump and dump coins and not very

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potential ones for the long term.

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So let me show you an example.

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Bitcoin the biggest cryptocurrency at the moment by the market cap.

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And if you have bought cryptocurrency let's say for let's say $200 spent it was somewhere here you hold

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it for a while and then it was $1000 and then you said now I'm out of the game.

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Now go away then you lose all these gains.

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When it went to 15000 $10000 one of my friends went in when it was like $3000.

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Then he got out when it was again seven thousand eight thousand dollars and he said he lost his gains

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and with it's her room.

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The second biggest crypto currency in the market cap.

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Let's say that you bought something here for twelve dollars and then you sold the tear for $40.

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You were who are worth two and half times profits.

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But then it went up to $1000.

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And other people were like How did it make it.

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So that's why long term strategy is most of the time more profitable.

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I've seen it so many times that people buy something that they sell.

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They make little profit and they regret it afterwards.

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So it has higher risks and lower was not always but many times in 90 percent of cases that's what happens

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unless you have lots of knowledge about trading.

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So in the next section we are going to talk about long term investing and I'm going to give you a first

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try this is how you can make more money by long term investing in cryptocurrency.

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So stay tuned.