Thread by @ArcaChemist

If you want to trade efficiently, it is imperative that you set conditions: a thread

(Based on my time as a trader both personally and professionally, these are the conditions I have found useful - this should work for $BTC, $crypto, and stocks in general)

1) Find your edge - scan your trades. Which ones tend to do better than others? Worse? Narrow your scope of trades down to your wheelhouse - 70%+ of someone’s trades are fluff. Cut out the toxic trades, keep your healthy ones.

2)Set hard rules on yourself - The rules vary depending on the person. Maximum position size, types of positions taken, day trading vs. longer term trading, market conditions, etc. Create your parameters and stick to them. Always. No exceptions.

3) Differentiate - know the difference between investing and trading. Making a solid investment once does not mean you are qualified to trade. Trading is a profession, which means that there are nuances to this. Don’t gamble because you think you can.

4) Rerack daily - go through each and every trade once a day from a neutral standpoint. Think of all the pros and cons that surround that trade, and evaluate. PnL isn’t the only determining factor in trade finality.

5) Build your network - The hardest part of trading is removing bias. Find people that you trust - not because they are better than you (don’t piggyback), but because we are human. Sometimes a fresh mind will talk you off a mental ledge on a trade.

6)Know your positions - you should be able to defend your position to anyone at any time. If you can not defend a position, you should not be in that position. Don’t throw darts for the sake of throwing darts. When people get lazy with their trades, they tend to go sour.

7) Understand your climate - Are you a trader that prefers high R/R, or do you play defensive and look to win on singles? Do you trade just a few assets repetitively, or do you trade whatever you can get your hands on? Figure yourself out - it makes trading a bit more simple.

8) Learn - the most obvious, yet the most ignored. You are never too smart for the market - if you have no good trading ideas, focus your time instead on learning something. Don’t force the trade when you can spend that time preparing for the next one.