hi everyone if you're new to trading technical terms this video is for you in this video we'll discuss three trading technical terms long strategy short strategy and stop loss now let's get started on the first one long strategy you buy bitcoin from a broker you always choose to go along you buy some cryptocurrencies and hopes that it will go up in value and then sell them back into a market at a higher price to make a profit so this is the most common way that people choose to invest in cryptocurrencies with crypto hero a long
strategy board will buy some coins and make a profit by selling them back to a market at a higher price for example with our trading pair btc usdt the board will use your entry conditions and decide when is a good entry point to buy some btc with your usdt do know that it's difficult to time the market number two short strategy the short strategy is the opposite of the long strategy in the short strategy people will first sell the crypto at a higher price then purchase it back again at a lower price in the long
strategy the bot will make a purchase at a lower price than sell the purchase asset again at a higher price however because the market is always rising or dropping you can apply both the long and short strategies on the same trading pairs as the hedging strategy number three stop loss stop loss as its name suggests is an inbuilt crypto trading feature that prevents further losses on a trade it is a risk management feature and is essential for all traders for example you want btc at 50 000 price level if the price goes up you start
profiting if the price goes down you start losing money now if the price has to go below your buy price you might want to use the stop loss feature to prevent even more substantial loss you can include a sell order at an amount right below your buy price and for this case we have put 49 000 as the stock loss and when this price is reached in the btc usdt market the btc will be sold at this price although there is the loss of a thousand dollars the idea is to minimize the amount of losses
a trader faced in the event of a drastic pullback in the price of a cryptocurrency hmm so which trading strategy do you want to try the most tell us more in the comments or social media down below and we hope to see you in our next video bye everyone happy trading [Music]
