- 5/9/2025
Category
📚
LearningTranscript
00:00:00Come so I want to start with my story I want to share a little bit from my
00:00:05trading journey from the beginning of my trading journey right so basically at
00:00:10the beginning I was my own teacher just like I guess most of you I was watching
00:00:15a lot of videos I was reading a lot of books I was reading a lot of articles on
00:00:20the internet left and right I was my own teacher and I was putting so much effort
00:00:24I was putting a lot of effort for almost all my time I was investing in this
00:00:29right studying hard working hard right to improve and and and basically I lost
00:00:37all my money three times not one three times I lost all my money which is very
00:00:42frustrating right it's so frustrating to put so much effort and so much time and
00:00:48without any results I actually had a negative results right because I was
00:00:52losing money I was putting all this effort and I was losing money then I came
00:00:57up to this quote that I love by a guy named Ben Johnson and he said he that is
00:01:03taught only by himself has a fool for a master right so this just click in my
00:01:08mind and I realized I need a mentor so I found a mentor he taught me then I become
00:01:15successful and this is basically but I wanted to share the beginning of my story
00:01:18because I guess this is the beginning of most of the people they are starting all
00:01:22almost in the same way right trying to learn on themselves which is I mean at
00:01:28least for me did not end up well and I guess it's it's like this for for most of
00:01:33the people so now I have a few quick questions for you right I have a few
00:01:37questions for you I know that type of person who wants to be free right because
00:01:42trading will give you freedom it's giving you a freedom you are your own boss
00:01:46you have freedom of your time you can do basically whatever you like with your
00:01:50time this is not a 9 to 5 job right so trading is give you freedom so are you
00:01:54that type of person who wants to be free I know that type of person who wants to
00:01:59be able to provide everything your family needs right everything your family
00:02:04needs because again trading can give you that trading can give you money to
00:02:08provide for your family right it can give you free time because you don't have to
00:02:14to be every day in your office from 9 to 5 right so are you that type of person who
00:02:19wants to be able to provide everything that your family needs right my third
00:02:24question are the type of person who wants to have your own business because
00:02:29trading is a business and then you are going to be your own boss so you have to
00:02:32develop it test to work for it right so are you the type of person who wants that
00:02:36are the type of person who wants to be able to live wherever you like again
00:02:41trading can give you this freedom because you are just going to need a laptop or a
00:02:45smartphone even now and an internet connection right to be able to trade so
00:02:50basically you can do that from any point in the world where you have these two
00:02:55things the smartphone and internet connection so these are my fourth
00:02:58questions for you to give you clarity if you want to basically master this
00:03:05Q trading now coming to the point what are you going to get from my courses
00:03:10right basically I teach trading strategies that have an edge because this in my
00:03:14opinion is crucial right you have to have an edge in this in this market and in
00:03:19everything in life in general right so basically what I'm doing is I'm doing the
00:03:23opposite of the masses of what they are doing of the opposite of the majority of
00:03:28people right because just like probably already know trading is a zero-sum game
00:03:34what does that mean it means that for you to make money someone else is losing
00:03:38money this money are not falling from the sky it's coming to to for you to put
00:03:42money in your pocket this money are coming out of someone else pocket so
00:03:46basically if you are doing what everyone else is doing you cannot expect to the
00:03:51markets to reward that and to to be successful in this game right and it is
00:03:55the same in life basically everything that you do in your life is the same so I
00:04:01will show you how that works in a moment in trading but before I want to to give
00:04:05you this two quotes by two favorite people of two favorite of mine right so
00:04:12basically this is Earl 19 year who said whatever the majority of people is doing
00:04:17under any given circumstances if you do the exact opposite you will probably never
00:04:21make another mistake as you as long as you live right so basically this is what
00:04:26I'm doing and this is not what I'm doing only in trading I'm trying to apply this
00:04:29in every aspect of my life right so then on the right side is Warren Buffett he is
00:04:37basically applying the same concept in trading so in investing but investing in
00:04:42training is kind of the same thing is just trading is more short term so he
00:04:46said we simply attempt to be fearful when others are greedy and to be greedy
00:04:50when others are fearful so this is key guys and I will show you now in a moment let
00:04:54me open here the chart and show you something so what are you seeing right in front of your
00:05:01eyes is a Bitcoin chart Bitcoin I guess most of you are familiar with Bitcoin if you are
00:05:06not this is working for everything basically here in the middle is the price of Bitcoin
00:05:11the chart of Bitcoin above here the red one are the people who are shorting Bitcoin right
00:05:16the amount of people who are shorting the amount of Bitcoin that are being short but
00:05:20this represents the people who are shorting it right basically who are betting that it the
00:05:24price is going to go down for the one of you who are not really aware so this red
00:05:28line is shows the amount of people who are betting that the price is going to go
00:05:33down below longs the the green line is showing the amount of people who are
00:05:39betting that the price is going to go up why I want to show you that exactly to
00:05:44prove you that most the majority of the people are on the wrong side most of the
00:05:49time so now first let me let me remove the long first or not get confused and let's
00:05:55focus on the shorts right so again here below is the price of Bitcoin this line
00:06:01is the amount of people who are betting the price will is going to go down so the
00:06:05higher this line is going the more people are betting it's going to go down
00:06:08right this is key because this is what I'm going to show you right now what do you
00:06:15see right in your eyes so basically the price was here ten thousand five hundred
00:06:19it came down all the way here to four thousand six hundred actually it came down
00:06:23to three thousand eight hundred right so it basically dropped down with sixty
00:06:29percent and what you will see the people who went short that they basically went
00:06:37short at the bottom like most I mean when the majority of the people went short
00:06:42basically they were betting that it's going to go down it was right here in the
00:06:46bottom and no surprise look what happened from this point on when all the people
00:06:52who are betting that is going to go down I mean oh it's not all but most of them
00:06:56right the majority of the people were betting it's going to go down look what
00:06:59happened after that bomb from here from like I mean all most of the people they
00:07:07went short here around 5,000 level it went to almost 10,000 so it's double in
00:07:13price right so you will basically if we I can show you a few more examples same
00:07:19here you see the peak when people are becoming greedy right people are getting
00:07:26greedy they think this thing they are betting that this Bitcoin is going to go
00:07:31to zero right where this is happening is it that by accident what do you think at the
00:07:36bottom after that nicer enough so basically you can go through the chart
00:07:40over and over again and you will see that this is how this works here they are
00:07:48betting it's going to go down here actually the opposite here it's going up I
00:07:52mean it's in a massive bull market and people are shorting into dating it they
00:07:56are trying to catch the top right they are trying to catch the top and to be
00:08:00heroes and they are losing money so this this is repeating over and over again now let me
00:08:06short you and let me show you sorry the lungs right now let's get rid of the
00:08:14shorts so basically now this green line under is showing you the people who are
00:08:19betting that this thing is going to continue go up you look where is the
00:08:24peak right now look where most of the people went long at the top right this is
00:08:31this is completely at the top because you see what happened after that bomb so
00:08:40basically let me let's see one more example and then I want to show you
00:08:45something else and then we are going to go back to the presentation again so
00:08:50many people are betting it's going to go up right at the top right so this is no
00:08:56no surprise guys this is how it works this is why I'm telling you to have you
00:09:01have to have an edge in this market and basically you should not follow what
00:09:05most of the people are doing now let me show you something else that I like to
00:09:09use this is fear and greed index this is basically showing you just like what
00:09:14Warren Buffett said this is an indicator that is showing you when people are
00:09:18getting too fearful and where they are getting too greedy and you remember that
00:09:22when people are getting too fearful you want to get greedy and to start buying
00:09:26right and when people are getting too greedy you want to start being fearful
00:09:30take profits and exit your positions so this is the fear and greed index right now
00:09:35it's like kind of balance but what I want to show you is here there is a chart
00:09:40below this is again for the for the Bitcoin right so let's look now at the
00:09:44peaks let's look when the people gets too greedy what happens so as you can see
00:09:48here the graph the top of this graph is right here what date is this 26 June 2019
00:09:56the fear and greed index went to 95 so basically the people were so greedy just
00:10:02like to the moon they were thinking this is going to go to the moon let's see now
00:10:06what happened let's find is that what was it again 26 June 2019 let's find now 26
00:10:14June 2019 and see what is this date 26 June 2019 all right let me put an arrow here so
00:10:29basically 26 June 2019 is this day so now what you see is going to blow your mind
00:10:39because this is the exact day of the top after this from almost 14,000 the
00:10:46Bitcoin drop down to 4,000 right but no surprise guys I mean I did not even look
00:10:53at that before it's the exact dates I'm just doing it right now look 26 of June
00:10:572019 here below you can see that this is the date 26 June 2019 this is the candle
00:11:04top right no surprise no surprise at all now let's look at here the bottom when people got
00:11:12too fearful what happened oops let me try to to point the exact bottom okay people here went so
00:11:20fearful you see the great and the great and fear index is 5 so basically at the bottom this
00:11:26happened on August 22 2019 let's now find August 22 2019 August 22 2019 all right so here no
00:11:43note not very surprising again August 22 2019 it yes it drop a little bit more but then it made a
00:11:53turn right I mean it's not that good of an example like before but still it went from 9300 up to here
00:11:59and let me tell you something these people here they were afraid of this one these people that you
00:12:06can see here they were afraid of this exact scenario that happened after this but as you can see the
00:12:12scenario did not happen right here when they were expecting it when they are more fearful and when
00:12:17they were afraid that this scenario did not occur here it took your a month after it right and before
00:12:24this scenario cure there was a run so they were still on the wrong side let's look one more somewhere
00:12:31here um March 28 2020 March 28 2020 so March 28 2020 is right here so again it's not at the exact bottom but as you can see here it again catch the bottom because the this index started to go down from here so again it's not at the exact bottom but as you can see here it again catch the bottom because the
00:12:59this index started to go down from here from like March 14 so basically from the very bottom as you can see here is March 14 again people are so fearful right at the bottom and as you can see it run and double in price right so I hope this open your mind a little bit of what's going on now now let's dive back into the
00:13:21uh into the presentation so a little bit of data in reality 99% of the traders are losing money and look at this pyramid so basically the bottom all traders are starting with the dream to get rich quick and now I have a question for you why did you started trading you can pause this video and answer to yourself
00:13:44uh to this question uh to this question right because me I started for the exact same reason right to to get rich quick and I guess most of you started uh for that reason as well but look at what's happening after afterwards 40% trade only for one month and they are just giving up right 80% quit so 40% quit uh uh after one month right basically 80% quit within the first two years 80% guys and this is 80% for the rest of the people
00:14:14you remember that 40% will quit in the first one month right and then after all these people who are quitting only 7% will remain after 5 years and you know what's very interesting now at the top only 1% of all these people are actually making money only 1% guys and all this that you see on the internet uh get rich quick this is all I mean of course you can get rich uh in trading you can uh get crazy rich right you
00:14:44can make a lot of money but it's not that easy as it looks like only 1% of the all people who are doing this are actually making money this is crucial to understand guys so now I have a question for you do you want to be in the 1% do you want to join this 1% and be profitable and make money do you want to be profitable in trading yes or no do you want to be highly successful in trading yes or no
00:15:13these are my questions so you need a mentor this is the reality guys why you need a mentor because uh you need a mentor simply because the this person is already at the destination where you want to arrive
00:15:27so he knows the road ahead it's as simple as that this person he or she they know the road ahead right they know the road ahead they know where you are going to go through a rough road
00:15:38they know where is the highway they know the shortcuts they know the beautiful uh roads right they know where you are going to have hard time they know everything so you will have the biggest power which is anticipation they will help you to have the bigger power which is anticipation they will they will help you right so this is the simplest explanation why you need a mentor simply because they know the road ahead they are already where you want to go so you can reach there much faster with their help right much faster
00:16:06now guys it's time it's time it's time to join the 1% right so you said yes to most of my questions so i want to get you started right let's get you started guys and roll the course now once you get started you will see how this knowledge is changing everything right this is this is basically guys this is basically what uh what i wanted to to share with you so now let's get you
00:16:36started get the course now and roll now and see you on the other side
00:16:42bomb guys and welcome in the game in this section i'm going to talk about risk management i always like to start all my courses with risk management guys because in my opinion this is the most important thing that you have to know
00:17:03and in my opinion in my humble opinion this is reason number why reason number one why 99% of the traders are losing money right in my opinion this is reason number one why people are failing in this business and the reason is lack of proper and strict risk management guys so i'm going to make sure that i'm giving you a risk management system always always always before we start learning anything else before we dive into strategies into technical analysis
00:17:33into any other type of lessons i always want to make sure that i'm talking about risk management because this is the reason why i lost my money before in the past reason number one it wasn't the only reason but reason number one the biggest reason
00:17:46and this is why i lost my money before in the past reason number one and this is why i always make sure that you guys don't follow the same uh i mean you don't have to go through what i've been right this is why you are uh purchasing these courses right in order to get the experience and not uh going where i where i've been right i can give you the shortcuts rather than you going the long way so now guys in the next videos we are going to dive into risk management and always remember that risk management always
00:18:16dive into worries risk management this video is for the one of you who don't really know worries risk management but as you can guess it is to manage your risk right because you cannot be sure on a hundred percent that something is going to happen right you cannot be sure that the trade that you are taking is going to work on a hundred percent right you cannot be sure so since you cannot be sure you have to manage your risk right because the out you don't know
00:18:46what the outcome is going to be you might make a lot of money but you this trade might go against you right so you want to manage your risk and let me tell you something the best in the world they are very very aware that they are going to be wrong many times and they have very very strict risk management right only the uh the newbies only the new traders the one who don't really know yet uh many about this business they think that they are going to be right all the time and they don't manage their risk
00:19:16but you guys absolutely want to manage your risk and how do you manage it simply when you risk maximum one percent of your account on a single trade right and i'm going to show you how to do this type of stuff don't worry guys later on i'm going to give you spreadsheet as well trading diary where you will basically uh not being able to risk more than one percent right in order to enter a trade but first uh i know that many people are getting confused here because if before i was confused as well
00:19:46right what does it mean to risk one percent of your account on a single trade for example if your account is one thousand dollars one percent is ten dollars right so people here are confused are confused does this mean i will enter a trade on a ten dollar trade right no it doesn't right to risk one percent it doesn't mean that you are going to enter in a one percent trade it means that if you lose this trade you are going
00:20:16one percent maximum ten dollars if we are talking for a thousand dollars account if we are talking for a ten thousand dollars account it's a hundred dollars right this is what it means it means hey if i am wrong i'm going to lose ten dollars or a hundred dollars if i'm trading on a ten thousand dollars account right this is all it means so this is basically uh i mean the the expenses this is the price that i'm there that i'm paying to uh to see if this trade is going to play out
00:20:46one percent and when you have strict risk management you cannot lose all your money in one trade right because what happens to many people uh they are losing most of their money in one trade this is not possible if you have strict risk management right
00:21:01but we are going to talk about this later in the videos with this video i just wanted to give you an idea what is risk management basically just to manage your risk and to always risk maximum one percent of your account on a single trade so i'll talk to you again in the next lecture i hope now you the one of you who didn't know what is risk management you guys now are aware what is risk management and in the next video i will talk about uh why it is important
00:21:29right so now you already know what is risk management now it's time to to to understand why it is so important guys and why it is so crucial right let me tell you something without risk management without strict risk management no one can make it in this business i don't really care if you think that the best one in the world will be able to make it no one will make it even if it's the best trader in the world
00:21:57they won't they won't make it right they won't make it right they won't make it even if they are trading strategy uh that have even if they have win rate 99 of the time right let's say that from 100 trades they are winning 99 right this one trade guys this one trade that this person or i mean i'm referring to just anyone let's say the best one in the world let's say the best trader in the world um have a strategy and he's making money basically 99 of the time his win rate
00:22:26is 99 of the time he is right 99 of the time let's imagine that he doesn't have risk management but before we imagine this i can assure you guys that the best in the world they have the most strict risk management in the world right but let's imagine that for some reason there is right now the best in the world have 99 99 uh win rate and he don't have a strict risk management he don't have risk management at all right so because let's
00:22:56have a strategy that win 99 out of 100 trades this one trade right there is a loss
00:23:09gone out right because people are all in right i mean people are all in and in this one trade because they are so confident they are going to win always
00:23:21that they are uh basically all win all their capital is on the table and this one trade it it requires only one trade to lose the money right to lose all the money
00:23:30this is why i'm telling you that first there is no such strategy that wins 900 percent of time but even if there was right i mean we are imagining some stuff here that that are not even possible but even if there was uh something like this it's gonna be losing money for sure i mean without risk management
00:23:47if there is proper risk management it's going to be making money of course but without risk management it's going to be losing money this is why i want to put your focus
00:23:56on the risk management that is crucial on the opposite side guys a strategy that have 30 percent win rate i mean that from 100 trades is going to win 30 and it's going to lose 70
00:24:08and i even have i even back tested such strategy for three years in the cryptocurrency market in the past
00:24:13and i i'm showing you in one of my courses it has enormous results right because this 30 of the time
00:24:20when it wins uh it wins big right it wins big because it's a trend trading strategy it's catching trend
00:24:26and most the markets they are trending uh 30 of the time 70 of the time they are ranging they are basically going
00:24:34sideways right something like this so this strategy it's normal to have uh 30 win rate because it's
00:24:40catching the trend but when there is a trend guys it's making a lot of money a lot as a lot right i mean
00:24:46if i show you the numbers your mind is going to be blown away right if you follow such a simple strategy
00:24:51with proper risk management you can turn thousands of dollars into a thousand dollars you can turn it into
00:24:57millions in the in the matter of not not very long time right with uh with such a strategy and with
00:25:04proper risk management on the opposite side a strategy that have 99 win rate without risk management
00:25:10you can turn a thousand dollars into zero into zero very very quickly right because this one trade
00:25:16wherever it comes it's gonna wipe you out right and i see this happen over and over again and it happened
00:25:22to me it happened to me three times guys i'm one of these people who are not learning quickly right i mean
00:25:27i did not learn from the first time it had it it had to happen a second time and a third time in
00:25:34order for me to find out how important risk management is and this is why i'm taking my time
00:25:40and i'm doing my best to explain you and to give you many examples as i'm gonna go in this video and
00:25:45i'm gonna do in order for you to be strict because i really care for you guys the one who are my students
00:25:50and i don't want you to go through what i've been because i can be very honest with you that it's painful
00:25:56and you don't want to go through that as well so just learn from the i mean the best way to learn
00:26:03uh is to learn through others experience right i mean of course it's more effective to learn through
00:26:09your own experience but it can be painful it requires time it requires money right you can save
00:26:14time you can save money if you only learn to to get experience from other people and so you don't have
00:26:20to go uh through through this alone and to break your head right you you guys don't really want
00:26:25this uh so it's very very key now i already gave you an idea how important it is let me now uh show
00:26:33you the trades that lost two two basically two times i'll show you the two times the first two times
00:26:38when i uh basically lost uh lost my money so you get an idea and the main reason again it was
00:26:45because of lack of risk management lack of proper risk management now let's first go to the good old
00:26:53xrp right this is the cryptocurrency market guys i know some of you are trading other markets but that
00:27:00doesn't really matter risk management is the same everywhere right wherever you are trading risk
00:27:06management is the same everywhere let's now find xrp on the bitfinex chart because at that time
00:27:132018 i was trading on bitfinex right we are on the daily chart perfect let me just get rid of this
00:27:20volume and let's find it i believe it was september 2018 absolutely this one guys so let's get rid of
00:27:32this for now uh the one of you who were around at that time around the cryptocurrency market you guys
00:27:38knew that everything was in a bear market right since the beginning of 2018 the beginning of 2018
00:27:45the bear market started right bear market it means downtrend right the downtrend at scale i mean uh at
00:27:51scale it was a downtrend at that time i mean it started at the beginning of 2018 so during this whole
00:27:57time we were in a bear market right so everything was when you are in a downtrend i mean most of the time
00:28:04price is going down and then there will be some rallies like this uh short quick rallies that are
00:28:10counter trend trades if you guys are aware of this stuff i hope you are uh if you are not i'm teaching
00:28:15this type of stuff so these are counter trend trades you can take type of trades like this but i don't
00:28:20really recommend it for for beginners for beginners i recommend you guys to be trading to be picking trend
00:28:26strategies right because you trend is your friend right you know the good old saying the trend is your
00:28:31friend so anyway i mean we were in a downtrend and here here i am uh watching this repo starting to go
00:28:39up this xrp uh at that time i was trading elliot wave right maybe some of you are familiar maybe some of
00:28:46you are not elliot wave it's a beautiful theory it's a beautiful uh strategy right so i mean it's it's
00:28:52playing out very very very especially if you get good at it the problem is that uh it it doesn't really
00:29:00have a hard stop loss right it doesn't really have a hard stop loss meaning that you are setting stop
00:29:05loss on the exchange of course you can adapt a way to do this type of stuff but since this elliot waves
00:29:11you can change them on the time it doesn't really have a hard stop loss or at least this is how i was
00:29:16trading at that time without the hard stop loss with mental stop loss i had a mentor at that time
00:29:21from whom i learned this i had a mentor now as well right but at the time it was another person
00:29:27uh from whom i learned this strategy this was his strategy this was how he was trading right elliot waves
00:29:33so i learned it from him uh so he also did not have hard stop loss this is why i did not have because
00:29:40i learned from him just mental stop loss meaning that uh i mean you will be watching the price and if
00:29:46uh it goes somewhere wherever you have to exit right the problem with this is that uh this is i mean
00:29:53this is the biggest mistake that you can to if you are a new trader to to have a mental stop loss is the
00:30:00biggest mistake right because you are simply not going to follow it how i know because i did not
00:30:05follow it right i did not uh exited when i supposed to exit let me first start how uh how it did it
00:30:12happen right so first let me give you a little bit of an introduction at that time i was already trading
00:30:17full-time right not only i was trading full-time i did not have any other source of income right so this
00:30:23was my only source of income right only source of income not only this but my wife she she was not
00:30:31working as well so basically both of us we were relying on this income right on this one source of
00:30:37income not only this but just uh i mean recently before before this moment in here i don't remember
00:30:44exactly when actually uh in the in the beginning of june in the beginning of june so basically somewhere
00:30:50right here in the beginning of june we moved because i'm from bulgaria at the time we were
00:30:54living here in bulgaria we moved in the second biggest city here we moved there and we rented a
00:31:00nice apartment right a very nice apartment uh we rented it right it's not mine i mean i had we had
00:31:07basically monthly expenses for the rent for food and stuff like this we we had monthly expenses right
00:31:12both me and her and with no other income just this income right so you guys can get an idea how
00:31:19dependent uh we were on this right and because this is this is important to know so you will see
00:31:26so you know the pressure that i felt right because when i started to see all my money going away you can
00:31:32imagine what pressure this was because i knew that there is no other money and there is no i mean this
00:31:36is just uh that's it right i mean i'm done so um basically i don't remember exactly at what price i
00:31:44started to short this thing i think it was somewhere in the 30 cent range and as you can see it went to
00:31:4970 79 actually it went to 79 cents and i started to short it here right so uh everything was going
00:31:57down there is this is going up so i count my elliott webs and i started to short this thing right i
00:32:02started to short it now at that time i was trading on 11 dollars uh i mean 11 11 000 account right not on
00:32:1111 of course because how can you rely on 11 11 11 account on uh 11 000 right on bitfinex
00:32:19now at that time i'm not trading now on bitfinex i don't know what leverage they are allowing now at
00:32:24that time the leverage the margin it was 3.3 x so since i was my account was 11 000 it means that i was
00:32:32able to trade on a 33 000 if i borrow all the money basically it meant that i can borrow 20 uh 22 000
00:32:40more from the exchange right 22 000 more plus my 11 000 33 000 this is the maximum amount that i can
00:32:47enter or that i can trade with right because i guess you are familiar with margin because most of the
00:32:53people are i mean margin it means basically to borrow money from the exchange to trade with right but this
00:32:58is very very dangerous especially for people who don't know what they are doing me at that time right
00:33:04me at that time um i was not really aware what's going on right i mean i was trading i was making
00:33:10money but you will see that in this one trade i lost everything which is i mean how how is that this
00:33:16is unreasonable right but the the reason is lack of risk management and other reasons as well uh and
00:33:22psychology mainly but i the main reason was because i did not have a stop loss if i had a stop loss this
00:33:28was not going to happen let me now give you the idea what happened this thing started to go up
00:33:33and i started to short it right i count my ways everything like i mean the rsi is going overbought
00:33:41all this type of stuff that uh i mean i don't even want to go into this right now i have a courses on
00:33:47rsi you can stay there to see that most people trade with rsi in absolutely wrong way i was doing
00:33:52the same at the time this is why i know it's a wrong way people think it's overbought and it's gonna go
00:33:57down in reality in the overbought zone i don't even call it overbought i don't like these terms
00:34:02it's it is the out i call it the outbound zone right because in reality over there the biggest moves
00:34:08happen in the overbought the biggest up move happen in the overbought and the biggest down move
00:34:14happen in the oversold right but at that time i was thinking oh overbought let's start to short this
00:34:19thing because i'm i was combining rsi and mac and this with elliott waves right so i started to
00:34:24short this thing immediately it started to go against me right immediately started to go against
00:34:30me now of course i did not enter in a 33 000 position right away i i don't remember at first
00:34:36what position i opened but since i did not have risk management i this is why i don't even know i
00:34:42cannot even see what position i mean if i log into the exchanges i can find the history and all this
00:34:46type of stuff to see what position sizes but i did not have risk management so it meant that
00:34:51because if you have a proper risk management you will know how much your position size is going
00:34:56to be right and if your position size is a thousand dollars you cannot enter uh in a trade with i mean
00:35:03in this trade with more than a thousand dollars right but since i did not have risk management
00:35:07i entered with some money then it starts to go against me and i did the second uh mistake that i
00:35:15started to ask to my position right and you guys never wants to do this you never guys want to
00:35:21be adding to a losing position right you guys never wants to be adding to a losing position
00:35:26this is doom to failure right i mean you can be adding and you have to be adding uh to a winning
00:35:32position right but to a losing position no no no no i know this from my personal experience because
00:35:38by the time it's i mean i don't even remember exactly where but at some point i was already all in
00:35:43i kept adding to my losing position and i kept adding until i realized that i am in a 33 000
00:35:50dollar losing position massively losing position i was fighting the market right my ego was like
00:35:56oh this will go down and i will let me let me just interrupt right here to to give you idea why i i was
00:36:02so confident because also uh i mean my metro at the time he he was on social media right i mean he's
00:36:09still on social media right now but i don't even look on social media what's going on uh on twitter
00:36:14on the crypto twitter um he was basically uh in the same position and he he had the same analysis
00:36:22like mine and this gave me so much confidence because i was like i mean this guy in my in my uh
00:36:28in my head he was like authority right the one who knows everything and the moment i saw that he did
00:36:35the same analysis like mine i felt like genius i felt like i'm right this thing is gonna go down
00:36:40so i was thinking it's gonna go down here it's gonna go down here gonna go down here but it never
00:36:45really went down right but i had this fake confidence um and it's just i mean it it prevented
00:36:52me from uh basically exiting my position i have a chance i have the chance to exit with the one
00:36:58thousand dollars loss i did not take this chance because i i mean i was like i'm either gonna i had
00:37:05this mentality i'm either gonna lose everything or i'm gonna make a lot of money this thing cannot
00:37:10continue to go up forever so i waited and i can tell you that uh these were the two the longest two
00:37:17days in my life where i waited to be liquidated right i i just watch it continue to go up and go
00:37:24up and go up the loss was becoming bigger and bigger and bigger so there were no sense anymore
00:37:29to close this position i mean if if i'm gonna lose eight thousand or eleven thousand i mean the
00:37:35difference is not that much let's just hope uh let's just hope this thing is gonna stop but it
00:37:40never really stopped again the longest two days in my life because it take two days right two days for
00:37:46this to play out two days just i mean absolutely i mean i was in an absolutely desperate state just
00:37:54looking and hoping that this and being so angry that i did not close this position earlier and and all
00:38:01this pain and it's just i waited waited waited until i got liquidated then i uh throw my phone in the
00:38:07wall i broke my phone i uh basically disappointed everyone i disappointed uh my my family my wife
00:38:15everyone got was so disappointed we had to leave the apartment because i lost all the money so basically
00:38:20we had to leave we did not have money to pay the rent anymore i did not even have capital to trade
00:38:25with i had to now start working a job right i have to i had to start working some job that i i hated
00:38:31in order to save money to start trading again and it was a painful very very painful experience guys and
00:38:39i really don't wish anyone to go through this so this is why i'm telling you risk management is so
00:38:44important because if i had a stop loss this was not going to happen right the stop loss was going
00:38:50to be hit i was going to exit go and take the next trade that's it right you cannot but what happened
00:38:56is that i lost all my money uh in this account in one trade right because of lack of risk management
00:39:02now um i can cut this video because it's probably getting too long and in the next one i will share
00:39:08with you uh my other experience right which is again because of uh lack of risk management but uh if
00:39:16the the takeaway from this guys is that you always have to have stop losses and proper
00:39:20risk management i mean my idea with these two videos with this one in the next one is to create
00:39:26references basically beliefs in your head that you always have to have a stop loss and risk
00:39:30management basically to get the idea why risk management is so important in this video i will
00:39:36share another story from my personal experience which will give you an idea how risk management i mean
00:39:42how important risk management is and why why you always have to have a risk management right
00:39:47um let's now open the bitcoin chart right because this happened on the btc chart let's delete this
00:39:56and let's go to a weekly chart i will show you something intriguing right now just give me a second
00:40:03let me just actually we need the btc on the bid stamp let me see if i have it here
00:40:10uh i mean we need the btc chart because the btc chart have long has uh longer history right
00:40:17so let me now open here something
00:40:20we just need the 21 exponential moving average guys if you are not aware of moving averages i have
00:40:30courses on moving averages i'm t i'm teaching moving averages exponential uh mostly right because
00:40:37i'm using mostly the exponential uh actually yeah uh so what i want to show you now is this is bitcoin
00:40:45i don't know if you are familiar with it i guess you are most of you the cryptocurrency and all this
00:40:49type of stuff if you are not before what happened i mean there was i mean the previous bull market
00:40:55this is this is actually the previous bull market that end up in the end of 2017 right
00:41:01uh and then the bear market happened but the bull market before this because the bitcoin is going
00:41:06in cycle just like everything else it has a bull market uptrend then a bear market downtrend
00:41:11then a bull market again uptrend then a bear market right so it's going through this type of cycles
00:41:16that you can make a lot of money if you are aware of these cycles right
00:41:20and this is what i was trying to do uh when i when i uh did my second biggest loss but i will give you an
00:41:26idea uh in a moment let me first show you here so basically this is the bull market before actually
00:41:31this is this is even before and then you see again bear market then another bull market bear market
00:41:38this was in 2014 and in 15 basically at the end of 2015 the new bull market started right so basically
00:41:46after this scenario the new bull market started right and why i was looking at this type of stuff
00:41:52and why everyone was looking because we were we were looking when we were down here right we were
00:41:57looking when we had this bull market then a bear market then we were waiting for the bull market to
00:42:02start and first we wanted to know everyone wanted to know how it will start and then once it start
00:42:09what is the best way to start adding for a long-term position right because look what happened after this
00:42:15bull market started right this bull market started right here at 300 dollars roughly in november 2015
00:42:24and then just in the end of 2017 so in two years the price went from 300 to 20 000 guys right
00:42:33so you get an idea how important it was to to basically to position yourself and to catch something
00:42:39like this for everyone right not only for me but for everyone now um look now what happened first if
00:42:47you guys are aware of market structure i'm not sure if you are not you check my courses i'm teaching
00:42:52market structure because it's very very important market structure is simple uh higher lows higher highs
00:42:57uptrend lower lows lower highs downtrend when you are getting lower highs and higher lows you are getting
00:43:04triangles and squeezy right you always have to be aware of the market structure now on the
00:43:09weekly time frame the market structure changed right here we are already in a bull market right
00:43:14we already made actually in reality it happened right here i mean here we made the first potential
00:43:20higher low then we make a higher high so we already had a change in market structure but as you can see
00:43:25this move down it was i mean it was tough so some some people consider here the start of the bull market
00:43:32right and i understand this but anyway if it's here or here doesn't really matter my point is that after
00:43:37the bull market started let's imagine it was here look now how price reacted when it went to the 21
00:43:44exponential moving average again this blue line is a 21 exponential moving average if you are not
00:43:50really aware what is this i'm not really going to dive into this you can check my courses and you will
00:43:54find out uh with what are the moving the exponential moving averages and how you can use them for an
00:44:01age and strategies i am trading now my strategy that i'm using now uh all the time is with exponential
00:44:07moving averages right now look how this uh basically where where it touch first touch it happened here
00:44:15in january 2016 then here this is not really touch but we can i mean or actually let's just don't even
00:44:22count it right let's count this one that are clear three times three weeks start three touches here right
00:44:28then here we got uh how many five five times then here one more this one is very very close so let's
00:44:39just count it here three three more times right
00:44:47here another time probably you guys now who haven't seen this you guys are like oh man this is free money
00:44:52right and it was free money at that time but not at this bull market right and i'm going to show you
00:44:59and in reality the first time that we close i mean as you can see during this bull market for two years
00:45:06we never really closed below i what i mean by close the candle to close below this 21 exponential moving
00:45:11average right so basically one here let's this these are three times but let's just count all this as one
00:45:18so one two three all this we can count as one three four five six seven times guys for two years seven
00:45:28times and this was the best the best place to buy i mean this was just the ultimate place to buy bitcoin
00:45:36right and just to hold just buy and hold buy and hold even if you don't trade you are just only buying
00:45:43and holding you are going to make tons of money buy and hold during here this buy and hold during
00:45:48this let's just see the levels 350 let's actually let's actually see what if we were buying here
00:45:55so now one time here second time here oops
00:46:05third time here look at this trades guys let's see now how much what are the returns so you'll get
00:46:11an idea how excited i was right for this scenario
00:46:21look at this and i'm not even going to the exact spot but you will get an idea still
00:46:27let's now bring this to twenty thousand because this is where it ended up right so let's bring this
00:46:32to twenty thousand and of course it's unreasonable to think that you will exit exactly at the top but
00:46:39just to get a perspective what kind of returns we are talking about right because here we have
00:46:46seven trades
00:46:50in the matter of two years seven trades that you guys can see oops that you guys can see what type of
00:46:57returns right first one the best one five thousand five hundred percent profit four thousand eight hundred
00:47:04percent profit three thousand four hundred percent profit two thousand four hundred forty four percent
00:47:10profit one thousand nine hundred sixty six percent profit nine hundred and fourteen percent profit
00:47:16five hundred thirty four percent profit the world straight guys that in reality took just
00:47:23less than three months three months actually the the worst trade that take three months it gave you
00:47:29five eggs right five eggs guys this is so you guys can get a perspective how excited i was right
00:47:36to catch this not only excited i was sure that basically i'm talking about uh this here i was sure
00:47:43that when the bull market started this 21 is going to be the ultimate spot to buy right the best spots to
00:47:50buy and it is just a must it is it's not a shoot it's not a if it is a must when this comes into play to buy
00:47:59right and to do this over and over again until we uh go to the moon uh because i mean i was expecting
00:48:06this type of scenario and this type of scenario can again happen but just uh it's it's probably going
00:48:11to happen in in a little bit different way right because many people were looking uh at this same
00:48:16scenario and this is why this this happened right but let me give you an idea what happened
00:48:21once we break above here it was very clear uh that uh the the bitcoin is i mean the bull market started
00:48:28right at this scale so i i was participating in this breakout uh so during this time i had some
00:48:34position right but not exactly as much as i wanted right so during this whole time i was waiting for
00:48:40this thing to go to this 21 so i can buy tons of bitcoin right so i can buy as much as possible
00:48:48because i was expecting it then to i mean as you can see seven times here for two years it never closed
00:48:53below the 21 so i was sure that the same is going to be again so during this whole time for about
00:49:01from here let's say during this old time 161 days i was waiting for the this 21 to come into play right
00:49:08for the price to come down here and i was going to buy a lot right and this is what happened i bought
00:49:14a lot here right i bought a lot and at this time of course i was trading with risk management and all this
00:49:20type of stuff so i before the previous example i did not use risk management at all in 2018
00:49:26here i absolutely traded always with risk management but in this scenario i was just so sure that this
00:49:33is not going to close that i break my risk management rule and i enter i was like oh it's okay i mean
00:49:41let me just enter very big position here uh i was not even considering this to go wrong right so i just i
00:49:48was so sure that this is uh and that this is just not gonna close below this that i was buying i mean
00:49:54the more down it was going the more i was buying because i was like this is going to be a week
00:49:58just like here right you see these weeks for example right here you see this week guys it went below
00:50:04but by the time the week close even this one this is even better example because look how big it is
00:50:09it went down a lot but by the time the weekly close it went back above right it went and it closed above
00:50:16so i was like oh this will close above by the end of the week so the more down it was going the more
00:50:22i was seeing it as an opportunity to go back but by the time saturday i already started to panic because
00:50:28it's not looking like it's gonna go back and by the time sunday it closed below and i end up at a very
00:50:35big loss right i mean i still had the discipline to exit right because if it was my all my previous me
00:50:43i was not going to exit here and i was like just going to hold it and if it continued to go down i
00:50:48was probably going to be liquid right because i was in a big margin position but i had the discipline
00:50:54and i was like okay i was absolutely wrong let's just exit i mean i broke my rule i broke it right
00:50:59i risked more than i have i should have on a single trade and i lost a lot of money here right i lost a
00:51:05lot because uh just like i told you the more down it was going the more i was buying because i was really
00:51:10expecting it to bounce and i was even going to make a lot of money but it did not so i lost a lot
00:51:16not all i lost a lot but um basically i i still had the the power so i improved a lot at the time
00:51:24because i had the power to just uh accept this loss take it and continue right i knew that i have a
00:51:31strategy i knew that over time i will uh make this money so it's just okay i've said it and i lost it
00:51:37right the problem was that after this happened as you can see it went for sideways right it went
00:51:43sideways and then this uh this scenario right here it was uh i mean here i was thinking that basically
00:51:51if we check the volume guys on this candle i can assure you the volume is very big i was thinking
00:51:55like look at the volume right look at the volume of this candle compared to this previous candles
00:52:00so i was like oh man this was a trap they just knew that everyone expected this to hold so
00:52:06they trap the people so they will exit their position so they will uh load right they will
00:52:11load their position and now this is going to go up so fast i i mean i started to make up some scenarios
00:52:17here and obviously i mean i was wrong so this was this was the trap right no this this was the trap
00:52:24uh but this trapped me absolutely right so here i broke my rule again and as you can guess i mean i lost
00:52:33a lot right because i was like oh man i'm so angry i'm so mad i mean did how they did they trap me so
00:52:40bad now we are going to the moon let's just go as much as possible because i was right this thing is
00:52:45gonna go to the moon this was just a trap right here uh in order to for the people to i mean for the
00:52:50people to be stopped out but uh so i i basically here is where i lost uh the remaining right the i mean
00:52:57i did not lose everything here but here i lost almost uh all the remaining because i entered too
00:53:02big and as you can see it uh closed below so i exited but i lost a huge amount right i mean um
00:53:09it's just how it is right and this is all because uh of no i broke my risk management rules right and
00:53:16of course there are other reasons behind the scenes like uh not accepting the opportunity to be wrong
00:53:23i mean not accepting the possibility to be wrong i was absolutely certain that this is going to happen
00:53:28but it did not happen right and again just just to mention something here guys and i will uh i will
00:53:34then tell you um because at this time again this idea i get it from from my second mentor right from
00:53:43my second mentor he from him i saw this scenario and he was very sure guys he was also very sure
00:53:49that this actually from him i get the idea to be so sure because he was like so sure that this thing
00:53:55is not gonna close below the 21 he was absolutely sure and then uh this is why i mean i'm not about
00:54:01to blame someone else it's absolutely my i i mean i'm taking all the responsibility no one told me to
00:54:07enter without risk management or something like this no one ever told me something like this so it's all
00:54:12my fault my point is that uh i mean this gave me additional confidence because i was like oh he knows what
00:54:18he's doing so i i gave him additional confidence and this is what happened this is why now guys
00:54:25some of you who are in my discord because as you guys uh i mean the one of you who don't know i have
00:54:30a discord group let me just quickly show you the discord you can uh find the link uh in the courses or
00:54:37on my website if you want to you can find the link let me just show you my website
00:54:42just quickly you can find the link to join my discord group because this is where
00:54:47uh you can ask me any question you can be in an environment with other traders right this is my
00:54:52group you can get your invitation and to join so you will be in environment with other traders right
00:55:00very good environment where everyone is sharing what they are learning you can you we guys uh will
00:55:05grow together in this environment you can find this link uh the the best you can just open my website
00:55:11bobbyb.podia.com right then navigate to about me page again my website is very simple bobbyb.podia.com
00:55:20you can find it in the search then just go down and you can find here the the resources right my youtube
00:55:26my discord you will just click here join the group i will show you and you will be able to join my group
00:55:31you will get an invitation to to join it right currently 217 members so this is how you guys um
00:55:41can join if you want to and you can join here ask me any question my point was why i'm telling you this
00:55:46because many people are asking me often for predictions but this is why i never really want
00:55:50to give prediction guys and i'm doing my best i mean i want to help but in the same time i never really
00:55:55want to give prediction because i know that people will run and take a trade based on this prediction
00:56:00without preparing themselves for if this is wrong right because they think that if someone told you
00:56:07if someone i mean if someone that they they trust tells them something they consider it's truth right
00:56:12and this why i'm telling you this because i was doing this right i was considering what these people
00:56:17are telling me it's a truth and i was making decisions without preparing myself for what if they
00:56:22are wrong and this is what happened right so this is why i'm i mean you guys i know that you want me
00:56:29to give you predictions and stuff but i really don't want because this is very very dangerous and i
00:56:34i wish you the best i don't want you guys to lose money based on this type of prediction uh so this is
00:56:40it for this uh for this video i just wanted to give you another example how important risk management is
00:56:46and it's a must right always always always but don't you guys worry in the next lectures i will talk about
00:56:52uh how uh but basically how to calculate this type of stuff and i'll give you also a trading
00:56:57spreadsheet trading slash trading diary where this diary this trading spreadsheet will be doing the
00:57:03calculations for you automatically so you don't have to worry now i'm out for this video and always
00:57:09remember protect your money first always know that you're going to be wrong many times always know
00:57:14that everyone is wrong many times even the best in the world and you have to manage the risk
00:57:20risk video i will talk about the risk management system right so i'll give you an idea how to
00:57:27calculate it because it's important to know how you are not going to do it always manually right because
00:57:33in the next video i will give you my trading spreadsheet my trading diary that is calculating
00:57:39this automatically for you but still i want to uh show you how the calculations are being done so you
00:57:45can get an idea right so first thing you are always going to risk you guys already know this right
00:58:02that you are always going to risk maximum of one percent of your trading account on a single trade you
00:58:09guys always have to remember that trading is a game of probabilities there are no certainties right and
00:58:16since there are no certainties you never really know what's going to happen on a hundred percent you
00:58:21cannot be sure you don't have a crystal ball even the people who have a crystal ball they are not right
00:58:27a hundred percent of the time you can check i mean you you check these people like nostradamus or whoever
00:58:33you want guys and you see that there they were wrong many many times right so since even if you
00:58:40have a crystal ball you always you still have to have risk management guys i mean even if you have a
00:58:44crystal ball risk management is just as important as it is even i mean if you don't have crystal ball
00:58:51right just like most of us we don't have um so one percent on a single trade what does this mean how
00:58:59do you calculate one percent just i don't even have to write this down guys because it's very very
00:59:04important just whatever your account is i will show you now how to calculate this so you know what your
00:59:10risk amount in dollars is right so i can actually write it that write it down for you oops let me write
00:59:16it down for you let me just put this here like this anyway just a second okay perfect let me
00:59:29write this down for you so this is it guys i mean to if you want to know how much your risk in dollars
00:59:53is going to be just multiply your account size your account balance uh to 0.01 right and i'm going to
01:00:00show you now so if your account is one thousand dollars just multiply 0.01 this is one percent right
01:00:08uh and it means ten dollars your risk amount in dollars is ten dollars right i can actually write
01:00:13this even for you here below so your risk amount is gonna be uh ten dollars if your account is one thousand
01:00:22dollars multiply 0.01 and this is going to be your risk right this is how this calculation is being
01:00:29done if your account is let's say two thousand five hundred dollars you will do the same 0.01 25
01:00:36dollars bam right if your account is uh i mean let's say it's fourteen thousand right it's gonna be
01:00:44a hundred and forty dollars right it's very simple math so 140 this means that if you lose this trade
01:00:52whatever trade it is you are going i mean you cannot lose more than ten dollars if you are trading on a
01:00:58thousand dollars account you can never lose more than ten dollars on a single trade guys and this is key
01:01:06no matter how sure you are don't be like me i was so sure about this bitcoin trade actually let's just
01:01:12remove this i was so sure that uh this 21 will hold and i took bigger risk and i lost more in reality
01:01:20uh we should never lose more than one percent right in reality in a thousand dollars account you
01:01:25should never lose more than ten dollars right uh so this is the first thing that you need to know
01:01:34in order for for the risk management system right so the first thing that you have to know
01:01:38let's write here one let's put one big number this is the first thing that you guys have to know
01:01:47actually let's just put like this first thing is how much you are going to risk uh on a single trade
01:01:57right the second thing that you guys want to know is let me write this here second thing
01:02:08actually i should say
01:02:19this is the second thing right the second thing that you want to know is where your stop loss
01:02:24is guys right this is the second thing you want to know how far from the price right now your stop
01:02:29loss is and i'm gonna show you let's just make this bigger uh let's just go on a daily time frame or
01:02:37actually we can even go on a two hour time frame uh let me just put the emas here
01:02:44oh we just need all the emas i'm just gonna give you an idea uh this is a strategy that i teach
01:02:51this is with the emas but we're not gonna go into this right let me just see if here we get them yeah
01:02:57here there was an entry so let's say that you are seeing here the moving average is to cross right so
01:03:02you are going to enter a trade now it doesn't really matter what your strategy is guys at some
01:03:08point you will want to enter a trade right at this moment when you decide to enter a trade before you
01:03:13enter the trade you have to identify first as you already know how much you are going to risk right
01:03:20the second thing that you want to identify is how far your stop loss is going to be where your stop
01:03:25loss is going to be right so if i'm seeing this basically my strat this strategy my strategy that
01:03:30i'm teaching is giving an entry right here so it's giving an entry right here but before i enter i
01:03:36want to identify where my stop loss is going to be in this case i will pick a stop loss somewhere below
01:03:42this level right below this level so now i have the second thing that i have to know before i enter a
01:03:50trade which is how far my stop loss is right and this is this number right 2.37 percent this is what we
01:03:58need right and as you can see this trade is beautiful right i mean right now it's sitting at
01:04:048.23 risk reward is still did not get exit but it's let me now go back to this the second thing that
01:04:14we want to know is how far our stop loss is in this case our stop loss was actually i can just delete
01:04:22this and use this our stop loss was two point i don't think i forgot already 2.43 or whatever it
01:04:29doesn't really matter let's say 2.43 percent away let's just make this a little bit further one from
01:04:35from the other one so now you know the second most important thing how far your stop loss is basically
01:04:44from your entry price again you are not entering yet guys you have to be aware of this before you enter
01:04:50you are doing this process right here and after you do after you find out these two right 10
01:04:57dollar risk amount in dollars the stop loss is 2.43 percent away now you can calculate how much your
01:05:03position size is going to be and then you will be able to enter right so this system guys that i'm
01:05:11teaching you right now it's designed to protect you basically so you cannot really enter without
01:05:16a stop loss right you cannot enter with risking more than one percent and you cannot enter without
01:05:22stop loss right i i mean this i designed it in a way that can prevent me because my problem was that
01:05:28i was risking too much on single trade and i did not even set the stop losses right so this with this
01:05:35process with this system that i teach you now you will eliminate if you are strict with it of course and
01:05:40discipline you will eliminate this problem instantly just like this right i mean you can because you cannot
01:05:46enter without it now swan now after you have these two you will just divide let me first before i
01:05:53write let me write this down for you now you will uh get your risk amount in dollars
01:06:05let let me just put it a risk dollars you know what is it right it is this one you just divide it by
01:06:12and what you will get is your
01:06:22your position size you will get your position sorry for this guys you will get your position size right
01:06:29let's now do the calculations so 10 dollars is your risk right 10 dollars divided by 0.0243 because this is
01:06:41point uh i mean this is 2.43 and your position size is now 411 dollars right so let's write this down
01:06:51here below so basically you do these calculations 10 dollar by 0.0243 and it equals 411 dollars right so
01:07:04it means that you will buy bitcoin for 411 dollars this is your position size and after you do this
01:07:12you will set your stop loss right you guys uh know how to set stop losses and all this type of stuff
01:07:18if you don't know you can i i mean in my courses you can see i have courses for beginners as well
01:07:23that teach types of orders and all this type of stuff so you then are going to set your stop loss right
01:07:28the way and you are all set guys you are all set even if this trade goes against you right in this
01:07:35case this trade went beautifully and it made tons of money but even if it goes against you you will be
01:07:40stopped out and you will lose maximum 10 dollars right so with this system again you cannot enter a
01:07:49trade without knowing these two things that are so important right because in order for me to enter a
01:07:54trade i know i i have to know how much my position size is going to be right but with that i mean i
01:08:00i cannot know what the position size is going to be i cannot know for how much money i will buy or sell
01:08:06uh without knowing how much i'm risking and without knowing how far my stop loss is right so this is key
01:08:12guys and i really advise you to start using this risk management system now this is what is happening
01:08:19behind the scenes right i wanted to give you the whole process and everything but in the next video
01:08:23i will give you the spreadsheet uh the trading diary that will be doing this automatically for you
01:08:30so now if you have to rewatch this again if it's not clear i hope it is because it's simple if it's
01:08:36not you have to rewatch it again just to to get familiar and to be aware how this process is being
01:08:41done and then in the next video i will show you my trading spreadsheet and how to be using it because
01:08:46you will be able to get it for free and use it for yourself so this is the trading spreadsheet
01:08:53this is the trading diary that you guys are going to be able to get um first let me show you how you
01:09:00can use it and then i'll show you how you can get it for free right so first here are the numbers of
01:09:05trades right here is the pair this is very simple right you just have to type what pair are you trading
01:09:11and this spreadsheet is for cryptocurrencies right if you want to use it for on the other markets you will
01:09:17i mean you can still use it absolutely just you are not going to have to uh put here the price of
01:09:22the coin you still can absolutely use it for whatever you are trading right so let's say that
01:09:26you are trading ethereum then here you will have to put long or short position right you have to be
01:09:32doing this in order for this formula to be calculating properly uh your profit and loss right because the
01:09:37formula is different for long position and for short position so you guys always have to make sure
01:09:43that you are putting here either if you are in a long position or a short position if you are in a
01:09:49long just type l and it will be green if you are in a short just type s and it will be short right
01:09:56the next thing that you have to do is to simply uh put your stop loss right because you guys already
01:10:02know how to identify where your stop loss is going to be actually whatever your strategy we are using you
01:10:08all you always have to know where your stop loss is going to be before you enter the trade right so
01:10:14let's say in this case um the the stop loss is three percent away right so we will put three and
01:10:23that's it stop loss done the the next thing that you have to do is you have to put your account
01:10:28balance right so let's say that your account balance is one thousand three hundred dollars just put one
01:10:34thousand three hundred dollars and you will see that the risk is automatically calculated because
01:10:39i put here in the formula to calculate automatically you just have to put your account balance i mean
01:10:45i cannot make this automatic because i don't know how much your account balance is right this one cannot
01:10:50be automatic because this one is different every time and this one is different every time right so
01:10:55these two you always have to put it just like this as well right of course the risk is always the same
01:11:02meaning it's one percent of the account so when account is different the risk will be different
01:11:06you can see here if the account is uh 14 000 the risk is going to be 140 dollars right but the point
01:11:14is that then your position size is going to be automatically calculated as you can see
01:11:19the moment you put stop loss and account balance your position size is automatically calculated right
01:11:26automatically now you know that you have to buy or sell if you are short selling
01:11:31ethereum for 433 dollars right but since we are in the cryptocurrency market and you can be trading
01:11:39ethereum against bitcoin right this thing will not really i mean uh you cannot open a trade if you know
01:11:46only your position size in dollars this is why i put here price of coin in dollars right so when you are
01:11:52this is for when you guys are trading bitcoin pairs right i mean uh coins out coins against bitcoin right
01:12:01when you are trading this you just have to put the price of the coin here in dollars right let's say
01:12:06that ethereum now is 430 dollars and you will get the number of coins right the number of coins that
01:12:12you have to short or long right so this is how you can open this number is equal to the position size
01:12:18right it is just if you are trading uh i can actually show you quickly right if you are trading let me just
01:12:25go here if you are trading cryptocurrency and because some of you will be from the other markets and you
01:12:31might not be aware what i'm talking about when you are trading bitcoin pairs uh basically you have to know
01:12:39how many coins you are going to short or long because otherwise there is no way to enter the position
01:12:45right i mean you have to be doing these calculations uh manually let's open the ethereum btc so you will see what
01:12:51i'm talking about so this is stereo bitcoin from here you can right away get the price that you are
01:12:59going to put here right this price you are going to put here uh as you can see here to open and short
01:13:05you need the amount of ethereum right because the price is in bitcoin you need the amount of ethereum
01:13:09to know what kind of position size you guys are going to open uh so this is with this purpose for the
01:13:15one of you who are going to be using this spreadsheet for forex or something else or the
01:13:21the stock market you don't have to to be doing this right the the price of the coin
01:13:25then you will just put your entry whatever the entry is let's say that the price now is 0.03
01:13:33then what you have to of course when you exit you have to put your exit let's say that you exit
01:13:39at 0.0305 or actually let's just make it a little bit more something like this so basically
01:13:49here you see how many percent you made and what profit loss you made 35 dollars right and then
01:13:55here what i advise you to be doing is to put screenshots right screenshots how do you put screenshot
01:14:01from the trading view just click this button take a snapshot copy this then just paste it here
01:14:11and that's it right and now wherever you come back you can just click and open and see the trade
01:14:17right now this is very very important guys this is very very important as you can see here below
01:14:23these are the people that currently uh basically enrolled in my two month uh mentorship program
01:14:30right they are in there so here i can open now and check the trades of everyone right because in i mean
01:14:37you guys want to be recording i want to make a point or now why you want to record your trades right
01:14:43because you cannot progress in something that you don't measure right you cannot progress in something
01:14:48that you don't measure so this is why you want to record your trades because later on you can come
01:14:54back either you or someone else for example you can ask me hey can you let's go and review my trades
01:15:00to see where my boat is leaking right because i mean you can ask for help but if i don't see your
01:15:07trades and all this type of stuff i have to see and find out where the boat is leaking right and you
01:15:10can do this on your own as well but in order to do this you have to record all trades so later on you
01:15:17can open this spreadsheet and see okay here i've done this here i've done this let's see now and it's
01:15:23much easier when you uh get someone for example like me to review i can quickly see where you what
01:15:29you are doing wrong and where you are doing wrong right so here there is one more place for comments
01:15:33that you can put comments if you want and here as you can see i have the uh spreadsheets of uh the
01:15:39people who enroll in the mentorship program uh you guys are probably aware of my two months
01:15:44mentoring program if you are not you you can uh contact me if you are interested and uh we'll talk
01:15:50about it uh but i mean i can easily now open the spreadsheet and check all their trades right and
01:15:56check what they've done right what they've done wrong and all this type of uh stuff and you can be
01:16:01doing this on yourself also but if you don't have the data how can you do it right i mean if you don't
01:16:07have the data so this is why guys i encourage you uh to get the spreadsheet if you don't have one if
01:16:12you have one i encourage you to use it and to record all your trades without i mean you should
01:16:18not do a trade without recording it right all trades plus screenshots because with the screenshot
01:16:24it's much easier to see what happened right to open and see what happened and if you want you can
01:16:29put comments as well where do you get the spreadsheet the spreadsheet again from my website you can
01:16:35uh find it in the about me in the about me is the page where you can find the free resources that i
01:16:42have right so basically you can go here and find the daily routine the spreadsheet so basically you
01:16:48just click here and you will get the spreadsheet right and again it's crucial to record your trades
01:16:54guys it's crucial to record your trades because this is how you can grow you cannot grow in something
01:16:59that you don't measure so this is it for this uh also you can make your own if you want to but it's
01:17:06it's necessary to have a spreadsheet trading diary where you record all your trades so this is it for this
01:17:11video now uh you can start jumping in the other parts of the course but i just always want to make
01:17:17sure that in all of my courses first i'm talking about risk management so all right guys just a quick
01:17:24video i updated the spreadsheet a lot right so it's much different from the video that you have seen
01:17:31and it's much much better right so first you have instructions here right there is a video with
01:17:37instructions if you just go for i mean there is instructions how to get the spreadsheet right
01:17:43uh and also a video with instructions how to use it right so you have to check this first when you get
01:17:49the spreadsheet then we have i'm not gonna go into this video to explain you exactly how to use it i
01:17:54just briefly mention right so here we have pairs and stuff this is for cryptocurrencies right this
01:17:58spreadsheet is much better guys i mean here is calculating you profit percentage uh i mean dollars
01:18:05everything this spreadsheet is amazing right this is for cross margin in binance this is for isolated
01:18:10margin and you can use it for other exchanges it doesn't have to be binance right it's just
01:18:16whatever you are trading cross or isolated btc or usdt pair you can use you can use it for everything
01:18:22also there is account tracker this is something else that i added which is brilliant right here
01:18:27you are able to track your account right how much profits you have losses right i mean at the end of
01:18:33the month uh you want to know if you are in profit if you are in loss right but you're gonna see how
01:18:40to use it in the video and long term this is brilliant guys because long term you will be able to see
01:18:45if your equity curve is going up or down because this is the most important right you want to know
01:18:50long term if you are making profits or no if you are losing money or making money
01:18:54right so in the instructions you will be able to see everything uh how to get the spreadsheet right
01:18:59you just have to go to bobby bobby b.polio.com about me and you will see it right here when you
01:19:08click right here you will be able to to get the spreadsheet right you this is my website you can also
01:19:13join the discord group from here you can get the free training right but uh this is how you're gonna
01:19:18get the spreadsheet so again you will just either in google or here you type bobby b.polio.com
01:19:29slash about up about me that's it just click hit it and right here you're gonna be right here just
01:19:40click right here and you will be able to get the spreadsheet this is how you get the latest version
01:19:45right and um i will keep updating it right i'll keep updating the spreadsheet uh so yeah i will let
01:19:52you know when i update it again so you guys can can get it uh can basically get the latest version
01:19:59but this version is already i mean so much better than what we had before it's just so so much better
01:20:06uh so yeah this is it for this one i really encourage you to go ahead and get the spreadsheet because
01:20:11uh so it's very very important to be able to track your trades right very very important
01:20:27you
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