Trader with almost 50 years of experience gives important advice
- How many successful trades should a trader have?
- Can traders use his crypto tips?
Peter Brandt is well known for his extensive experience in the traditional and cryptocurrency markets, as the trader has nearly 50 years of fund management under his belt. Today he decided to give advice to cryptocurrency and stock traders who share their thoughts on Twitter.
How many successful trades should a trader have?
According to Brandt, its success rate is just over 50%, which is why it has been profitable for the past five decades. He also told his followers that it was normal to make mistakes and he made a lot of mistakes, but he kept the win rate above 50%.
Twitter is full of trading geniuses who are never wrong. It is not me
I take a loss almost as often as I take a profit – fair win rate >50%
If you can’t figure out how a trader can be net profitable with such a winning rate, then you have to put your money in your mattress pic.twitter.com/bjKW3OZKfj
— Peter Brandt (@PeterLBrandt) August 12, 2022
Brandt spoke of “trading geniuses” who are never wrong and share only successful traders who create the image of an oracle who keeps his trade win rate well above 50% and easily doubles his portfolio.
If someone is unable to understand how it is possible to make a profit with such a small percentage of profitable traders, they should keep the money in a mattress, says the experienced trader and fund manager.
Can traders use his crypto tips?
Although he is primarily a stock and derivatives trader, Peter Brandt’s advice can be easily implemented in the cryptocurrency trading industry, as the rule of having a win rate above 50 % is the key to any successful trading portfolio.
But traders should also keep in mind that risk management in trading digital assets differs greatly from trading stocks, bonds, or anything less volatile. Lack of liquidity and trading volumes sometimes causes double-digit intraday fluctuations in some cryptocurrencies, rendering traditional trading and investing strategies ineffective.
During the latest correction, Bitcoin lost more than 65% of its value, while traditional indices like SPX lost less than 25% at the all-time low.