AMA Trading Sharing Session with Bitget Top Elite Copy Trader Siew Tiong: Summary
On August 13, 2021. Bitget held an AMA Trading Sharing Session with one of our Top Elite Copy Trader at Bitget English Community TG. Here are the summary of the questions and answers !
Introduction Questions
Q1: Could you introduce yourself and share some of your trading experience with the Community?
A: Hello Bitget Community, I am Siew Tiong from Singapore :) I am a swing trader and I have been trading in the stock and crypto market for 2 years. For swing trading, usually, I will open a position only when I see that there is a really good setup, such as starting a new trend, reversal patterns, or when a crypto becomes undervalued after a big dip.
Q2: For beginner traders, what are some of the things that they should learn first ？
A: For beginner traders, I would suggest that they should not rush into real trading using their hard-earned money immediately. Always understand more about the market, and research more on the technical and fundamental aspects of trading from watching Youtube videos, books etc, and then go test out your trading strategies on a demo account for 1–3 months. It is also good to have a trading journal to record your trades, understand what strategies work for you and what strategies don’t.
After all of these, when you see that you can have a consecutive month of profits on your demo trading account, you can then start your live trading using real money :)
Q3: What is the best product feature that you like about the Bitget platform?
A: Like I mentioned above, I always feel that new traders should test out their trading strategies on a demo account, and I see that Bitget has a “Simulation” trading which is just like a demo account, and users can practise trading with a 5000 USDT demo money on Bitget. This is a good product and I don’t see many exchanges providing this feature :)
Q4: What is your biggest trading win on Bitget?
A: For the above ROI, it is not a swing trade but a short term trade :) I just started trading on Bitget recently, hence I don’t have a super high ROI%, and I will share with the community once I have a super high ROI !
Q5: Any advice that you wish to give especially to the new traders in our community?
A: I feel new traders should be more patient when they start and do not expect to have a few hundred % ROI instantly in their first month of trading. It takes months or even years for good traders to master their strategies, emotion, analytical skills etc.
New traders should also not give up easily when you have multiple losses, when this happens, you can take a break and reflect on your trade and just improve it on the next trade!
Q6:Can you share with the community about your swing trade strategy?
A: Kindly check the above pic, I called this strategy: Ride the wave.
Haha ok so let me explain, this chart is in a 1Day timeframe. I would open indicators EMA50/100/150/200, in a healthy uptrend, the candles will always tend to bounce off the EMA, and whenever you see that the candle has touched EMA50/100/150/200 after a long time (weeks to months), you can enter the trade. Once you see that the candles have risen to the previous swing high (as shown in the pic), you can sell to book profit before the opposite selling pressure kicks in.
However, do take note that before you enter the trade, you have to analyse the current market for any big negative news etc. After entering the trade at any EMA50/100/150/200, also remember to put a Stop loss 3–5% (depending on your risk tolerance) below the candle’s lowest point.
Twitter Questions
A: For Swing trading, do not use smaller time frames like 5/15/30M, I usually will start off by looking at the Daily Timeframe to get the overall trend and market sentiment, and then I will go and look at the 4H/3H/2H/1H timeframe. For choosing the best type of timeframe, you have to know what type of trader you are. If you are an intraday trader or day trader, you would only want to focus on the 5M/15M/30M/1H timeframe.
But for swing traders like me, we will look at the 1H/2H/3H/4H/1D timeframe. Furthermore, for a swing trade, ideally you want to look to gain 5–10% % profit minimum, so the Daily timeframe is good as it is one of the most used timeframes by big players like mutual funds and other entities whose actions have a significant impact on the market.
A: I study trading by watching YouTube videos and practice my trades on a demo account before trading a real money account. Here are the advantages for swing trading as compared to day trading:
- A swing trade may take a few days to a few weeks to work out, so swing traders do not need to be glued to their trading charts all day. They can even maintain a separate full-time job (as long as they are not checking trading screens all the time at work).
- As Swing traders are seldom full-time traders, hence there is much less chance of burnout due to stress as you do not have to trade daily.
Q3: What is your risk reward ratio (RR) usually you use each trade for your setup swing trade?
A: Risk/reward ratio is used by traders and investors to manage their capital and risk of loss. In my opinion, the ideal risk/reward ratio for a swing trader’s investment is to be approximately 1:3, or three units of expected return for every one unit of additional risk.
A: For swing traders, you should only enter a trade when there is a strong trend or momentum, your goal is to make fewer, but more substantial gains.
With reference to the above pic, those points are good entry/ exit points for a swing trade as it is the start of a new uptrend/ downtrend and with a small amount of leverage, you can earn really good profits as there is a significant gain/ loss in the price.
Let me show another example when the market is going sideways:
With reference to the above pic, it is very clear that it is a ranging market (market going sideways). I don’t like to trade in a ranging market such as no matter how this pairing / crypto moves, it will still be stuck between the support and resistance point and there won’t be any significant price changes. Therefore, you should analyze the crypto carefully and make sure that it is not in a ranging market before entering a trade, and you can choose other coins to trade.
However, if you click on the daily timeframe and see that the range is very big, you can also consider going long/short at key support/ resistance levels of the ranging market. (Only if you see there is a significant price % difference between the highs and lows )
A: For traders who are unsure what leverage is, leverage is the use of borrowed funds to increase one’s trading position beyond what would be available from their cash balance alone. Since leverage can amplify both profits as well as losses significantly, it is important to choose the right amount of leverage.
For swing trades, I would never use super-high leverage like x100 or x50, as the cryptocurrency market is a 24/4 market with high volatility and swing trades are meant to hold overnight and even days. For a start, I wouldn’t recommend new traders to use the leverage that is more than 5x, as 5x leverage means that you will be liquidated if there is a -20% drop from your entry price. Once you are more experienced in trading, then you can consider using higher leverage.
For swing trades, try to hit the leverage below x10 still, as there might be a possibility for the crypto market to experience a dips -10% suddenly due to any major news etc. For day trading, since you are going to monitor the chart and price closely, you can use up to x50 in my opinion if you want to have a quick trade on a good setup. Lastly, regardless of day trade or swing trade, you should not go all in 100% in a single trade but buy in parts. For example, for a swing trade, you can enter 50% of your position using x5, and if it has a dip, you can enter the remaining 50% of your position using x5 leverage to average your entry price and lower the liquidation price.
Live QNA
Q1: What are your favorite indicators on trading? Can you share some of the best indicator combinations according to your experience?
A: My favorite indicators would be using EMA 50/100/150/200 on a daily timeframe chart to know where should my entry price be. And also I do also use RSI to see if the current price is oversold or overbought. Do remember to draw your support and resistance lines too as that is very crucial.
Q2: You like to do swing trade. So can you tell us the most important things which we should always follow while doing swing trade?
A: The most important thing for a swing trade is to have a good entry, set a stop loss and be patient and wait ! haha , sometimes many swing traders lose their patience and want their trades to MOON overnight etc, which is highly unlikely.
Q3: Your trading experience is of 2years. Can you tell us the most important lessons you have learned in these two years?
A: Most important lesson is that we should always follow our trading setups and not be greedy. Means that if the SL is at 30k for BTC and the price of BTC is at 30641, you should not go and adjust the SL to a lower SL. Same goes to TP, when you do proper analysis and set TP at lets say 40K for BTC due to many past strong resistances, just take profit and do not readjust your TP price.
Q4: Can you list some of the advantages that you feel of being a swing trader than an intraday trader?
A: More freedom and less stress as I do not need to monitor my trading view charts constantly, I have tried intraday trading before but its just not for me :)
Q5: Are you purely looking focusing on the technical analysis? Or combination of fundamentals + technical?
A: Combination of both ! But more on the technical analysis part, for fundamentals I just look at the current market news ( to see if there are any major news that could affect my trades)
Q6: Do you favor both professionals and beginners in trading?
A: Not sure I got your question haha, but for both professional and beginner traders, they should always constantly find ways to improve their current trading skillsets as its getting harder to profit in our current market compared to 2 years ago when I first started trading :)
Q7: Can you list some features that you like most on bitget platform? Also how long do you hold a position usually?
A: I like the Simulation and CopyTrade feature the most !! For my position it depends, sometimes days, sometimes weeks, but recently my positions are all 3–5 days as I like to book profits in the current crazy volatile market.
Q8: How much % of capital do you risk on each trade? Since emotional control is a key factor, did you ever loose that control during trading? How we can improve it
A: You can refer my above answer :) My risk reward is usually 1:3. For emotion control, yes is a big factor and it is hard to master, just got to trade more and overtime u will improve4
Q9: A big problem in futures trading is the huge risk of liquidation due to large fluctuations, but if WE manages to reduce these risks, can we keep trading even when the market temporarily drops sharply? If so, how would you avoid the shutdown operation?
A: Yes. So the key here is to not leverage high amount, for swing trades I usually leverage x5 MAX, meaning that my position will only get liquidation if the market drops -20% from my good entry price (Which is unlikely as most of the time I would enter the trade at a good price, but if it crashes then my SL will be there to protect me from additional losses)
Q10: Do you have a guide tutorial for beginners on how to place better and profitable trades ?
A: haha sadly I don’t. I think there are many good traders in this community and you can consult them for trading advices ；） or u can always watch youtube videos
Q11: What do you think about the market(btc) in upcoming weeks according to your view?
A: Ranging market for the next 1 week :D will just consolidate at 44–47k range , for weeks, honestly its hard to tell haha
Q12: In the case of BEAR MARKET , how do you think USERS can handle it, especially beginners?
A: In the case of bear market and a start of a strong downtrend, you can always open a SHORT position and you can do that on Bitget :) As Bitget offers both long and short trades and you can profit in both directions
Q13: How often do you trade usually?do you have a monthly target on your capital?
A: I trade 1–2 times a week haha, monthly target I aim for 30% ROI.
That is the end of our summary :) Do note that Bitget is still recruiting copy traders worldwide, so we welcome all good and experienced traders to join us to get MASSIVE REWARDS!
For more information about the benefits of becoming Bitget’s copy trader, kindly check out this article: https://bitgetglobal.medium.com/bitget-is-officially-recruiting-copy-traders-worldwide-341e25af13b5
Thank you for your constant support!
Bitget Team
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