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When you are doing day trading one of your firsts concerns is how much to trade. If this is your first trading experience, you will learn that it is a smart move to have a diversified portfolio; do not put all your eggs in the same nest. Also, do not bet all in one trade; trading is a bet with all the technical analysis behind to reduce the loss risk, but at the end of the day it is still a bet.

With all that said, you will need to define a percentage per bet. For example, I like to bet 2% of my capital per trade. I will talk about how to know how much money that 2% means.

One of the things I have learned when coding Trademinator is that you can not have the same strategy when you have a bulling or bearing market. When a market is bulling, the smartest thing you could do is holding until you reach an inflection point before selling; when you are in a bearing market, you sell to prevent losses as soon as possible.

There are many ways to detect the trend: bearish, neutral, bullish. The DMI and ADX metrics are for that, but they require CPU power. After giving a thought, I came with one solution from my own which it requires much less CPU. I will talk about one I have come myself.

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Until you start trading more seriously you will realize how useful are all the graphs and metrics given from exchange sites such as Poloniex or Kraken. Now that I am coding my trading robot, one of my concerns is the ability of risk prediction. Taking a look into Market Depth graphics half-satisfy my need.

Some of you may know that lately, I have been doing some stuff with crypto-currencies and blockchains. One of those things is the trading between many crypto-currencies and the US dollar of course. As you will see, using the trades websites is a business for everyone. Business for us as traders but a business for the exchange with their fees. The first problem you will face, regardless your skills for trading is to know the Breaking Even Price.

The Breaking Even Price is the minimum or maximum price you need to sell or buy in order to have a zero profit when doing trading. This value will help you to prevent looses as trading is playing with money. Knowing this value is as easy as the division of the market currency by the quote currency after subtracting the fee. The fee may apply to the quote currency if you are buying or to the market currency if you are selling. Look the following examples:

  • Buying: For example, in an ETH-USDT market, when I buy ETH, I bought 6.21945523 E for a price of 65.75002497 USD with a commission fee of 0.00932918 E. In this case, the breaking even price is 65.75002497/(6.21945523 - 0.00932918) = 10.5875508 USD/E. Which it means that if I want to do a profit, I must sell my Ethereums at a minimum price of 10.5875508 USD/E.
  • Selling: Now, in the same ETH-USDT market, when I sell my ETH, I sold 9.90436603 E at a price of 103.50079448 USD with a commission fee of 0.25940049 USD. The breaking even price is (103.50079448 - 0.25940049)/9.90436603 = 10.4238265909 USD/E. Which it means that if I want to do a profit, I must buy Ethereums at a maximum price of 10.4238265909 USD/E.

Enjoy and happy trading!

When you start doing mining, the last thing that passes through your mind is if it is profitable. When you start with it, it is more research than anything. Soon, you will realize that it could be profitable. And why not, today (May 2nd, 2017) Ethereum price is around 82 USD (116 CAD approx)!

In 2016, I was able to build a Mining Rig using Mageia. I must confess it was working, I was able to produce about 4 ETH's monthly. But at that time, ETH price was about 15 USD, and in December I decided to turn it off. It was not profitable at all, not to mention the negative cash flows it was producing.

One of the big issues of this activity is the negative cash flow it produces. Bills must be paid on time, in other words, the power bill. It will pass some days or months before you can cash your tokens. So, because of this, I will propose a way to decide when it is convenient to turn on your rig and when it is not. I will not talk about the technical aspects, for example when you turn on or off automatically the rig based on the Ethereum price.