How to build an edge ๐ช in the markets, and why you should do it:
A ๐งต on something VERY important you should work on in the ๐ป to help you become better at trading
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A ๐งต on something VERY important you should work on in the ๐ป to help you become better at trading
๐
1/ What is an edge? Investopedia defines it as a technique, observation or approach that creates a cash advantage over other market players.
Simply put, think of it as a passive buff you have to gain additional stats over other players.
Simply put, think of it as a passive buff you have to gain additional stats over other players.
2/ Building your edge is important because the markets are adversarial, and you always want an advantage over others. This applies to life as well.
In life, your edge could be your better grades -> helps you land more prestigious jobs, or your network -> daddy's hedgefund
In life, your edge could be your better grades -> helps you land more prestigious jobs, or your network -> daddy's hedgefund
3/ So, building an edge. How?
Good news - anyone can do it
Bad news - it takes time
The two most important things to realise is that you need:
1. A desire to continually better yourself.
2. Patience. Lots of patience.
And one more secret tip (at the end)
Good news - anyone can do it
Bad news - it takes time
The two most important things to realise is that you need:
1. A desire to continually better yourself.
2. Patience. Lots of patience.
And one more secret tip (at the end)
4/ Before I continue, if you like what I write, do subscribe below.
I share actionable alpha and insight weekly, and it's all free!
Cheers
exitliquidity.beehiiv.com
I share actionable alpha and insight weekly, and it's all free!
Cheers
exitliquidity.beehiiv.com
5/
1. Desire to better yourself
We all make mistakes. We're human
What's important is learning from those mistakes.
Keep a journal, write down what you did, why you did them.
Keep track of the trades you make, write down why you bought, your thesis, etc.
1. Desire to better yourself
We all make mistakes. We're human
What's important is learning from those mistakes.
Keep a journal, write down what you did, why you did them.
Keep track of the trades you make, write down why you bought, your thesis, etc.
6/
Days/Weeks later, look back at your trade - figure out what went wrong, what did you learn?
It's an iterative process. At the end of it, you'll have a framework that looks like this:
Free alpha? idk
Days/Weeks later, look back at your trade - figure out what went wrong, what did you learn?
It's an iterative process. At the end of it, you'll have a framework that looks like this:
Free alpha? idk
7/ This iterative process is how you go from sheet metal to sharp knife. Make mistakes, learn, pinpoint areas to avoid pitfalls.
But in doing so, you need:
2. Patience
It's easy to get tired of this, or feel hopeless.
But in doing so, you need:
2. Patience
It's easy to get tired of this, or feel hopeless.
8/ You make the same mistakes over and over, and think you're not cut out for this.
Such is life. Sometimes making the same mistake is normal - we're not perfect.
But over time, we become something more.
Don't give up, be patient.
Such is life. Sometimes making the same mistake is normal - we're not perfect.
But over time, we become something more.
Don't give up, be patient.
9/ People think themselves as infallible. We're not.
It's a toxic mindset to have. Stay humble, keep learning.
The larger you think of yourself, the bigger the fall, the harder it is to get up.
Mental is everything in building an edge. You're training your mind. Be strong.
It's a toxic mindset to have. Stay humble, keep learning.
The larger you think of yourself, the bigger the fall, the harder it is to get up.
Mental is everything in building an edge. You're training your mind. Be strong.
10/ EXTRA TIP: CT is incredibly helpful for building an edge.
Screenshot what people say.
But take it one step further:
Identify WHY they're saying what they say.
Screenshot what people say.
But take it one step further:
Identify WHY they're saying what they say.
11/ CT influencer making some tweet filled w macro jargon? Google everything you don't understand, research how they link to each other.
It's hard, it's SUPER hard at first.
But slowly your knowledge gets built up and you learn how things work. How one affects another.
It's hard, it's SUPER hard at first.
But slowly your knowledge gets built up and you learn how things work. How one affects another.
12/ CT is a treasure trove of info
Follow some good people like
@heartereum
@knowerofmarkets
@Route2FI
@0xHamz
@smileycapital
@DegenSpartan
hell i don't know what hamz talks about half the time when he's building his models
but i google, and i learn.
Follow some good people like
@heartereum
@knowerofmarkets
@Route2FI
@0xHamz
@smileycapital
@DegenSpartan
hell i don't know what hamz talks about half the time when he's building his models
but i google, and i learn.
13/ That's all. I wish you good luck my friend. Building an edge is how you gain an advantage
Again, if you like what I write, feel free to sub here:
exitliquidity.beehiiv.com
Weekly posts on insights such as these, too good to pass up imo
Again, if you like what I write, feel free to sub here:
exitliquidity.beehiiv.com
Weekly posts on insights such as these, too good to pass up imo
Some good articles for you guys to start of in analyzing markets that I like:
autismo.substack.com by @heartereum
cobie.substack.com by @cobie
incentivized.substack.com by @yugacohler
onchainwizard.substack.com by @OnChainWizard
autismo.substack.com by @heartereum
cobie.substack.com by @cobie
incentivized.substack.com by @yugacohler
onchainwizard.substack.com by @OnChainWizard
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