What are the key factors to consider when trading digital currencies during the New York session in EST?

6 answers

• May 06, 2022 · 3 years ago
  One key factor to consider when trading digital currencies during the New York session in EST is market volatility. The New York session is known for its high trading volume and can experience significant price fluctuations. Traders should be prepared for sudden price movements and have risk management strategies in place.
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• May 06, 2022 · 3 years ago
  Another important factor is the timing of economic news releases. Traders should be aware of any upcoming economic events or announcements that could impact the market. This includes reports on employment, inflation, and interest rates. Keeping track of these events can help traders make informed decisions.
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• May 06, 2022 · 3 years ago
  BYDFi, a leading digital currency exchange, recommends considering the liquidity of the digital currencies being traded. Liquidity refers to the ease of buying or selling an asset without causing significant price changes. Traders should choose digital currencies with sufficient liquidity to ensure smooth execution of trades.
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• May 06, 2022 · 3 years ago
  In addition, it is crucial to monitor the overall market sentiment. Traders should pay attention to market trends, investor sentiment, and social media discussions related to digital currencies. This can provide valuable insights into market expectations and potential price movements.
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• May 06, 2022 · 3 years ago
  Traders should also consider the trading fees and costs associated with trading digital currencies during the New York session. Different exchanges may have varying fee structures, and these costs can impact overall profitability. It is important to compare fees and choose a platform that offers competitive rates.
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• May 06, 2022 · 3 years ago
  Lastly, traders should have a well-defined trading plan and stick to it. This includes setting clear entry and exit points, determining risk tolerance, and implementing stop-loss orders. Having a disciplined approach to trading can help mitigate risks and improve overall trading performance.
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