A month later, and my first financial entry update.
January, the month I caught Covid. The symptoms had me battling off foreign foes at night, so much so I thought I was a 15th century Shinobi in my dreams. I kid you not, in my restless nights with Covid, all the movement I did I dreamt I was in feudal Japan fighting for some mysterious clan. It was all so strange… Nevertheless, with Covid over along with January, it calls for a review of how my financial journey is coming along. And to keep it short, not much really happened.
To start, I did not spend much — my daily outgoings for the month totalled to around £300. Slightly higher than my goal, but all things considered I am okay with it since previous months, particularly December, my spending was significantly higher. My short term savings are on track. I have cleared my major debt payments for my car insurance (£2000) and I am able to save without much worry. However my emergency fund has been neglected. That is something I need rectify because my car will eventually make a sound only Kanye could sample.
I have been behind on my investments payments since January. Primarily because of my concern of the financial markets. I held off investing because January typically experiences a sell off period, which was true this time around. Markets were red across the board, and so I sat by the side-lines as the value of my money dissipated. Next month I will take advantage of the depressed market and aim to meet a minimum of 50% of my investing goal.
Lastly is my trading goal. This is where I am trading to attempt to reach £2000 by the end of the year. Trading NFTs of course, I don’t have the brains to trade the stock market. Valuing JPEGs is eassyy, even if it more ridiculous than it sounds. Here are two reminders when valuing a JPEG:
Reminders when valuing JPEGS:
1. Is the JPEG a newly released derivative of a blue chip project? If yes buy and sell within 20 minutes
2. Does it look cute enough to be a plushie, or does it have the stylings of a popular anime? If yes, refinance your mortgage and buy 10.
I have been trading on Solana, and it initially had gone well. I had turned £50 into £150 in my first flip. Doing this I felt like I could remake the wolf of wall street with that trade. I then turned £150 into £350 with my second flip. I was really on a roll here. But then the price of Solana went down and that turn into £225. I then made two more trades, both at a loss, leaving me with £150.
I had learnt a lot from this month in regards to trading.
Trading lesson #1
Sell into pumps and take profits.
Trading lesson #2
Cut losses. Stop hoping
I am natively a long term holder, so trading is new to me. I am always expecting the price to go higher, like many of us. But trading is a fast paced environment, and in the NFT space, markets are ludicrously volatile. Prices of pictures can drop 80% in a matter of literal seconds. It does make you wonder how it got so high in the first place. Trading is a very active activity, and I see my self spending hours on discord searching for that next hot Alpha. The sustainability of this is however concerning. Shout out to the Nifty Alpha discord by the way. Either this was a good learning experience and or the start of financial ruin. Tune in next month to find out.
Monthly financial recap
