The nature of positions for risk prevention and control

Many people have a high accuracy rate in placing orders, but often the key to losing more and winning less is improper control of the position volume. The nature of the position volume is generally determined by the percentage of the total funds. According to the experience of the editor, it can be mainly divided into the following categories:

1. Probe positions: Generally, it is a directional indicator to determine the opportunity to enter the market. It is controlled within 1% of the total capital amount. The stop loss is set at the sensitive point of the market turning point. When the stop loss is broken, enter the market immediately.

2. Ordinary single position: Ordinary single position is an order placed when the market direction is clarified and the fight begins, generally accounting for 5%-20% of the total funds.

3. Overweight positions: Overweight positions can be added in two cases. When the existing position is stable and profitable and has a further profit trend, you can increase the size; if the direction of the first order is correct but the position is poor, if the direction will not change, you can consider choosing a more appropriate position to increase the size; the amount of increase should not be If it is greater than the initial order quantity, it can only be less than or equal to the initial order quantity. The overweight position should be dominated by the 10-25 points of the initial order.

4. Weight reduction position: There are four situations where the size must be reduced. When the position volume has threatened the margin, whether it is in a profit state or a loss, it must be reduced; in the case that the position cannot be profitable in a short period of time or when it is necessary to stay overnight for the weekend, it must be reduced to the probe position; when the profit has been determined , when the further profit is uncertain, you can consider gradually reducing the size, and the difference between the reduction point is controlled at about 5 points (it can be changed according to the market situation); if there is a possibility of further losses in the state of loss, you must consider gradually Cut down or stop loss immediately.

5. Heavy positions: Heavy positions do not mean full positions. When the direction is very clear and recognized by most people with strong analytical skills, heavy positions can be considered, and the position volume should be controlled within 50%.

Advice: At any time and under any circumstances, you can't take a full position!

So which one do you belong to? ​