Recently, an outstanding student came to Shanghai to visit and thank me. During the chat, he said: The teacher feels that trading is really the most difficult thing. Trading has encountered many difficulties for so many years. It is a pitfall step by step. achieve success.
Yes, since I came into contact with trading in 2001, it took me a few years to find a way to break even, and it took several years to be stable and profitable, and it took me a few years to achieve the ideal efficiency. For this student I feel the same way.
Only those who have done trading can understand the difficulty of trading. Apart from lamenting, I also want to sort out the key nodes in the process from 0 to 1, from innocence to stable profit, so that everyone can see that they are on the road to growth. What catastrophes must be overcome to move to the other side of success and break out of the cocoon and become a butterfly.
It will probably take the following "tribulations" to go from a small innocence to a stable profit:
The first catastrophe: Cognitive catastrophe
Many novices think that it is easy to make money in trading at the beginning of trading. With their own mind and thinking, it will be easy to make money in the market. But after a period of real trading, you will find that the losses continue.
At this time, you have to experience a cognitive catastrophe, that is, realize that it is not easy to make stable profits in the market, and at the same time realize that you still need professional learning instead of burying your head in random trading.
If the cognitive catastrophe is not passed, it will only continue to lose money in blind randomness.
The second catastrophe: Mental catastrophe
After many traders have gone through the cognitive catastrophe, although they realize that it is not easy to make money, they need to continue to learn and improve.
But it is easy to lose peace of mind in the long-term illegal study and continuous loss, and feel very irritable and anxious. It is difficult to make another breakthrough in this impetuous and anxious mood.
At this time, you have to experience a state of mind, that is, overcome impatience and anxiety in your mind, and enter a peaceful and calm state. You are not eager to make money, but concentrate on learning and improving your ability.
The third robbery: system robbery
After going through the psychological calamity, although you can learn peacefully and calmly, to truly reach a new height in essence, traders need to gradually form a trading system that can be stable and profitable. This is the system calamity.
It is very difficult to form a stable and profitable trading system, and almost 80% of traders cannot break through.
Because the trading system is not a stack of several simple indicators, it not only requires various trading tools to form an objective system that can be analyzed and traded, but also must be established on the basis of correct trading concepts, such as following the trend, Strict risk control, reasonable profit and so on.
The fourth robbery: financial robbery
After working hard to master a trading system that can fully achieve stable profits, it does not mean success.
At this time, ordinary people will encounter capital robbery. Even the most powerful trading system should ensure a reasonable profit rate. Generally speaking, in order to strictly control risks, the profit rate of any system will not be too high. People often come to ask me about it. How high is the annualized profit of the high-probability trading method? I can only proudly (conservatively) say that when we have a single maximum retracement of 1%, it is no problem to achieve an annualized profit of 30%. Other possibilities need to be figured out by yourself.
If the trader's capital is too small, he will relax the risk control in pursuit of absolute profit, which will make the potential risk of the transaction huge. At this time, traders need to go through a fund robbery, that is, they need to accumulate a transaction fund of acceptable scale through their own savings.
Fifth Kalpa: Greedy Kalpa
If the previous catastrophes have been successfully passed, then you will have the technology and funds. Through continuous transactions, the capital curve will continue to run upwards, showing a stable and profitable state, and because the scale of transaction funds is acceptable, the absolute The amount of profit is also enough to maintain a good high-quality life.
But at this time, there will be a greedy catastrophe, and many trading tycoons will end up hated because of this greed. Stable profit status will lead to arrogance in trading, contempt for the market, thinking that making money is very easy, and thinking about how to make money more exaggeratedly. At this time, greed can easily lead to mental imbalance, heavy positions and overweight operations.
In order to maintain the previous stable profit, easy and peaceful profit, and the final successful and safe landing of the transaction, you must overcome this greedy calamity.
The above 5 catastrophes are something that every trader will definitely encounter in the process of growing up. I sincerely hope that everyone can join our evening live trading training classroom. The 2-hour training classroom every night can provide you with correct Standardized trading cognition, learn a high-probability trading system that can make long-term stable and efficient profits with the minimum capital cost.
At the same time, in the classroom, we will continue to remind everyone of trading discipline and strictly control risks. Let everyone go easier and easier on the road of trading.
Add
