The golden mean in trading

The doctrine of the mean itself is a kind of great wisdom, with deep philosophy and dialectics,

For example, everyone has to eat every day. If you eat too much, you will starve to death if you don’t eat too much. If you want to eat enough but can’t make it to death, you must master a certain degree. This degree is the golden mean.

For example, if you exercise, walking 20,000 steps a day will hurt your knees. If you don’t walk, it’s not good for your health. Walking 7,000 to 10,000 steps a day is the best, and this is the golden mean.

Another example is that when you start a business, success or failure is mixed. You cannot give up because you are afraid of failure, and you cannot be blindly impulsive for success. You must consider the pros and cons carefully, carefully analyze the factors of success and failure, control and solve the factors of failure, and give full play to the advantages of success. Factors, this is also the golden mean, so your success rate will be higher, and there are three paths that are the best in everything.

The same is true for stocks. You can't buy a full position just to make money, and you can't be afraid of losing money. Choose a path between risk and making money, control risks and maximize profits. This is the golden mean. First of all, you must control all the factors that cause losses, use position control, technical analysis, value analysis, general trend analysis, economic analysis, etc., and then formulate detailed and thoughtful operation plans. Once an accident occurs, you will know what to do without losing your temper If you lose the opportunity, all that remains is how much you earn.