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Those who have no technology in the market cannot make money, and those who have technology but no goals cannot make money;
To put it bluntly, doing transactions is to do risk control. If the risk control is not good, making money is only temporary, and sooner or later it will be returned to the market; the process of trading is a process of trial and error, knowing mistakes, admitting mistakes, and correcting mistakes. It is best not to do this Do not touch this market;
The market is anti-human. If you don't have your own opinions and like to listen to other people's opinions, you will eventually be eliminated by the market.
Learn to look at transactions with two eyes, one looking at the market, and the other always looking at yourself. The worst enemy in trading is yourself. If you want to make money, you must first defeat yourself, and defeating yourself is always more important than observing the market. "Experts are afraid of unilateralism, and novices are afraid of shocks." This is what we hear most often, so most traders die in shocks. In fact, no country's currency will always rise or fall in terms of currency exchange, so we have to face it Most of the correct ones are volatile market conditions. For those traders who want to make fewer orders but still grab a large profit margin, once the market enters a wide or narrow range of shocks, they will be completely at a loss, unable to stand the ups and downs of the market, and repeatedly enter the market-regret- Stop loss-exit-re-entry, after a few rounds, you will be tired if you haven't made any money. Those who like to do shocks die in the trend. In this market, they really want to be masters of shocks. They are obsessed with their own shock range, selling high and buying low, and never get tired of it. Suddenly, they are caught off guard by a unilateral market. The list is trapped in the market a little bit and can't do anything. The short-term people die in the sudden market. Most of the short-term people have just entered this market. They don’t know anything. They run away when they see a profit. If you have made money, once you encounter a sudden market direction and the direction is reversed, you will either look at the list immediately or carry it until the position is liquidated.
This is the reason why most short-term people die. When they make a profit, they run away after making a little profit, and when they lose money, they lose all the profits of the previous half month.
People who have been losing money die in random trading. There are two types of people here. One kind of people who just entered the market knows nothing and has no risk control concept. Because the market is ups and downs, the list goes in and makes some money and then it goes out. After a while, open positions and place orders frequently and randomly trade. The other kind of people are those who enter the market with a loss-making mentality that is completely broken. They only have the idea of returning their capital in their hearts. They always think about accumulating more and more, and place orders randomly based on their feelings. The final result is the same. You can’t do anything in this market. , Don’t think that if you don’t have the ability to execute, you can accumulate more, this kind of thinking will kill you.
If you think you can make money with a method, then you are really wrong. If you survive in this market for more than a year, you will have your own method, but if you lose more than you earn, the problem will arise. Inability to defeat oneself and lack of execution ability. Many traders can't see the ups and downs of the market. They want to run away when the market retraces a little profit, but they can keep carrying it when they lose money.
Go look at your transaction records to know where the problem is. More people die in refusing to admit their mistakes. The market is objective, and if the subjective conforms to the objective, it will make a profit; otherwise, it will lose money. Losses are normal, as long as you know and correct your mistakes in time. But many subjective people refuse to admit their mistakes. It is not terrible to make mistakes. Don’t admit your mistakes when you have a floating loss of 100, think you are unlucky when you are 500, and continue to increase your position with the market at 1000, 2000…3000, oh, you’re liquidated, you know your mistake, but it’s too late, your capital No, the capital for a comeback is gone.
Don't die in the mouths of others without your own opinions. Many investors who don't have their own trading strategies are always listening to other people's opinions on the Internet and in order groups. If they listen too much, they don't know what to do. Sometimes Obviously what I did was right, but I closed my position and backhanded as soon as I heard what others said, which eventually led to losses. Why can't you make money with an 80% accuracy rate for calling orders, because no one teaches you position management and risk control. You don't have a trading system that suits you. After escaping the above misunderstandings, you basically have the foundation to survive in this market!
5 steps to help you get out of the confusion zone
1. Correct investment philosophy: There is nothing wrong with wanting to make money from the market, but before making money, you should think about how to avoid losses or reduce losses;
2. Reasonable risk control: as much profit as you want, there will be as much risk as you want, and the safety of principal in the financial market and risk control are the first;
3. Appropriate ratio of risk to report: Don’t do trades where you earn less and lose more. If you earn a little, you want to run away. If you lose, it is a taboo in trading;
4. Own trading system: establish your own simple, efficient and executable trading system and strictly abide by it;
5. Good trading habits: do a good job of trading according to the trading system, do not hesitate when it is time to enter the market, do not hesitate when it is time to stop losses, and do not speculate when it is time to exit the market. In the trading market, the most difficult and most important thing is to observe discipline! Because discipline is the guarantee of profitable trading! Rather than their own judgment on the market to decide. Crowe once said: In order to succeed, in addition to a consistent and effective strategy, three qualities must be possessed: discipline, discipline and discipline! Without discipline, even the best trading strategy is in vain. Strict self-discipline is the basic quality of a successful person. You can make mistakes in analysis and direction in futures trading, but you must abide by trading discipline. In fact, most of our losses are caused by lack of discipline. It is often a random order that loses all the previous profits. Therefore, it is the operating principle to put an end to random orders and deal with each order rationally. The more cruel the enforcement of discipline, the higher the possibility of success. If you do not follow the underlying rules and have no strong sense of discipline, you will undoubtedly be eliminated by the market! Strict and effective discipline must be based on a rigorous and effective trading system. Please believe in the trading system you recognize instead of your own market sense.
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Last updated: 08/16/2023 12:18
What matters is not whether your decision is right or wrong, but how much you make when you are right and how much you lose when you are wrong. -
Stanley Druckenmiller
Risk coefficient, winning rate and profit-loss ratio, the three complement each other and are indispensable!
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Last updated: 08/15/2023 09:41
The most important thing is to survive!
Copyright reserved to the author
Last updated: 08/19/2023 23:12