How do you become a master trader?

A master trader must have rich trading experience and keep thinking in the process of trading.

Many people say that their trading time is not short, and it has been several years. It is reasonable to say that the trading experience is also very rich, and the pits that should be stepped on have been stepped on. Why can’t they go further? Experience is important, thinking is more important.

When my trading knowledge was still poor in the early days, I visited a master who told me that he had a technical method to make stable profits, and more importantly, he showed me his transaction delivery list. In the past two years, the overall profit was indeed profitable, and there was no single loss. I was amazed at the time, and I did not expect such a powerful trading method in the world. After studying with him for a period of time, I realized that what he taught me was the Martin grid trading method. Let me briefly describe the core of this method, which is to place an order of 0.01 lot each time for 10,000 US dollars, and place every 100 points in one direction. One time, exit the market when the profit of the last order placed is 100 points, the total position of a single product cannot exceed 0.1 lot, and a maximum of five products can be traded for every ten thousand dollars. To tell you the truth, I have used this method for a whole year and a half, and the final result turned out to be profitable, but the profit is actually very low, probably less than a thousand dollars a year, and this method has an obvious characteristic that is the winning rate One hundred percent, but it has always been a floating loss. After one year, I used it for more than half a year, with little loss. About a year and a half to maintain a cost. Then give up and don't use it.

Now I know that it is a Martin grid, and it has many disadvantages. For example, this method is actually a dead-end method. If you do not see a profit, you will not enter the market, and you may be taken away when there is a wave of extreme market conditions. I don't use it for the above reasons. But then I actually got a lot of inspiration from this method and thought a lot. Those one and a half years were actually a year and a half of my growth.

Martin grid is not available, this is a fact. But I learned two things from this method. First of all, in the past year and a half, I placed an order of 0.01 lot for 10,000 US dollars, which is considered a very light position. This has formed a good habit of light position operation for me. In the operation of such a light position, the maximum floating loss has reached more than 3,000 when the five varieties are operated together. Floating losses accounted for 30% of the account. It can be said that the larger the position, the possibility of liquidation, so I fully understood the concept of position allocation. The second thing I learned is that I don't analyze the market. You can think about it carefully. In fact, the grid system never analyzes the market, because it is a trading rule. No matter how the market goes, it places orders according to its own rules and does not predict the market. It is very important to understand my cognition, because he let me accept a point of view in the past year and a half, that is, the market is unpredictable, and a system must be in place to make a good transaction. The grid is just a It's just a poor system, but he has helped me a lot in systematizing my future transactions.

My second important experience also came from a master. This time, the master is a "big coffee" in a WeChat group. He heard from the group friends that he is very good and has made a lot of money. He has to pay tuition fees, and there are only 20 places each year. I "grabbed" this spot and worshiped as a teacher. Many people think that I may have been fooled by childcare and wasted tuition fees, but in fact, I think he is very serious in the process of teaching me. He taught me one hour a day, five days a week, and taught me three things before and after. How many months. But I still don't have the ability to make a profit. Not only that, I actually think he should not be able to make a profit, but this is my guess, and I didn't go to him to verify it.

Why do I judge that this method cannot make money? Because the main core of this method is to use various indicators, graphs, states, etc. to judge support pressure points. Then sell high and buy low at this key point, that is, support to go long and pressure to go short. Many people think this is very correct, isn't that what trading should be like? There are two fallacies here.

First of all, any method of finding points is futile, because the market is uncertain and unpredictable. What you think is a good point is just the process of the market trend, and the market will not walk according to what you think is reasonable. It looked like a good point in the past, but that is only in hindsight. We cannot predict the trend when it is going on. Second, his method violates the nature of trading profits that allow profits to run. The trend is the only possibility for trading profits. The framework thinking of selling high and buying low cannot survive in the trading market. Many people may say that this is wrong. Let me give you a suggestion. If you know trading programming, you can write a program and use the Bollinger Bands indicator to write a trading model. That is, when the price touches the upper track, you can go short, and when it touches the lower track, you can do short. If there is a lot of money, the proper funds that have been withdrawn over ten years have stabilized downward. On the contrary, if you touch the upper track to go long and touch the lower track to sell short, the retracement during the ten-year period may not be certain. I have tried 30 varieties, and the final result is that 19 are profitable, 3 are flat, 8 are small losses, and none A loss of more than 30 percent. That should be enough to illustrate the point.

So the apprenticeship experience in the second paragraph gave me the idea of ​​building a trading system with the trend as the trading logic. Although I failed in terms of the result and did not learn the correct trading method from the two experiences of apprenticeship, it was extremely successful from the perspective of inspiration to me, because the two experiences taught me to light positions, trends Thinking, trading must have the logic of a positive expectation trading system, which has played a decisive role in the system I have built now.

Therefore, if you want to do a good job in trading, you must first experience a lot. Without experience, you will not have the experience of empathy. This is the reason why many people cannot live a good life even if they understand a lot of principles. They must experience it. Then we have to think in the experience, deeply analyze what each experience brings us, no matter good or bad, can help us grow.

Are you satisfied with this answer?