Why do successful traders not advise others to trade?

As we all know, if you can make a stable profit in trading, you can make a lot of money, and your life will be free from now on.

Leaving aside Buffett, who once became the richest man in the world, Soros, Simmons, Ray Dalio, etc. are also well-known figures on the Forbes list. The wealth they own can be called rich and coveted Three feet.

Therefore, people who enter the financial market are always coming one after another, and there is a steady stream.

So why do you often see successful traders not recommending others to trade?

In fact, in the final analysis, it is because the success rate of trading is too low. Everyone in the stock market says that 10% of people make money. However, if it is a long-term stable profit, it is estimated that this ratio will drop to 1%. In terms of trading, due to leverage, the success rate will drop to 1‰, or even lower.

It takes a lot of time and effort to be successful in trading.

However, trading is different from other industries. One thing that is special is that even if you spend a lot of time and energy, you may not be able to make a stable profit, and you must have talent, your own quality, luck and other factors.

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So why is the transaction success rate so low?

Mainly because of the following two factors:

First, it is too difficult to create a stable and profitable trading system.

Most other professions, such as doctors, lawyers, engineers, architects, etc., can generally be proficient as long as they learn relevant knowledge and work hard.

However, for ordinary people, trading does not have a clear learning path, nor can they get systematic teaching opportunities. Even if you study very hard, you may not be able to master it.

But using the same method of trading, some people make money, while others lose money. Therefore, there is no winning trading system.

Therefore, how many people have been unable to create a stable and profitable trading system throughout their lives. It can be seen that it is difficult to create this system.

Second, it is too difficult to overcome the weakness of human nature.

It is difficult to fight the country, but it is even more difficult to defend the country.

Even if you have a trading system that can make stable profits, after several years of achieving stable profits, it does not mean that you will always be profitable in the future. Many very successful traders are destroyed in one transaction, such as the devil trader Nick Lee Mori, Binzhong Tainan and so on.

Weaknesses in human nature such as greed, fear, jealousy, arrogance, inflation, etc., any point may make traders go nowhere.

Anyone who does trading knows that trading is too cruel and requires high personal quality. Mood, environment, changes, etc. will cause psychological changes, which will affect trading. Many people just can't pass this level, and then no more...

Our human nature is the product of human evolution over millions of years, determined by the genes in our body. To overcome the weakness of human nature means to do anti-human behavior, and the difficulty can be imagined.

In fact, it is the struggle between sensibility and rationality. Our rationality is like the tip of an iceberg floating in the sea, but what really dominates us is the huge emotional iceberg hidden in the sea. Usually we feel very rational in doing things, but when it comes to critical moments, we are controlled by sensibility without knowing it.

There is an old trader who has been trading for 15 years and has been making stable profits for 7 to 8 years. He lives in a big house and drives a luxury car, and his life is very nourishing.

Once, he was optimistic about the long market of a commodity, and he waited for several months, just waiting for this opportunity to make heavy positions and enter the market.

The opportunity finally came, and he entered the market as scheduled. After that, the market also rose a little as expected.

However, the good times didn't last long, and the market then turned around; however, he was unmoved, and even covered a little bit of his position.

However, the market then plummeted...

In the end, it is to sell the house, sell the car, and fall directly from heaven to hell...

Afterwards, I asked him, why did the layout of the heavy position not stop the loss? He replied, this time with great confidence...

Even if you have been making profits in trading for many years, you still cannot escape the shackles of human nature. It can be seen that it is difficult to overcome the weakness of human nature.

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We have to stand the test of human nature all the time when we do business. Five, ten, or dozens of times may not be a problem, but hundreds, thousands, or tens of thousands of times, you can guarantee that you can stand the test every time. ?

Therefore, the financial market is a purgatory for human practice. To do a good job in trading, you must practice hard like an ascetic monk all the time, every day and every year. Can you do it?

It is estimated that everyone has their own answer in their hearts.

That being the case, why do we still do business?

Seriously, don't take the road of professional trading lightly.

Once you choose this path, you must understand that what you choose is a path of lifelong practice !

However, everything has two sides. It is not easy to make a living by trading, but once you succeed, the wealth and freedom it can bring you is unparalleled!

If you also aspire to become an excellent trader, you must understand that this is a long-term process of fighting against the war. You have to devote much more time and energy to this cause than others; and you must also pay attention to your inner self. Cultivation, down-to-earth, always highly self-disciplined and abide by the trading rules, can increase the probability of success as much as possible.

To paraphrase Romain Rolland: There is only one kind of true heroism in the financial market, that is, after recognizing the truth of trading, you still love it .

mutual encouragement!

I have been doing full-time trading for 10 years, and I know a lot of people in the industry. Less than 5% of them can make a profit, and many of them have been doing it for 5-7 years or even longer. But there are still people who insist on all profits. I will talk about the opportunities and risks in the transaction based on my experience, and everyone should treat it rationally.

Many novices think that trading is very easy. Doesn’t it mean that once you buy and sell, you will get the money. Let alone a 10% profit, it is very normal to earn 200% or 300% in an instant. If you still think so, I advise you to read on.

Trading is not as easy as you think

First: trading rules.

200 times leverage, long-short trading, 5x24-hour uninterrupted market. There is never a shortage of opportunities to trade the markets as long as you want. The volatility of many trading varieties is huge; gold and crude oil are recognized as dangerous commodities.

Second: trading is anti-human, and trading behavior is difficult to control.

The human heart is more dangerous than the market. This question really does not need to be said too much deliberately, because people who have not experienced failure in transactions cannot understand. And people who miss and make mistakes because of uncontrollable human nature will understand without saying anything. In trading, your real opponent is not the market, not the market, but yourself.

Again: the inertia of trading.

In my years of trading full time, I have seen many traders who have been trading for many years but have consistently lost money for the same reason.

A trader around me still couldn't stop losses strictly after 7 years. Every time before entering the market, I can think about the stop loss point, and even place a stop loss order, but when the price approaches the stop loss price, I will manually cancel the stop loss order; and then I will cover the position. In many cases, it is right to cover up positions like this. But as long as you encounter a unilateral market once, you will return to before liberation overnight.

Another friend trades frequently, and the stop loss is very strict, but he keeps finding directions at small levels. The stop loss is set very small, set at the minute level, but it is an extravagant hope to hold the trend of the daily line level. It's not that it's impossible, but the success rate is too low. After frequent stop losses, the trading psychology changes and enters a state of frequent trading.

Don't these people know their problems? When you don't hold a position, you know that once you hold a position, you can't control your hands, and the more you lose, the more you lose.

The more mistakes you make, the more mistakes you make; a vicious circle.

During my 10 years of full-time trading, I deeply understand that the ultimate source of losses in the market is greed. Many people think that the leverage of the market is 200 times, and they want to double in the market at every turn, and they are greedy. Many people don't want to stop losses, are reluctant to stop losses, and are greedy. Many people stay in the market every day and trade frequently, greedy. Many people have unrealistic expectations and greed.

The test of trading is not whether you are an extremely smart and learning person, but the test of your control over your desires. Learning trading techniques can be done as long as it takes time, but if you are a person who cannot control your desires, I suggest you think carefully.

Difficulty in trading: if you can see through it, you can't help it; if you think about it, you can't do it.

Because it is too difficult, when many people find me, I will first understand the profit and loss and experience, give him some pointers, and let him know what kind of loss he is:

Because I have no technology but still trade independently and lose money

Because I don’t have the skills to easily follow orders or listen to others’ orders and lose money

Because I have technology but did not use stop loss correctly

Because I have technology but no mentality, I lose execution

Wait for various reasons, and then let him think clearly whether he wants to stay in the financial market or is willing to admit losses and get out. If he chooses to stay, he can learn from me to quickly acquire technology in the early stage. Part of it takes a long time to learn the technology to break even, because the market will not go according to the textbook, and there will be a variety of market conditions. Only after these experiences can you have the experience of firm trading, and there are many in the trading process. Mental execution problems, such as fear of losses and dare not enter the market, losing patience and random trading when the trend does not appear, gambler mentality after continuous losses, carrying orders without stopping losses, generating floating profits and not being able to hold profits... These are all problems. What traders have to go through, when all these are done, will transition from loss to breakeven, and finally start to make profits.

The whole process is difficult, and any small problem may block your progress. If you are a self-taught trader, you may have to rely on your own thinking or even pay a lot of tuition fees (real losses) to climb out, even if you have a real understanding of all aspects. My teacher (to boast, I should be counted as it) gives advice, and even helps you comprehensively analyze the mentality and the specific loss of each order (my students need to analyze each order to know their own profits and losses), but transform these There is still a long way for experience and strict enforcement in the future. Some students told me, teacher, I understand the truth, but I just can’t hold the floating profit/stop loss. Even when I was teaching how to set a reasonable automatic stop loss/stop profit, some students still set the stop loss and stop profit line. delete.

I often dissuade people who want to step into this trip!

No talent, no strong heart! In the end there will be nothing!

I am a kind of Yeluzi monk! At the beginning, there were 4 people who worshiped the teacher! I am left alone, although my profit is not a problem now... I just envy those normal people! Want to turn back, but the k-line melted into me like blood

Now I teach people and let him struggle in hell at the beginning! Then no one can get in! Indirect persuasion... Hahaha

When I saw this question a few days ago, I wanted to answer it, but I couldn’t find it by mistake, and I saw this question again today. This is fate.

According to the habit of sleepy people, tell a story first. The heavy machine gun with a thick tube that often appears in anti-war dramas is called the "Maxim" heavy machine gun. It is the world's first automatic weapon used in actual combat. In 1893-1894, the British suppressed the Sulu uprising for the first time, and 50 people with two machine guns fought against the charge of 5,000 people, killing more than 3,000 people. In the 1916 Battle of the Somme during the First World War, the German army equipped with the new Maxim in the trenches killed 60,000 British people in just one day. Before those machine gunners put on their military uniforms, they were just kind-hearted farmers and devout believers. They had learned the power of the new high-speed Maxim in the pre-war experiments. No one could pass through its fire net alive, so they I couldn't help shouting to the charging British army, "Retreat quickly, don't come here again to die!"

Someone asked, aren't recruits afraid to go to the battlefield? Really not afraid, most recruits on the battlefield will die before they feel fear, and only veterans who have survived a few battles will feel fear. The trading field is more cruel than the battlefield. All the knowledge about trading risks learned by trading recruits before their first liquidation is obtained from books or other people's mouths. Just like recruits, their power against machine guns, tanks, and airplanes is obtained from promotional videos I understand that only real machine gunners know the horror of machine guns, only gunners understand the power of cannons, and only successful traders understand the meaning of "risk".

A successful trader is like a veteran on the battlefield. He has killed people, seen blood, and seen how tragic his comrades around him are. He has also tasted the taste of short-term victory and endured the shame of failure. Those who call for war are not prepared to go to war, and those who have been to war expect peace. Similarly, people who fool others into trading immediately do not expect to make money from trading, and those who are interested in starting a trading career immediately are novices, and veteran traders think about how to leave every day. They would rather write books, write Blogging, teaching students, and even being a liar to deceive people, I have to pray to God, don’t let me trade again!

Veterans who have experienced several brutal battles can understand their luck in surviving, and traders who have experienced several financial crises can also know their luck in surviving. Most recruits cannot survive two or three regular-level battles, and most Novice traders can't afford two or three regular-level shocks. So, can there be peace, who wants to fight? Who wants to do business when they can go to work and live a good life? Those who advise you not to trade are all good people.

Take yourself as an example. Ten years in business. I didn't know how to make money in the first year. In the following seven years, it suffered a steady loss of several million. Became profitable in the ninth year. In the tenth year, all losses were earned back, and stable profits began.

The financial market is a place where experienced people gain wealth, and it is also a place where people with capital accumulate experience. Most people are subject to experience, capital, time, confidence, etc. Can't last that long. And every liquidation in this process is a test of your self-confidence. The youth, health, love, and relatives you lost in this journey that no one understands... the loss between what you lose and what you gain...

Until you really start to make stable profits, you can't be sure whether the road ahead is feasible.

There are too many pitfalls on the road. All kinds of scammers, masters, analysts, call-outs, and account holders are staring at your money. In fact, many articles we see are useless and meaningless Or it's just here to fool you.

A truly stable and profitable trader will never let you get involved in this business. After all, this business is really too difficult. Without such a mentality, it is impossible to go very far. In this business, there are very few people who can settle down to stabilize transactions.

I hope everyone can encourage each other on the way of trading!

Slowly marginalized, and finally completely free. They are not normal people, sacrificing the fun of normal life.

Before making a deal, I was a marginalized group, and I got used to it.

If the trading market is compared to a playground, where a sports meeting is being held, there are three types of people. The rostrum sets the rules, participants, and a few spectators in twos and twos. Rule-makers and spectators, that is, traders, these two groups do not abide by the rules. The former stands up, the latter breaks, and both are marginalized. But most of the participants suffer from it, and compliance with the rules is the premise of the game.

Marginalization is a necessary condition for transactions, and only when you are in a free state can you get a glimpse of the whole picture.

The heights are too cold, and the distance is too dangerous. The price is high, and the opportunity coincides.

A few years later, even though I retreated bravely, I couldn't go back again, and I got used to the perspective I was in.

Hello sir, thank you. I dare not say that I am a successful trader, but in the past 4 years, I have not suffered a loss on a monthly basis. But for some of my friends, I also choose not to let them trade. There are several reasons for this:

1. My own family conditions: I have a friend who has a very stable job. The couple’s monthly income is close to 30,000 yuan, and they don’t have to repay the property and car loans. They have two children. In a third-tier city, such a family In fact, it is quite happy, and the income is not low. But because the two of them usually spend a lot of money and like to buy luxury goods, sometimes they can't make ends meet, let alone save money. Therefore, for those who have no savings and need to go out to borrow money, I do not recommend him to trade. If you want to trade, you can spend up to 20% of your deposit for trading, and you can't exceed this number.

2. Gambling: Forex trading is a high-risk financial derivative. And in this market, there are not a few people who get rich overnight and want to give it a go. But if a person likes to gamble before entering this market, then I personally do not recommend trading. Because if you bet 9 times right and wrong once, you may lose your position or even go bankrupt.

3. Those who are unwilling to learn: Any industry needs to learn, and it is also necessary to learn in high-risk markets such as foreign exchange. Although its threshold is very low, it is very difficult to make money. Therefore, if a person is unwilling to learn, he will be eliminated by this market sooner or later. Moreover, learning requires systematic training, rather than the conclusions drawn from the left and right on Baidu, which is also not acceptable. ​

Because the cost is too high, the probability of success is too low.

Investment first requires principal. It is very good for ordinary investors to have a long-term annualized return of more than 10%, and it is basically impossible for long-term annualized returns of more than 20%. This is common sense. So how much capital you have is very important.

If you have enough capital to do foreign exchange speculation (investment), the reality is that more than 90% of the participants are losing money, and most of the top 10% are just not losing money or making small profits. The real money is to make a living by trading. Less than one-tenth.

Poor people have almost zero chance of success in leveraged speculation.

The rich second generation has no chance. The most feared thing is to eat, drink, prostitute and gamble. A $1,000 account loses in the same proportion as a $1 million account.

More money and less money is a loss!

Foreign exchange trading is highly leveraged, and short-term returns may be very impressive. Short-term returns are short-term returns that bear corresponding or greater risks. Speculative short-term returns to predict future long-term returns are either bad brains or scammers. (Foreign exchange asset management advertises how much monthly income, annual income, capital-guaranteed profit belongs to this category, and sets a goal for yourself to earn 1% per day or how much profit per day, there are cognitive problems)

Opportunity cost, it is difficult to succeed in anything. Compared with foreign exchange trading, with the same funds and energy, there are many options with a higher probability of success (I asked the question of whether it is more difficult to make a living from trading or to be admitted to Tsinghua University) . Even for the foreign exchange industry itself, it is easier, more reliable, and less expensive to be an agent, a salesman, a foreign exchange media, and a foreign exchange platform for those who have money, than to start trading to make money.

Some people say that if you do what you are good at according to your own situation, ordinary investors are not suitable for foreign exchange trading at all, let alone good at using high leverage.

Therefore, it is best not to do it, just participate appropriately if you are interested and have spare money.

This topic is actually a false proposition. It is like playing mahjong. Who would persuade you not to play mahjong?

Do you really think that if you play mahjong very well, you will come to persuade you? (Here, if you are friends with him, say otherwise, if you are really friends, you can buy our followork software and order with him!)

There are two points in which foreign exchange is most similar to playing mahjong. One is a zero-sum game, and what you lose is what I win;

Don't say that the foreign exchange market is so big that you don't need opponents to lose your money. 95% of the foreign exchange market comes from the interbank market, which is not the same thing as the retail foreign exchange market you play. That's why there is always a shortage of EAs that can continue to make profits in the market, because if they are used too much, the market liquidity will be insufficient.

Also, those who don’t play mahjong will persuade you, why, because he doesn’t play. Why, I want to use "play" instead of "trading". I have met many friends who have some "belief" in foreign exchange trading. They really don't make money, but they believe that they can make money from the bottom of their hearts!

In fact, I admire these traders very much. Faith is something that is lacking in this market, because there has never been an overnight success, only hard work! May everyone find their way!

Because, you may not be able to really go down this road.

However, time wasted.

Because I have experienced it myself, it is not easy to achieve success. As a novice, it is really a drop in the bucket to be able to succeed. So I would definitely advise my friends not to dip into this muddy water

This problem is not exhaustive. I am still suggesting that everyone do transactions, but I also tell them how difficult it is, and they can choose according to their own conditions.

If it is said that there are very few people who have made it through the trading road, then may I ask which industry is not a rare person who is proficient in it? There are many lawyers, but only a few elites; there are many salesmen, only those few elites; there are many doctors, only those few elites... The only difference from trading is that trading can only make money The two extremes of loss and loss, either earn or lose! However, traditional occupations do not lose money, they only earn more or less, the elite earn more, and the non-elite earn less, and 80% of the people are guaranteed income from droughts and floods, just dawdling with their wages.

There is no such thing as earning less in trading, and because of earning or losing, the process of reaching the earning point is extremely difficult, requiring a series of comprehensive abilities such as time, energy, concentration, financial resources, and resistance to setbacks. The road of trading is not something that can get positive results the harder you work, it requires strong comprehension, learning ability and philosophical comprehensive problem-solving ability, which is the best interpretation of behavioral psychology. All in all, the probability of walking out of this road by self-enlightenment may be less than 3%. With the guidance of a master, the probability of walking out is a little higher, maybe 20-30%. , the probability of getting out in this way may be almost zero. Trading itself is a simple game at the lowest level, but it is complicated by high-level human nature.

I think this is why successful traders do not recommend that you trade lightly!

1. Only by personal experience can you understand the cruelty of trading. 2. Most people do not have such a large risk tolerance

Let me ask the other way around first, why should I advise others to do transactions? It must be that the transaction can make money and bring benefits to others (except for agents, they generally want to make money for themselves first). Foreign exchange seems to have no threshold, as long as you have money, you can come in, but the invisible threshold is frighteningly high, and you will lose money every minute.

Generally, those who want to make money and get rich overnight, I would advise them not to come, because it is impossible, everyone goes from loss to profit, and if you are not prepared for loss, you are not suitable for this market. As for a person who is not interested in this market, you will not be able to persuade him, unless he leaves the market by himself.

Because this industry has been sharpened for ten years, most of them still can't be sharpened. Moreover, not to mention trading, in other industries, if you ask people for advice in this situation, they will not advise you to do it.

There is a quantity of funds in the market, and some people will make money and others will lose money.

Because successful traders have experienced the darkest moments and know how painful it is. Many novices asked me what to do if I lost money. My answer has always been, now I have not lost much and quickly delisted

Just like some fathers who don't want their sons to follow his path

The analogy is a bit inappropriate, the reason is this