It is said that trading is like a waiting game, so what are you waiting for?
When you are short, you are waiting for the signal to enter the market.
When you are holding a position, you are waiting for the signal to exit the market.
The signal here is like a traffic light. You have to stop when the red light is on, and you can only go when the green light is on. If there is a signal, you should act quickly. If there is no signal, you can only wait.
It is like waiting for the float when fishing, and you will raise the rod as soon as the float moves.
Generally speaking, if the float moves, there may not be fish, but if there is fish, the float will definitely move.
Every entry is actually trial and error, and the cost of this trial and error is the price that must be paid in order to make a profit. It is the same as the price of bait when fishing.
When trading, you often encounter a problem, that is, you can only see that it is a trend when the trend is almost over.
Before the market has not come out, there is no way to determine whether the market will go after entering the market.
The trend may make many people feel confused.
In fact, as long as there is action, there will definitely be a probability of making mistakes.
If you want the final result to be profitable, you have to accept the bad results that may occur in the short term.
Many trials and errors will fail, just like when fishing, you have to accept that many baits thrown out may be wasted and cannot be retrieved.
For example, sometimes the fish eats the bait, but it just won’t take the bait, right?
So, now the question we have to study becomes how to make the fishing harvest exceed the cost of the bait.
This question needs to be pondered over and over again, and the answers in the early and later stages may be different.
This answer determines why everyone is waiting for signals, some people can make money all the time, and some people have to go around for many years.
In fact, most of the energy of trading should be put outside the market, not just in the market.
Isn’t there a saying, "Ten years of hard work off the stage, one minute on the stage."
Summarize and verify more, and you can verify your ideas by reviewing the results, so that you can eliminate some wrong practices more quickly. 👗👉 See my ID
Before you figure out the principle, reduce your position so that you can survive longer in the market.
