If you decide to enter the transaction, you must remember the following points, which are very important.
First, trading is a way of small-scale risk-taking, so losses are common. When encountering stop losses, some people will open orders frantically, while others choose to calm down and reflect. I suggest that if you stop losses frequently, it is best to stop temporarily and adjust your strategy.
Second, trading is not a shortcut to getting rich overnight. When you encounter losses, stay calm, don't rush to enter the market, and don't operate with heavy positions.
Furthermore, it is crucial to understand the general trend of the market. If you find that the market is one-sided, you must follow the trend and avoid operating against the trend. Whether you are a novice or an old hand, trading against the trend often suffers serious losses. Therefore, wait patiently for opportunities before taking action.
In addition, the profit and loss ratio should also be paid attention to, ensuring that the profit is greater than the loss, at least 2:1, so that you can consider entering the market.
Frequent trading is a taboo, especially for novices. You must restrain the impulse to open orders blindly, and many opportunities may actually lead to losses.
Finally, only make money within your own cognitive range, and remember not to carry orders, especially for friends who are just getting started. Be sure to set a stop loss, carrying orders will only put you in trouble, so be sure to keep this in mind.