Let go of your emotional obsession and respect the market.
Trading starts with your entry decision and ends with your exit decision. Don't expect that trading will be like this or that. What you need to seek is a careful consideration of the facts, not a speculative one. You need to form your own trading decision-making system and have your own eyes to see the market. You need to have a certain insight into the market and preferably a certain foresight. When trading, don't believe in your inner thoughts. Follow the system and eliminate external interference. In short, respect the market, believe in the system, and believe in yourself. As a result, trading will become natural, making you feel relaxed and even enjoy trading.
Make fewer assumptions, set clear stop losses, try to preserve your principal as effectively as possible, try and find the big trends, and strive to make big profits and small losses.
As traders, all we can do is to place orders without hesitation when the system tells us to enter the market. We cannot predict whether the market will rise or fall in the future, whether it will be a bull market or a bear market. After placing an order, we can only control how much we lose, but we cannot control how far the market will go.
Therefore, after opening a position, you should first follow the stop loss, hold the order as much as possible, and wait patiently for the exit signal. Once you exit, wait patiently for the next entry signal, repeat the cycle, repeat simple things to the extreme, and we can have a successful and brilliant life.
Risk comes first, opportunity comes second. The longer you live, the longer you can earn.
Profit is the product of risk rather than desire. Risk is always the first priority. It can be controlled and avoided by oneself but cannot be escaped because any profit is a reward that can only be obtained by taking certain risks. As long as the trading idea is correct, we should be calm about the risks we should take.
Correct analysis and prediction is only the first step to successful investment. The foundation of successful investment requires strict risk management (position management and stop loss management) and rigorous self-psychological and emotional control (remaining calm in the face of praise or criticism, and remaining calm in the face of danger). Only by experiencing all kinds of torture in trading can one increase the depth of one's perception.
The trading process is like the process of a butterfly breaking out of its cocoon. In the painful struggle, the will is exercised, the strength is strengthened, the mind is improved, and life is sublimated in pain.
