Iron Law

1. The risk for each trade should be controlled within 10% of the principal, especially for beginners, it is best to keep it between 2%-5% to ensure you do not face forced liquidation due to a single trade.

2. After entering the market, never close positions early due to short-term fluctuations or lack of patience. The market needs time to develop, so patiently wait for it to validate your strategy.

3. Every trade must be conducted according to plan; overtrading will only increase the likelihood of mistakes.

4. After making a profit, adjust your take profit and stop-loss to protect your gains, continuously following market trends until a trend reversal is detected.

5. Setting stop-loss points is key to trading; do not casually cancel stop-loss orders, and stick to risk management after entering the market.