Old Bao's early morning speech was biased 🦅, and next year there may only be two rate cuts. This is only a 'possibility', and the specifics will depend on the changes in inflation data. The market interprets this as bearish. This bearish sentiment has a temporary impact and is generally digested by the market in a couple of days.
When encountering such major information, pay attention to a few points:
1. The ratio of low long positions and pending orders should not exceed 15% of the account funds;
2. Set a break-even stop for positions with floating profits at the first instance to prevent the profit target from being unreachable and potentially turning floating profits into floating losses due to bearish pullbacks;
3. If the defense point is broken, reduce positions to ensure 10-15% of the margin, which can allow for replenishing positions at a lower price to lower the average cost.
Some people think of cutting losses as soon as they are slightly trapped in low long positions, which is a poor strategy. It's important to understand that many people are currently trapped in short positions at 90,000-78,000, and they have held for over 40 days. Who doesn't want it to drop to 80,000 or 70,000? The bullish trend has not yet ended.