During four years of currency speculation, I came to understand one truth. Have you ever thought about currency speculation accounts and understood the mysteries?
If you have $3 million, first it increases by 100%, then decreases by 50%, the result is still $3 million. Regardless of whether the first increase is 50% and then decreases by 50%, or the first decrease is 50% and then increases 50%, the result is always $2.15 million. This shows that controlling retracements is very important. Short-term profits can be high, but if the retracement exceeds 50%, they will return to zero.
Strong annual returns are not inferior to highly volatile returns. A steady income of 30% per year is substantial, and the power of compound interest will deliver incredible returns. Buffett has maintained returns of more than 20% for 47 consecutive years precisely because he believes in the power of compound interest.
When speculating currencies, you must do a good job of position management, make careful choices, and control risk so that you can move forward steadily and earn steady profits. Follow a sound investment strategy and pursue stable and long-term wealth growth.
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