1. About holdings
If you can't hold on to a good position, don't hold on to a bad position. If you can't let the profits run, at least don't let the losses run.

2. About positions
Many people are promoting the magical technical position. In fact, the magical thing is never the technical position, but the position. Knowing when to use a large position will solve the core problem in trading. There is no rush for long-term trading. Do not place an order for more than one-tenth of the position each time. The only reason to enter the market in the short term is that the market is strong. Making money depends on the strength of the market, not on your ability. Slow market is half a beat slower, and slow is fast.

3. About trends
Being an enemy of the trend is dangerous, but being a friend of the trend is fatal. You are using the trend, and the trend is also using you. The essence of the bull trend is to bring you to a high position, make you feel good about yourself, and buy the order at the same time. Dealing with the trend is like fighting with a master, and you need to keep a clear mind at all times. You can wait until the trend is established before entering the market, but you must not wait until the trend breaks before leaving the market, because then it will be too late. You can enter the market slowly, but you must leave the market quickly.

4. About stop profit
Sometimes you sell too early, sometimes too late. How can you sell at the right time? Don't waste your time on this unanswered question. Many people pursue the high point of selling. However, a world-class trading master said: "I made money by selling too early." Here are several profit-taking methods that I personally agree with.
1) The next-day settlement method: quit while you are ahead the next day.
2) The first-line understanding method: do not ship out until a negative line appears, and stop profit when a negative line appears.
3) Stop profit if neither the highest price nor the closing price reaches a new high.
4) The method of taking profit when the price falls below the moving average. Refer to the general principle of taking profit when a certain moving average is broken. Enter strictly and exit loosely. The buying point is strict and the selling point should be loose.

5. About stop loss
I will not repeat the importance of stop loss. Here is a brief introduction to the effective single K-line stop loss method. The first point of the entry K-line must not be broken. If it is broken, stop loss should be made. Hesitation is because there is no clear stop loss standard. Before placing an order, you should tell yourself how much loss you may bear for this order. Put psychological preparation in advance, instead of asking around whether to stop loss after being trapped. Good positions cannot be held, and bad positions must not be held. This is basically right.

The above five cognitions belong to the top-level design of trading, which belongs to Tao and Fa. Trading is the realization of cognition. Beyond Tao and Fa are techniques and tools. Every penny earned in trading is ultimately the realization of cognition. There is no magical technology, only a sound risk control. If you keep an eye on the risks, you are not far from success.