[Practical Tips] A good trader is a steady stream of profit.
Why should you take out profits in time when trading, and don't "snowball" easily?
"From the perspective of risk management, as long as I generate a certain degree of profit, I will take it out, and then start trading with the same capital... I will take it as the "basic point." "
This is the experience of Fairy, a genius futures trader. He has won two championships in the real futures trading competition in Japan, achieving a profit of more than 1000%.
He said that most of his profits are won by "accumulating small profits."
Doing so is not consistent with the snowball of profit we imagine. But it is an effective way to overcome the impatience and greed of our own human nature. Doing so will not make you lose all your previous efforts after a liquidation.
For example, we use 1000U to trade first, and take it out every time we make a profit, and then return to 1000U. When you can really control this part of the principal and can make a continuous and stable profit, then consider expanding the principal of the transaction.
To become a trader, you need to be able to make steady profits as long as possible. The mentality of getting rich overnight is understandable, but you must face and accept the reality.
