Let’s first look at a few sentences from my trading journey, which I once discussed with other trading enthusiasts. These are what I carefully collected and preserved at that time.
1. A qualified trader does not predict the market. In fact, the market cannot be predicted and does not need to be predicted. When the market breaks out and rises, go long; when it breaks down and falls, go short; when the market plays tricks with false breakouts hitting stop losses, accept the loss and exit. When the market truly breaks out, continuously move the stop loss points up or down. Going long means aiming for the sky; going short means aiming for zero (remember when crude oil fell to -40 dollars during the COVID-19 outbreak in 2020). Never predict the peak and trough of a trend; only use stop losses to secure profits, always exiting passively. Continuously, this cycle repeats itself. Trading is such a dull practice. Because there are no expectations, there are no disappointments. If the heart remains unmoved, naturally, there are no human weaknesses. Eating well and sleeping soundly. Don’t stare at the charts; if you have time, spend more time with family; if you don’t, make sure to exercise more. Isn’t life just about this pursuit, to live well and long?
2. The Tao cannot be spoken; once spoken, it is wrong. Viewing high dimensions from low dimensions, everything is predetermined. Viewing low dimensions from low dimensions, every day is a maze. Everyone possesses complete wisdom; it’s just that delusions and attachments cannot be resolved. The way of trading is formed through personal insights, therefore, everyone’s understanding of the way will never be completely the same, but the way to stable profits must be interconnected.
3. A thousand flowery moves are not as good as one deadly move repeated ten thousand times. The market changes constantly, but it never strays from its essence; overthinking is useless. If you encounter a chart pattern, trade it; if not, take a break. There are no gods in this world; if there are, they are merely your calm self. It’s like what Bruce Lee said: I fear not the man who has practiced a thousand kicks, but I fear the man who has practiced one kick a thousand times. But I want to say, if there are no other thousand moves of 'showing off', how can you master the deadly move? If you don't know that this move can be deadly, why repeat it ten thousand times? You see, it sounds reasonable, but many people still can't see the essence clearly.
4. Life is a process of constant awakening. If you cannot be awakened by love, you will be awakened by pain. If you cannot be awakened by pain, you will be awakened by death. If you cannot be awakened by death, you will be awakened by reincarnation. If you do not fall to the bottom, how can you be reborn from the ashes? Bankruptcy is the best teacher; it will teach you everything. It tells you what doesn’t work, and what remains is what you should do.
5. What kind of experience can transform you? It’s about breaking yourself down, grinding into powder, and reshaping into a new person. All truths, if not realized by yourself, are useless no matter who tells you; they can only guide you through the dark path of trading with a light, allowing you to find your own trading way at a lower cost. Trading skills can be cultivated and trained, but the cultivation of psychological quality is not as simple as skill training; belief is not just simple psychological quality... When the K-line flies up and down, accompanied by fluctuations in account equity, is it the wind moving, the flag moving, or your heart moving?
Alright, the above sentences are what I once desperately sought in my pursuit of the way of trading, constantly chasing after it, along with topics discussed with other trading enthusiasts. Now, looking back at them, I feel a sense of 'how naive I once was', but without that naivety back then, I wouldn’t have grown into my current understanding of trading, nor could I have realized any trading principles.
For example, after experiencing countless cycles of making and losing money, I concluded that the biggest misconception in trading is to take temporary, accidental profits as one's own ability, or to think one’s trading system is excellent, while blaming losses on market conditions, system incompatibility, or poor mindset and execution. In fact, this is all smoke and mirrors. Many seemingly impressive traders or trainers often focus on specific market charts and continuously preach some seemingly profound, theory-laden but practically meaningless dogmas and rules. Let’s see how they perform in real trading.
Making money is just luck; losing money is definitely skill; that’s the fundamental understanding. When I say making money is luck, I don’t mean just sheer chance. The premise is still to do the right things in trading, following several important trading rules (like not over-leveraging, not trading too frequently, and not stubbornly holding onto positions). These are just for self-preservation or to do what should be done in limited market understanding. If you make money, attribute it to luck; don’t consider it your ability, because no matter how good you are, without market alignment, you’re still nothing. The current market is dynamic; walking alone can be lonely. Follow me for daily potential layout and bull market strategy.
