Three Essential Factors for Successful Traders

1. Understand the underlying logic of trading; trading is about placing stop-loss bets at key points. The key points are the core of trading, not random gambling. Enlightenment is like drawing water from a river; you only take a scoop from the vastness. First, make a prediction, then follow it. Only with prediction first and following after can your growth be astonishing.

2. Understand human nature. Defending stop-losses is a way to cope with unexpected situations. In trading, all technical methods can lead to profit, but in the end, they all come down to one point: human nature. Anyone who reaches the elite level of the industry must enter the realm of mindset; those who reach this level are truly exceptional. Ultimately, trading is about defending against human nature, which is a battle between profit and loss ratios and defense.

3. Understand how to control impulsive and capricious trading. A cheetah does not chase its prey all the time; most of its time is spent waiting for the prey to appear. In other words, excellent traders rely on waiting to catch their prey.