Investing is not a game of pure chance, but it is also not a sure path to success. In fact, investing is a game of probability, where we make decisions based on information and analysis, but the final outcome still depends on many different factors that we cannot fully control.
The harsh reality of "opportunity"
No Guarantees: The concept of “opportunity” in investing is often painted in a flattering light, leading many to dream of easy profits. However, the reality is that no opportunity is guaranteed to be profitable.
Betting on the Future: When we invest, we are betting on what will happen in the future. And as we know, predicting the future is always difficult.
Risk is always present: Every investment decision comes with risk. Even if we have done our research, there may still be unexpected situations that cause us to lose money.
The key to success
Capital Management Method: How you allocate capital, set stop losses and take profits will determine the level of risk you face and your ability to preserve capital.
Psychology: A stable mentality, patience and discipline are extremely important factors in investing. Being dominated by emotions such as fear and greed can lead to wrong decisions.
Position: When you enter the market, how much capital you invest, and the type of asset you choose also affect your final outcome.
Instead of dreaming about "opportunities," focus on the practicalities.
Build a clear investment plan: Set specific financial goals, identify appropriate asset classes, and build a diversified portfolio.
Learn and research: Continuously learn about the markets, investment tools, and factors that influence the markets.
Patience and Discipline: Investing is a marathon, not a sprint. Be patient with your plan and avoid making rash decisions.
Capital Protection: Always put capital preservation first. Be willing to accept small losses to avoid larger risks.
Investing is a risky, yet exciting activity. Instead of chasing after illusory "opportunities", equip yourself with the necessary knowledge, build a reasonable investment strategy and always keep a stable mentality.
