To Contract Traders: Why Do You Always Lose More and Win Less?
In contract trading, many traders often find that orders with stop-loss settings tend to experience a rebound shortly after the stop-loss is triggered, while orders without stop-loss settings seem to always be stuck on the brink of liquidation. The reasons behind this may be more complex than you think.
First, you need to recognize a harsh reality: to some extent, you are actually gambling against the exchange or other large traders. In this gambling scenario, due to information asymmetry and differences in financial strength, you are often at a disadvantage.
More importantly, your trading behavior may be subject to "insight". In a highly information-driven market, some large traders or institutions can use various means to peek into your trading strategies, including your stop-loss and take-profit points. Therefore, when you make small profits repeatedly, they may deliberately create market fluctuations to lure you into greater losses. This is why you can win 10 small trades but might lose everything due to one large trade.
Additionally, the phenomenon of "stuck points" in trading is not coincidental. The market often generates violent fluctuations near your key price levels to test your determination and patience. If you cannot remain calm and rational, it is easy to be swayed by these fluctuations, leading to poor decision-making.
In summary, the phenomenon of losing more and winning less in contract trading is not accidental but rather the result of various complex factors working together. To remain undefeated in the market, you need to continuously improve your trading skills and psychological resilience while learning to identify and cope with various market traps and risks. Only then can you progress further and more steadily on the path of contract trading.
If you are currently losing and don't know what to do, you can click to follow me, click my avatar to find me anytime; all contract and spot trading strategies are shared. Just to gain followers.
