To Contract Traders: Why Do You Always Lose More and Win Less?

In contract trading, many traders face this dilemma: orders with stop losses often experience a pullback or rebound shortly after the stop loss is triggered, while orders without stop losses seem to be constantly on the brink of liquidation. The reasons behind this may be more complex than you think.

First of all, we need to recognize a harsh reality: to some extent, you are actually gambling against the exchange or other large traders. Due to information asymmetry and differences in capital strength, you often find yourself at a disadvantage. These large traders or institutions may have more market intelligence and analytical capabilities, allowing them to better grasp market trends.

More importantly, your trading behavior may be "transparent." In a highly information-driven market, some large traders or institutions can peek into your trading strategies through various means, including your stop loss and take profit points. Therefore, when you repeatedly make small profits, they may deliberately create market fluctuations to lure you into larger losses. This kind of "transparency" makes it difficult for you to control your trading fate, rendering you a weak player in the market.

Additionally, one must also pay attention to some external factors affecting contract trading. For example, changes in the political and economic environment, adjustments in industry policies, and the occurrence of unexpected events can all trigger severe market volatility, severely impacting your trades. In the face of these unpredictable factors, even the most refined trading strategies may find it difficult to completely avoid risks.

In summary, the phenomenon of "losing more and winning less" in contract trading often stems from the trader's own information disadvantage, strategy transparency, and the complex and changing external environment. As contract traders, we need to maintain a humble mindset, continuously improve our analytical skills and risk management awareness to gain opportunities for survival and development in this harsh market.