Why do many people lose money in the bull market? This can be mainly attributed to the following reasons:
1. When the market falls, due to fear of further losses, they often dare not build positions in batches to buy at the bottom, missing the opportunity to accumulate chips at a lower cost.
2. Even if they muster up the courage to buy at the bottom, they fail to hold on until the bull market really starts. They are often scared out when the market has a slight correction or the dealer washes the market, and cannot persist in the subsequent sharp rise.
3. The chips are too dispersed, resulting in that in the bull market, even if some investments perform well, the overall returns are diluted by other mediocre or poor performance.
4. Frequent buying and selling, constant position changes, blindly chasing ups and downs, etc., not only increase transaction costs, but also easily fall into the trap of emotional decision-making, and ultimately miss the continued rise of the bull market.
5. Because of greed, all-in or heavy positions are not well managed, and risk diversification and position control are not done well. Once the market pulls back, even a small adjustment may lead to serious losses, or even forced to cut losses and leave the market.
6. Lack of keen insight into market changes. Not daring to enter the market when it plummets, and only realizing that the bull market has returned when the market has risen significantly. At this time, the cost of intervention is often high. When the market soars, heavy positions are used to chase the rise, and eventually either being trapped or leaving the market at a loss. #HMSTR开盘
