In a unilaterally rising market, making money seems particularly easy, and many people have indeed made a lot of money. As the saying goes, "profit blinds the mind", so the first mistake is: arrogance.

Take it for granted that making money is your own ability, not the market trend.

However, good luck will not knock on the same window twice. Once it turns to shock, making money will quickly turn into a losing business, and then the second mistake will follow: self-indulgence.

Watching the losses getting bigger and bigger, and being helpless and indifferent, the self-indulgent mentality begins to take over the account and dominate the subsequent trading behavior, deep lock-in, meat cutting, etc.

It is easy to let go of the cliff, but it is difficult to turn back at the critical point. When in a dilemma, impetuous impulse can easily push people to make mistakes again.

A passage from Livermore is particularly alarming: "If a person has excellent performance in the speculative market, he must thoroughly understand himself, and knowing that he may be trapped in the ranks of stupidity is a long learning process.