Do you have the mindset required for investing?
Updated
In fact, futures investment is very simple to talk about, with only two choices: long and short, a 50% probability event. But why is it so difficult to succeed? Have you carefully examined the reasons for your losses? Have you summarized them?
Sometimes it's not about choosing the wrong direction, but choosing the right direction and not going the right way. At this time, mentality is particularly important.
Traders may know a person - Livermore, whose book "Reminiscences of a Stock Operator" is regarded as a bible by countless speculators.
The book states that there are two main emotions in the investment market: hope and fear - hope is often generated by greed, while fear is often generated by ignorance. Controlling your emotions is a speculator's real hope, fear, and greed.
They are hidden in our hearts and are waiting outside the market, waiting for the opportunity to make a big profit. Hope is crucial for human survival. But hope and the cousins in the investment market - ignorance, greed, fear, and distorted reasoning are the same. Hope covers up the facts, but the investment market only recognizes facts. The result is objective, final, and unchangeable, like nature.
You will find that many very spiritual traders have accurate judgments about the market but cannot hold onto their money, resulting in long-term losses.
The two main sins of trading are indulging in risk and terminating profits. The former is to hold a hopeful attitude towards a position, and the latter is to be worried about profits.
People with a better mentality are either the result of being very disciplined or having abundant capital and can afford to lose, so their behavior is not easily deviated. Those who want to make quick and big money often lose money instead.
Those who appear to be slow and steady may find that their assets have multiplied several times after a year.
People who can exit the market when things go wrong have the ability to lose, because they know that the current situation is unfavorable, and patience will always bring opportunities. If someone rushes in with hot blood, the result may be a margin call.
A bad mentality probably stems from being unable to afford to lose and trying to take shortcuts. So how to solve these two problems? When the position is smaller, the impact of losses on traders is smaller, so it is easier to accept losses and mistakes. Usually, few people can do what they say. The solution for ordinary people is to use the "boiling frog" method - habitually reducing the size of the position from 1 lot to 0.9 lots, then to 0.8 lots, and so on over time until it meets their own principles of capital management. It takes three weeks to develop a habit, so be prepared for a long battle. On the other hand, time is the basis for achieving compound interest, and it also requires a long battle.
Those who achieve great things, both now and in the past, often come from self-discipline in small matters. In trading and life, do not commit small evils.
Taking shortcuts and being heavily invested will result in only two outcomes: huge profits and huge losses. In the short term, there may be huge profits, but in the long term, the probability of huge losses is even greater. Heavy positions mean that you do not have many opportunities to make mistakes, and even one mistake can make your funds disappear. Light... (The text ends abruptly, possibly due to an incomplete copy.)
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Sometimes it's not about choosing the wrong direction, but choosing the right direction and not going the right way. At this time, mentality is particularly important.
Traders may know a person - Livermore, whose book "Reminiscences of a Stock Operator" is regarded as a bible by countless speculators.
The book states that there are two main emotions in the investment market: hope and fear - hope is often generated by greed, while fear is often generated by ignorance. Controlling your emotions is a speculator's real hope, fear, and greed.
They are hidden in our hearts and are waiting outside the market, waiting for the opportunity to make a big profit. Hope is crucial for human survival. But hope and the cousins in the investment market - ignorance, greed, fear, and distorted reasoning are the same. Hope covers up the facts, but the investment market only recognizes facts. The result is objective, final, and unchangeable, like nature.
You will find that many very spiritual traders have accurate judgments about the market but cannot hold onto their money, resulting in long-term losses.
The two main sins of trading are indulging in risk and terminating profits. The former is to hold a hopeful attitude towards a position, and the latter is to be worried about profits.
People with a better mentality are either the result of being very disciplined or having abundant capital and can afford to lose, so their behavior is not easily deviated. Those who want to make quick and big money often lose money instead.
Those who appear to be slow and steady may find that their assets have multiplied several times after a year.
People who can exit the market when things go wrong have the ability to lose, because they know that the current situation is unfavorable, and patience will always bring opportunities. If someone rushes in with hot blood, the result may be a margin call.
A bad mentality probably stems from being unable to afford to lose and trying to take shortcuts. So how to solve these two problems? When the position is smaller, the impact of losses on traders is smaller, so it is easier to accept losses and mistakes. Usually, few people can do what they say. The solution for ordinary people is to use the "boiling frog" method - habitually reducing the size of the position from 1 lot to 0.9 lots, then to 0.8 lots, and so on over time until it meets their own principles of capital management. It takes three weeks to develop a habit, so be prepared for a long battle. On the other hand, time is the basis for achieving compound interest, and it also requires a long battle.
Those who achieve great things, both now and in the past, often come from self-discipline in small matters. In trading and life, do not commit small evils.
Taking shortcuts and being heavily invested will result in only two outcomes: huge profits and huge losses. In the short term, there may be huge profits, but in the long term, the probability of huge losses is even greater. Heavy positions mean that you do not have many opportunities to make mistakes, and even one mistake can make your funds disappear. Light... (The text ends abruptly, possibly due to an incomplete copy.)
XAUUSDEURUSDBTCUSDTBTCUSDTNote
Taking shortcuts and being heavily invested will result in only two outcomes: huge profits and huge losses. In the short term, there may be huge profits, but in the long term, the probability of huge losses is even greater. Heavy positions mean that you do not have many opportunities to make mistakes, and even one mistake can make your funds disappear. Light... (The text ends abruptly, possibly due to an incomplete copy.)
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