"Patience elevates a person, as enduring all matters elevates one's character. Nobility lies in kindness, as accumulating virtue and doing good deeds makes one noble. Greatness is found in understanding, as comprehending life makes one great. A hero is not defined by success or failure, but by their actions and deeds."

In one's life, there seem to be countless investment opportunities, but truly worthwhile opportunities are very few. It's not just about understanding one's circle of competence and whether Mr. Market is acting irrationally; the hardest part is, are you willing to miss out? Will you compromise and settle for less because the opportunity has not yet appeared?

Advertisement

This is no longer a matter of greed, fear, and persistence; it is a calm mindset of "not competing."

Investing is not a flat race, but a vertical climb. Being faster than others does not mean success, as a single misstep can erase all achievements. For a peak with almost no end, the significance of being ahead is minimal. The most important thing is to ensure that every action complies with safety standards, avoiding dangerous routes and unfavorable environments. Forgetting the precipice beneath one's feet in the pursuit of a temporary ranking is the most foolish thing to do.

Successful investors usually have a good strategic vision, and they are more willing to think about issues that have a decisive impact on the long-term future. Ordinary people are just the opposite; a sudden surge in the market one day can make them extremely excited, ignoring the overall failure. When a person considers issues with a 10-year perspective, they will own the future. If they are only accustomed to considering tomorrow's problems, they are destined to only harvest the continuation of yesterday.

Investing has never been a simple matter, and no one can succeed casually. Most investors enter the market to make quick money, but in reality, haste makes waste.

Reasons for failure:

First, in trading psychology, blind optimism;

Second, in the trading system, blind confidence.The best investment a person can make, the most brilliant investment, is investing in oneself.

Investing in oneself, making oneself more valuable, is more important than making money. Some say, "To grow and change our destiny, it is not others who rely on, but the investment in ourselves." In life, the time, energy, learning, and growth we invest in ourselves are the most reliable investments.

In life, investing in ourselves allows us to become independent, autonomous, confident, brave, and wealthy. When we invest in ourselves, even if fate is turbulent, we can handle it calmly. Investing in oneself may not yield immediate results, but with persistence, perseverance, and more perseverance, we will eventually see the returns.

In life, the accumulation of investing in oneself will ultimately be our own, and no one can take away what we have learned from investing in ourselves. In life, we invest in ourselves to forge the capital of our lives. The most important investment in life is self-investment, and each of us has the potential for such investment.

When a person is short of money, at a low point, or in adversity, the more they need to understand how to invest in themselves and accumulate strength, so that the future can be smooth. Perhaps, investing in oneself, stimulating one's potential, and exploring one's potential is a kind of perseverance, and this perseverance tests our resilience and resistance to setbacks.

So in the trading market, this world without rules, everyone is equal, it depends on who can better understand human nature, who can maintain self-discipline, who can self-learn, and persist to the end.

1. We must first learn the correct cognition.

2. What should we learn when no one leads us?

It is mainly divided into two parts, one is trading technology, such as technical indicators, including K-line, moving average, Bollinger Bands, MACD, KDJ, etc., choose two or three indicators that you are comfortable with, conduct in-depth research and study, and master their usage thoroughly.Another part is the trading system. We organize indicators into a trading system based on the basic framework of the trading system. This part is explained in great detail in the book "Trend Trading Method," which you can refer to.

In addition to trading techniques, we still need to learn the basics, such as market knowledge, software usage, and some understanding of the fundamentals. You can quickly understand these by reading some books.

The correct trading concept is to go with the trend, not to rely on guessing to succeed. If you always rely on feelings, it is difficult to achieve stable profits, and feelings are always unstable. Emotional fluctuations will affect your judgment.

At the same time, when encountering significant losses, you must not act impulsively. The best choice is to take a break, rest well, and stop paying attention to the market. Do not try to earn back the money lost today by blindly increasing positions, otherwise, you will only get deeper and deeper, lose more, and even go bankrupt.

Some people may also say that the quality of trading is closely related to the market. They often hear people say that today's market is too weird and difficult to do. They never look for reasons from themselves. Make yourself strong, follow the trading system with a positive expectation value, and you can deal with the complex and changeable market fluctuations.

Strong trading strength must have a strong trading mindset, which is the soul of the entire trading system. The trading mindset determines how you view the market, respond to the market, when to enter, and when to take profit and exit. Whether you are trading or doing business, you must establish the correct concept, positive beliefs, and thoughts to maintain the right path and be outstanding.

When facing losses, do not be complacent and blindly increase positions to try to reduce costs. This is a speculative mentality and does not strictly follow the trading system. Even if you make money sometimes, your behavior will become a habit, and the market will deal with you later.

When facing profits, you must adhere to the exit rules and not take profits based on feelings. Excellent traders must strictly follow their trading systems. The great way is simple, and it is easy to know but difficult to do. Deliberate practice, and you will thank yourself for your long-term consistent, simple, and silly firm execution, and the market will give you the best reward.

In the trading market, if you do not experience several times of bloody wind and rain, it is difficult to deeply understand and comprehend the market and see yourself clearly. When you are in pain, confusion, and anxiety, it is often more likely to make traders change their understanding of the market and then calm down to review and reflect on themselves.

The design of the trading system includes: entry, stop loss, position adjustment, position holding, taking profit, and risk control. A good trading plan is the first step towards stable profits. Each time you enter the market with a very small position, strictly follow the stop loss, do not move the stop loss line arbitrarily, and do not increase positions in the case of losses. No matter how the market changes, simply follow the plan and execute it strictly, and you will become a dark horse in the market over the long term.The core essence of trading is: small losses, big gains.

This is also commonly referred to as cutting losses short and letting profits run. It means starting with a light position and adding to the position when there is a floating profit.

The core of each trading link is:

Trend following. Find a simple indicator to divide long and short positions. In a bull market, only go long and look for classic head signals.

Position opening. Wait on the path that the trend must take. Enter at key points. Don't care too much about the win rate. The win rate cannot be too high, nor does it need to be. Entering at key points should consider the potential for a large profit-to-loss ratio, that is, entering at this position, the stop loss is very small and can best prove that you are wrong. Generally, it is at the bottom and the early stage of the trend.

Position size. Risk is always the first priority. The position size invested must be able to withstand the largest historical consecutive losses, and it is best to set a more conservative basis.

Stop loss. The number one principle. If the key point is broken, you must stop loss, and there is no room for luck. If the price comes back, you can look for another opportunity to enter. But you should not hold on to your position just because you are bullish. Let alone the foolish behavior of adding to the position when there is a loss.

Add to the position after a floating profit and trend following pullback. The core of making big money. After the price rises as expected, it pulls back, and you add to the position at the support level of the pullback or after breaking through the previous high point. Add to the position using the pyramid method.

Move the stop loss after adding to the position. Move to the new key point. The position is already safe, and there is only the stop loss risk of the added position. If it fails, stop loss. Wait for the next opportunity. If it continues to rise, hold the position firmly, continue to wait for the pullback to add to the position, continue to move the stop loss. Until the last move is stopped or a head signal appears to take profit.

Take profit. Never exit easily. Wait patiently for a classic head signal or divergence before exiting. Exit can be in batches or all at once. Both are fine. It is best to exit all at once, because you can ask yourself to wait for the highest probability head signal. Floating profits will definitely retract, and you must accept them, don't think about selling at the highest point. Inevitably, you will occasionally encounter a V-shaped reversal, and the floating profit retracts most or all, which can be appropriately personalized to optimize, but the best way is to accept it calmly, because this is not the type of market you want to catch.This is the core principle of winning in trading. As long as these principles are met, there are many methods and indicators that can be used. There is no best, only the most suitable for oneself. It needs to be found in practice.

As long as you master and follow these principles in practice, even with a very simple indicator, and maintain consistency with discipline, you will find that making money is a very simple and boring thing.

Simplify complex trades and repeat simple trades.

When simplicity is taken to the extreme, it becomes a success.

A successful speculator knows how to wait patiently for the right moment. Many people do not have such patience and would rather take a gamble, the sooner the better. Speculation experts wait patiently for the right moment to take action, because they understand that the profit is maximized at this time.

The more you focus on what you are doing, the easier it is to succeed. Experts who work wholeheartedly will earn more money than ordinary people.

Don't always try to buy at the lowest price, but buy when the breakthrough begins. You may miss the lowest point, but it is much better than being stuck at a low position. Do not be complacent in your emotions during trading; do not over-trade; do the right thing and manage your emotions well in trading.

If I am sure I will lose, I will be very cautious in trading and will definitely follow the routine trading management, that is, always set a stop loss, and I will listen when my methodology tells me to exit the trade.

I now know that if the price is too high, I will wait for it to fall back; if the price is too low, I will hesitate to buy. The trend begins with a price breakthrough, and a new trend will last for a period of time until a new price breakthrough appears in the opposite direction. The trend starts with a big reversal. You don't need to know the future of the world to make money. What you need is a continuous advantage in the game.The reason for my losses is not because I wanted to lose. My losses are due to my mistakes, and the losses are the main culprits that disrupt my emotions or trading methods.

Making money always takes time, and making money is related to time, which is related to patience. Making money requires a great deal of effort, and long-term learning is also essential for them.

At the same time, rules must be followed, unless you want to end up bankrupt from trading. Rules are more important to protect ourselves.

Driving a car follows the simplest rules: do not speed and do not drive under the influence of alcohol. If these two rules are followed, the possibility of an accident is very low.

Trading without a system will lead to a disastrous end. The more arrogant you are, the farther away from the rules of speculative operations, the faster and more tragic the destruction will be.

We all understand the principles, but we cannot execute them.

First, lack of knowledge and experience: Many traders do not have enough knowledge and experience to understand the basic principles of the foreign exchange market and risk management. They may blindly follow the market or lack sufficient technical analysis tools to help them make the right decisions.

Second, emotional influence: Emotions may affect the decisions of traders. Traders may be influenced by emotions such as fear, greed, and hesitation, leading to incorrect decisions.

Third, lack of planning and discipline: Some traders lack planning and discipline and are often driven by impulse. There is no pre-set trading plan, nor is there a willingness to follow the trading plan.

Fourth, lack of self-discipline: Self-discipline is one of the key factors for successful trading. However, the reality is that most traders lack self-discipline and cannot control their emotions and impulses, leading to an inability to adhere to the trading plan.Fifth, pursuing quick returns: The foreign exchange market is a high-risk, high-reward market. Many traders may pursue quick returns instead of holding positions for the long term, leading to the accumulation of risks and ultimately suffering losses. It is believed that there are no few people who have made this mistake.

What truly determines profit and loss is not any fancy technique, but that person, that heart.