Those who really have the ability to make money in the most profitable way
There's a crocodile rule, you know? The crocodile bites your foot, the only thing you can do is click, and the strong man breaks his foot immediately, don't look back, or the whole person will be gone. That is to say, when you find that your behavior deviates from the established direction, you must stop immediately, without delay, without taking chances. Admit failure, but also learn to give up. The best setting for this story is today's stock market.
Some people work to make money, some start a business to make money, and some make money by speculating in stocks. Investors hope to get rich overnight and make big money quickly. The poorer they are, the more anxious they are. We often hear that in this market, XX has achieved financial freedom in a short period of time. It is easy to take such a stock god as an example. More than 90% of retail investors believe that through their own learning and exploration, they can become short-term stock gods with their own ingenuity. They believe they can get rich overnight, so they always learn how to make quick money, which leads to short-term speculation. Retail investors cannot own profitable stocks.
Because I want to make quick money and get rich overnight, I buy today, sell tomorrow, and trade frequently. Only high-frequency trading and participation in hot topics can make small funds grow rapidly. Retail investors want to make a quick buck, but they can't make a quick buck. Rich people want stable investment and have valuable investment ideas. So how can these rich people make profits in the deep-sea stock market?
Those who really have the ability to make money in the most profitable way
Profit at five points
- Learn to take profit and stop loss
For investors, it is very important to learn how to stop falling and stop loss. Most retail investors know stop loss, but not how to take profit. As the saying goes, the one who sells is the master.
- Don't expect to buy the lowest price and sell the highest price
This is usually the type of person who loses the most in the stock market. No one but the manufacturer knows when to buy the dips and look for the tops.
- The rise in volume and price is a "pit"
A lot of people always talk about rising prices and increasing volumes. Rising prices and falling volumes are a good indicator of the dashboard, and large volume increases are often a pre-knock or pre-shipment performance!
Fourth, learn to short positions
Some folk masters are very good at using funds for short-term operations, but for non-professional investors, it is almost impossible to track hot spots every day. Therefore, in the stock operation, we must learn to see the general trend. Not only do we have to buy stocks in an uptrend, we also have to learn to short them. Stocks on the gainer list made small gains, but those on the loser list saw big losses. We need to consider short positions. Sometimes short positions take days, sometimes weeks, sometimes months. Although stocks will buck the trend when the index falls, you are definitely not the lucky 10%!
- Opportunities always fall
The slump was divided into sharp declines in the broader market and individual stocks. The chances of a downturn are much less than the chance of a slump, which often leads to a major opportunity. Plunges are usually caused by major bad luck or unexpected events. The slump in the market relative to the high point should be treated with caution, but after a major downtrend or a long-term slump in the market, you should pay attention to the stock, because many bull stocks have the opportunity to fall out, and repeated such situations are generally continuous. plate.
Those who really have the ability to make money in the most profitable way
Successful investors only need to do two things over and over again
What should I do if the trend proves me right after I buy?
What should I do if the trend proves me wrong after I buy?
No one can accurately predict the future market. Profit is not obtained by predicting the winning rate of the market, but by "doing it wrong, the less you lose, and the more you earn when you do it right". This is the biggest difference between practitioners and analysts.
The purpose of buying is not to lose money, but to make as much money as possible: when the trend is in your favor, you must be greedy and let the profits run; when the trend is against you, stop dreaming and cut losses. When will the market direction become clear? Not clear at any time! At any time the market is out with their chips, although many friends never think that they are gambling, but the probability is very high, not just gambling. In fact, no one knows how to go tomorrow.
Trading is betting on an uncertain profit at a certain price. Only when the deadly risk comes, is it far away; when the risk is manageable, the future is worth looking at. Most of the time, trading is "plan my trade, trade my plan": watch trends after get off work, follow the rules to decide what to do, and trading hours just follow the rules.
If we want to think about where to buy or sell amid the volatility of trading hours, I'm sure a lot of the time, I'd agree that I'm going to lose money. It never occurred to me that specific buy positions play a significant role in trading. Only those who are chasing low profits can pursue a particular point of purchase. More opportunities and profits are lost if trades that do not pursue low profit ranges focus too much on specific buying points.
Volatility comes from the market, but risk comes not from the market, but from your trades and whether you control the risk. No matter how low the risk, if the risk is not controlled, the risk will be infinitely magnified. No matter how high the risk, if you know how to control it, the risk is greatly reduced.
If you can't control the market, you can't control your trading. There is nothing more dangerous than your hands. Every day you make a random decision in the market, then all your previous costs and trading experience won't help you. At this time, there is no difference between a veteran and a novice. They are blind and lucky.