One hundred U challenges ten thousand U
Initial capital: 630 U (2024.2.25)
Current Funding: 692
I made a mistake yesterday, thinking that WLD would fall. When it went up yesterday morning, it thought it was a rebound, so it went short and used high leverage. It was quickly discovered that the trend was wrong. At this time, the second mistake was made, which was to modify the stop loss price, betting that it would not break through the intraday high. The result was obviously a lost bet. lost heavily! It is correct to be short on WLD. The market value is so high that it will definitely fall, and it will fall in a few days. The problem is that yesterday, it could hit a new high, blowing up by dozens of percentage points and blowing up the Air Force.
Of course, the price reached a new high, which was only known after the fact. The situation at that time was unknown at the time: whether it would continue to fall after a rebound, or whether it would continue to rise and hit new highs. One of my rules for opening a position is not to go short when the daily line is rising. If you had followed this rule, you would not have shorted it yesterday and fought on the wrong battlefield. Moreover, I was too bearish on WLD and had developed an obsession. When I saw a rebound (actually a real rise), I thought it was a good time to go short. And the most terrible thing is that I used high leverage in my delusional attempt to accomplish everything in one battle, violating the three-time leverage trading rule. In this way, a life and death battle was fought on the wrong battlefield, and the result was lost.
The transaction itself is not complicated, as long as you don't engage in high leverage, don't carry orders, don't cover positions if you go in the wrong direction, and don't open positions after losses. There will be no liquidation at all! You won’t lose all your money in one day. It's just that the weaknesses of human nature are not easy to overcome. For example, if you open a position at a good time and the stop loss order is triggered, the loss will be very small. At this time, you can't help but increase the leverage and find reasons for yourself. Even if the leverage becomes larger, if it is triggered, the loss will not be large. For this deal, it was. But once the high-leverage gate is opened, it cannot be closed. Later transactions will also use high leverage. Continuing high leverage will only result in liquidation and loss. To survive in this dangerous battlefield, you must overcome the weaknesses of human nature and absolutely abide by the rules of trading.
#交易挖矿