If you must play with contracts, remember the following points! Very important!
1. Playing with contracts is to risk a lot with a small investment. It is normal to suffer losses. However, after facing stop loss, two groups of people appear. Some people will open orders frantically after stop loss, and some people will directly enter the cooling-off period.
My suggestion is that if you encounter frequent stop loss, you should calm down, temporarily stop trading, and adjust your strategy.
2. Don't rush for success. Trading is not a means to get rich overnight. When you encounter losses in trading, keep a calm mind, don't rush to open orders, and don't bet heavily.
3. It is important to be optimistic about the general trend. When you see that it is a one-sided market through the market, you must follow the trend and don't trade against the trend. The counter-trend is the root cause of losses. Both novices and veterans have the habit of trading against the trend. However, once the market trend is formed, counter-trend operations will often be taught a lesson by the market, so we must learn to follow the trend and wait patiently for opportunities before operating.
4. The profit-loss ratio must be done well, otherwise it is difficult to make money. Make the profit as much greater than the loss as possible. At least a 2:1 order must be achieved before considering opening an order.
5. Frequent trading is a taboo in contracts. If you are not a contract expert, you must restrain the impulse to open orders blindly, especially for novice players. They are passionate about the market and always want to seize every opportunity. However, most so-called opportunities will bring losses.
6. Only make money within your cognition, this is very important.
7. Don't carry orders. Contract carrying orders is a taboo, especially for novices who have just started. You must do a good job of stop loss. Carrying orders is the beginning of stepping into the abyss. Remind again not to carry orders.
8. Don't float when you make a profit. You will lose money if you float.
As a senior coin investor, I share my experience and insights for free. Are you interested in the coin circle but don't know where to start? Follow me and watch me cook leaves, and take you to achieve freedom in this bull market.
