The ultimate principle of trading is 'the path is simple', without so much flashy stuff!
1. Trading Mindset
When the signal hasn't appeared, do not complain, do not fantasize, do not be impatient; when the signal appears, do not be greedy, do not be arrogant, do not be conceited. These few words contain the essence of trading.
2. Waiting for Opportunities
True traders are good at waiting, rather than trading at any time. Market opportunities are not always present; opportunities are granted by the market, not created by humans. Most people cannot tolerate the market's silence and, seeking trading excitement, force themselves into the market during a non-trending period, which often ends in failure.
3. Profit and Risk Control
After making a profit, many people relax their vigilance due to greed and arrogance, increase their positions, and violate principles, ultimately leading to profit reversal or even losing all their capital. Trading should be steady and measured; take what the market gives.
4. Trading Strategy
Trading should go with the trend, not against it. Take action when it's time to take action, take profits when it's time to take profits, leave the market when it's time to leave. Wise traders enter the market based on circumstances, without being attached to the outcome, and know how to control their mindset. If trading brings anxiety, it is necessary to reflect on whether it is going with the trend or against it, whether waiting for signals or fantasizing about opportunities, whether trading according to strategy or based on emotions.