The Key to Stable Profit: A Good Trading Strategy

1. Key Points for Monitoring: Focus on the Essentials, Don't Be a Dreamer

After opening a position, the focus should be on the stop-loss level and the trend line, rather than fantasizing about bottom fishing or escaping peaks. Real opportunities often come from patiently waiting, not from frequently monitoring the market and making repeated trades.

2. Stop-Loss and Holding Profits: Only Trades with Stop-Loss Have a Future

Stop-loss must be decisive; never hesitate. Holding profits should be calm and steady. Setting a discipline of '5% stop-loss' is more practical than studying 100 technical indicators. How much you lose is up to you, how much you earn is determined by the market.

3. Three Key Understandings: Essential Lessons for Traders

① Position Management Comes First

Rather than getting caught up in entry and exit points, reasonable position allocation is the foundation of a trading system. Diversify risk, starting with position size.

② Focus on Executing the Strategy

Instead of frequently changing strategies, stick to executing one strategy for three months. The compounding effect of trading is not just financial, but also the accumulation of knowledge.

③ Profits Come from a Few Market Movements

80% of profits come from 20% of market movements. During the remaining time, it’s better to learn to lie in wait rather than exhaust yourself in inefficient fluctuations.

The market is a strict teacher, specialized in treating arrogance and impatience

It will not reward those who take shortcuts but will cultivate those who follow rules and execute diligently.

Don't seek 'perfect trades'; beginners are often more likely to survive by mechanically executing. Remember: consecutive small losses are not terrifying; catching a wave of trend can turn the tide. The worst thing is to take chances when stop-loss is needed and to hesitate and panic when holding profits.