Since you want to trade contracts, remember the following key points! Very important!

1. Trading contracts is about making big profits from small investments; experiencing losses is normal. However, after a stop loss occurs, two groups of people emerge: some will frantically open positions after a stop loss, while others will enter a cooling-off period. My advice is that if you encounter frequent stop losses, you should calm down, temporarily stop trading, and adjust your strategy.

2. Don’t rush to succeed; trading is not a means to get rich overnight. When encountering losses during trading, maintain a calm mindset, do not rush to open positions, and definitely do not go all-in.

3. It is important to recognize the overall trend. When you see a one-sided market, you should go with the trend and not trade against it, as going against the trend is the root of losses. Both beginners and experienced traders have the habit of trading against the trend. However, once the market trend is established, operating against it often leads to severe lessons from the market, so we must learn to go with the trend and patiently wait for opportunities to trade.

4. You must manage your risk-reward ratio well, otherwise, it will be hard to make money. Ensure that profits are as large as possible compared to losses, and at least achieve a 2:1 ratio before considering opening a position.

5. Frequent trading is a major taboo in contracts. If you are not an expert in contracts, you must restrain the impulse to open positions blindly, especially for new players who are passionate about the market and always want to seize every opportunity. However, most so-called opportunities will lead to losses.

6. Only earn money within your understanding; this is very important.

7. Do not hold onto positions; holding onto contracts is a big taboo, especially for beginners. You must manage your stop losses well, as holding onto positions is the beginning of a downward spiral. Once again, please do not hold onto positions.

8. Don’t get carried away when making profits; getting carried away will definitely lead to losses.