Trading is not just a contest of skills; it is also a tempering of one's character. The reason top traders can remain undefeated for long is not only that they have mastered the market's laws, but also that they deeply understand the importance of self-cultivation. The following are the core rules of practice for top traders:
1. Mindset resets to zero, immovable like a mountain.
Every order placed by top traders is a test of their character.
Source of Profit and Loss: Whether in profit or loss, emotional fluctuations are kept to a minimum, and market volatility cannot shake their decisions.
Reflective Internalization: Every trade is a step towards growth, optimizing strategies through review rather than indulging in short-term gains and losses.
Empty Cup Mentality: The market changes rapidly; past successes or failures should not influence current judgments, always maintain a mindset of starting from zero.
Practice Goal: Let trading be as natural as breathing, with neither joy nor sorrow, fear nor greed.
2. Every trade has its significance.
Top traders do not act impulsively, but every action they take is with a clear purpose.
Market Awareness: Even small positions are meant to validate market logic, not blindly gamble.
Flexible Response: Be more cautious with small funds; win when possible, decisively cut losses when unable to win, and wait for better opportunities.
Long-term Accumulation: Trading is not a sprint, but a marathon; steady growth is more important than short-term windfalls.
Practice Goal: Let every trade become a stepping stone to a higher realm.
3. Hunter-like patience and precision.
The most powerful weapon of top traders is not technology, but patience.
Wait for the best opportunity: It's better to miss than to make a mistake; vague opportunities are not worth the risk.
Restrain Impulses: Ordinary traders fear missing out, while experts know that 'not doing' is more important than 'doing wrong.'
One Strike Kill: True high-probability opportunities in the market are few; once they appear, one must go all out.
Practice Goal: Let trading be like hunting, still as water, swift as thunder.
4. Go with the trend, the state of no-self.
Top traders do not predict the market, but follow it.
Big Cycle Perspective: Focus on macro trends; there may only be a few truly worthwhile opportunities for major investments each year.
Trend Following: Once the market establishes a clear direction, it follows without hesitation, free of personal biases.
State of No-Self: The market is always right; traders simply need to follow rather than resist.
Practice Goal: Let trading flow like water, moving with the trend, and not forcing against it.
5. The Art of Subtraction: Less is more.
The ultimate wisdom of top traders is to practice subtraction.
Reduce Desire: The greater the desire, the higher the risk; top traders pursue stability rather than windfall profits.
Reduce Trading Frequency: The less you trade, the higher the quality; frequent trading is often the root of losses.
Return to Simplicity: When wealth accumulates to a certain level, trading is no longer a means of making money but an art of dancing with the market.
Practice Goal: Simplify trading, making it as natural as breathing.
6. Introspection and emotional reset.
The ultimate battle that top traders conquer is not the market, but themselves.
No predictions, only responses: The market cannot be predicted, but it can be responded to; top traders always maintain an open mindset.
Emotional Management: Are you anxious during consecutive losses? Are you complacent during profits? Adjust your mindset through introspection.
Calm Mind: When emotional fluctuations approach zero, traders can truly see the market.
Practice Goal: Let the market be a mirror reflecting one's inner self, ultimately achieving a state of 'no thoughts, no attachments, no fears.'
Summary: Trading is a form of practice.
The ultimate state of top traders is to make trading a natural instinctive response, rather than a deliberate decision.
The Market is a Dojo: Every fluctuation is an opportunity for cultivation.
Candlestick is a Mirror of the Heart: The chart reflects not the price but the trader's inner fluctuations.
Ultimate Realm: When a trader is no longer swayed by the market but becomes one with it, that is the true achievement of 'enlightenment.'
On the path of trading, cultivating the heart is paramount, while technique is secondary.