Why do many people say that contracts cannot be played with?
Today, let's talk about whether they can be played with or not.
If you can do these 5 things, then you can:
In fact, there are many people in the cryptocurrency world who are not suitable for trading contracts. To put it bluntly, when they trade contracts, they are just giving away money.
First, understanding is inadequate. Many people just think about getting rich quickly, going all in right away, or they want to make a little money by frequently entering and exiting. Those with this mindset will eventually lose everything.
Second, technical skills are lacking. Some people think that technical indicators are useless, but the difference between knowing how to use them and not is huge. Those who don't understand the technicalities are just gambling when they trade contracts; whether they go long or short, the odds of winning are only 50/50.
Third, mindset is poor. After opening a position, they stare at the screen, wishing there were 30 hours in a day. If the price drops a little, they want to stop loss, they think about it but dare not act, and can only hold on, eventually leading to liquidation. If the price rises a bit, they can't hold on, always worried about what to do if it reverses, what to do if they incur losses; they just lack patience.
Fourth, execution is poor. They open positions blindly without meeting the conditions of technical indicators, and close positions without reaching their take-profit or stop-loss points. Doing this will definitely lead to losing more and gaining less.
Fifth, strategy is lacking. When trading contracts, one should not always think about getting rich overnight, nor should they engage in frequent trading. One must focus on trend trading, observe the larger trend, divide the funds into multiple portions, use small positions to test the waters, add positions at certain levels, and set take-profit and stop-loss points without constantly staring at the screen.
Investment is a long-term endeavor; don’t fantasize about getting rich quickly. Preserving your principal is the top priority, and opportunities are always reserved for those who are alive and prepared.