财经少华
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The Highest Realm of Trading
In Sun Tzu's Art of War, the highest realm of warfare is to win without fighting; if one must fight, then one must win first before engaging in battle.
Trading is like warfare; each purchase is like sending troops, a risk taken, and it is impossible to avoid conflict while in the market.
Those who possess the ability to select coins and time the market can buy at low points with a high probability of success and sell at high points, achieving victory before the battle. However, most people lack this ability.
For the majority, diversification can solve the problems of selecting coins and timing the market. First, the targets should be extremely diversified and have low correlation; secondly, each purchase should have as small a position as possible to minimize impact on the total position. Additionally, enough capital should be reserved to keep buying as prices continue to fall and to sell as prices continue to rise, achieving small victories that lead to larger successes—this is a battle fought without fighting.
The highest realm for wild boars is to eat food without being slaughtered, while the highest realm for farmers is to spend a small amount of food to attract a group of wild boars. Wild boars will always be wild boars; recognizing objective reality and understanding one’s position within the game is a step above most people.
The highest realm of trading is to effortlessly pick up what is on the ground. Before trading, one must have insight into the cycle of the target, market prospects, value judgments, and participant psychology; when buying, one should know approximately how many times the returns can multiply, and after casting the net, one simply waits for the harvest.
It is not about how well you manage your success rate and risk-reward ratio, but rather about truly seeing through this market. When you are willing to reduce your position to the minimum, relying solely on the advantages of your trading system, and preparing for the long term, the winner will certainly be you. This is because you are engaging in an industry that is closest to money with the lowest risk, and throughout the long trading process, your experience and profitability will improve over time.
In Sun Tzu's Art of War, the highest realm of warfare is to win without fighting; if one must fight, then one must win first before engaging in battle.
Trading is like warfare; each purchase is like sending troops, a risk taken, and it is impossible to avoid conflict while in the market.
Those who possess the ability to select coins and time the market can buy at low points with a high probability of success and sell at high points, achieving victory before the battle. However, most people lack this ability.
For the majority, diversification can solve the problems of selecting coins and timing the market. First, the targets should be extremely diversified and have low correlation; secondly, each purchase should have as small a position as possible to minimize impact on the total position. Additionally, enough capital should be reserved to keep buying as prices continue to fall and to sell as prices continue to rise, achieving small victories that lead to larger successes—this is a battle fought without fighting.
The highest realm for wild boars is to eat food without being slaughtered, while the highest realm for farmers is to spend a small amount of food to attract a group of wild boars. Wild boars will always be wild boars; recognizing objective reality and understanding one’s position within the game is a step above most people.
The highest realm of trading is to effortlessly pick up what is on the ground. Before trading, one must have insight into the cycle of the target, market prospects, value judgments, and participant psychology; when buying, one should know approximately how many times the returns can multiply, and after casting the net, one simply waits for the harvest.
It is not about how well you manage your success rate and risk-reward ratio, but rather about truly seeing through this market. When you are willing to reduce your position to the minimum, relying solely on the advantages of your trading system, and preparing for the long term, the winner will certainly be you. This is because you are engaging in an industry that is closest to money with the lowest risk, and throughout the long trading process, your experience and profitability will improve over time.
Disclaimer: Includes third-party opinions. No financial advice. May include sponsored content. See T&Cs.
