Holding a single position feels great temporarily, but ends in a liquidation graveyard
"I'll hold on for a bit and come back" - the last words of a trader before liquidation
Holding a position means not executing a stop-loss and persisting in losses. "Holding on once means ten trades wasted."
Even if one ends up lucky and profits, this is still regarded by professional traders as a complete failure.
There’s a saying in trading: money earned outside the system is cursed. The act of holding a position is like dancing on the edge of a cliff. It may seem glamorous for a moment, but it plants the seeds of fatal risks.
Research shows that 87% of liquidation cases are directly caused by holding positions, and among them, 63% of traders had previously experienced successful position holding. This precisely confirms that success in holding positions is the beginning of a greater failure.
The market has no obligation to turn back according to your expectations. Once a trend is established, it is extremely difficult to reverse in the short term; the more you resist, the more you lose, potentially leading to liquidation before any rebound.
If the market continues to move against you, your losses will be magnified by leverage, potentially leading to a total account wipeout. Holding a position is nearly a proactive way to court disaster. Stop-loss is about respecting the market, admitting mistakes is about protecting capital, and flexibility is the key to trading.
The contract market does not tolerate reckless all-in bets. No matter how resilient holding a position may seem in the short term, in the long run, it is a one-way street to destruction. You might be lucky enough to survive countless small crises, but a single unbearable volatility can end your trading career. Successful contract traders are well aware of strict risk management, especially timely stop-loss and respect for market trends, which are far more important than the courage to hold.
The five grave sins of holding a position.
First, risk control failure. Holding a position means not executing a stop-loss plan, which widens the risk window; just one failure can lead to liquidation.
Second, capital occupation. Funds are locked up, affecting liquidity, missing other opportunities, and reducing usability.
Third, psychological pressure. Holding a position creates immense psychological pressure, impacting decision-making and leading to emotional trading.
Fourth, violating discipline. It undermines trading discipline, making it impossible to develop good trading habits, affecting long-term stability.
Fifth, lucky mentality. A successful position holding may foster a sense of luck, leading to similar situations in the future.
"I'll hold on for a bit and come back" - the last words of a trader before liquidation
Holding a position means not executing a stop-loss and persisting in losses. "Holding on once means ten trades wasted."
Even if one ends up lucky and profits, this is still regarded by professional traders as a complete failure.
There’s a saying in trading: money earned outside the system is cursed. The act of holding a position is like dancing on the edge of a cliff. It may seem glamorous for a moment, but it plants the seeds of fatal risks.
Research shows that 87% of liquidation cases are directly caused by holding positions, and among them, 63% of traders had previously experienced successful position holding. This precisely confirms that success in holding positions is the beginning of a greater failure.
The market has no obligation to turn back according to your expectations. Once a trend is established, it is extremely difficult to reverse in the short term; the more you resist, the more you lose, potentially leading to liquidation before any rebound.
If the market continues to move against you, your losses will be magnified by leverage, potentially leading to a total account wipeout. Holding a position is nearly a proactive way to court disaster. Stop-loss is about respecting the market, admitting mistakes is about protecting capital, and flexibility is the key to trading.
The contract market does not tolerate reckless all-in bets. No matter how resilient holding a position may seem in the short term, in the long run, it is a one-way street to destruction. You might be lucky enough to survive countless small crises, but a single unbearable volatility can end your trading career. Successful contract traders are well aware of strict risk management, especially timely stop-loss and respect for market trends, which are far more important than the courage to hold.
The five grave sins of holding a position.
First, risk control failure. Holding a position means not executing a stop-loss plan, which widens the risk window; just one failure can lead to liquidation.
Second, capital occupation. Funds are locked up, affecting liquidity, missing other opportunities, and reducing usability.
Third, psychological pressure. Holding a position creates immense psychological pressure, impacting decision-making and leading to emotional trading.
Fourth, violating discipline. It undermines trading discipline, making it impossible to develop good trading habits, affecting long-term stability.
Fifth, lucky mentality. A successful position holding may foster a sense of luck, leading to similar situations in the future.
Disclaimer: Includes third-party opinions. No financial advice. May include sponsored content. See T&Cs.
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