Three survival rules for contracts (violation = giving away money).
1. Stop loss: The last insurance before liquidation.
Hard standards:
Single trade stop loss ≤ 2% of capital
If the price breaks a key level (previous low/EMA30), cut immediately.
Bloody data:
Holding positions behavior Probability of liquidation Survival rate (over 1 year)
Floating loss 10% Increase position 89% 6%
Stubbornly holding after a breakdown 97% 0.3%
Remember: The dog farm loves the 'position holder hero'; 70% of liquidation pools come from holding positions.
2. Mindset: Lock your inner demons with rules.
Rescue plan for top syndrome:
graph LR
Loss → Trigger daily stop rule → Shut down and go out → Review trading log.
Anti-brain damage operation package:
Daily stop loss ≥ 3 times → Mandatory rest for 48 hours.
Profit exceeds 30% → Withdraw 50% profit.
3. Profit-loss ratio: 1:3 is the beggar line.
Strategy Win rate requirement Mathematical expectation.
1:1 profit-loss ratio Needs >60% Approaching zero-sum.
1:3 profit-loss ratio Only needs >35% Stable positive return.
Practical case (your operation analysis):
70% confidence + 1:7 profit-loss ratio → Tolerance rate = 700%
Mathematical proof:
Loss from 7 consecutive mistakes: 7×1 unit = 7
For 1 profit: 1×7 units = 7
Net profit ≥ 0 (actual win rate > 14% is profitable).
Profit-loss ratio sniping tactic template.
Scenario 1: High certainty market.
Technical grasp > 80% + Profit-loss ratio ≥ 1:3 →Heavy position 5% of capital.
Case study.: Breaking through weekly triangle convergence, stop loss at previous low, target at previous high ×3.
Scenario 2: Low certainty, high odds.
Technical grasp ≈ 50% + Profit-loss ratio ≥ 1:5 →Light position 2% of capital.
Case study.: Plummeting to historical support zone, stop loss 5% below, target resistance zone ×5.
Counterexample dissection: 90% of retail investors' ways to die.
Behavior Mathematical result Outcome.
Make 1% and run Need 100% win rate to be profitable Commissions eat you alive.
If you hold a position with a 10% loss, you need an 11.1% increase to break even Catalyst for liquidation.
Opening positions without a profit and loss ratio Even with a 60% win rate, it's still a loss Chronic self-sabotage.
Ultimate formula:
Long-term profit = (Average profit × Win rate) - (Average loss × Loss rate).
When you nail your losses at 2% and let your profits soar to 6%+.
A win rate of just 35% can crush the market.
Remember:
The dog farm fears your stop loss, but fears your profit and loss ratio even more.
Candlestick charts are a casino, mathematics is a weapon.
Are you just toiling away by yourself? With ten times the opportunity, how can we get a turn? Hurry and follow along with Brother You. Grasp the key to the primary market, specifically digging for potential coins. It's better to stay close instead of waiting for the wind; don't let the meat fall into someone else's bowl.