In trading, grasping a few core principles can make operations more comfortable.

First, cut off positions that make you uneasy. If after opening a position you are constantly concerned about market movements and overly sensitive to news, with emotions swayed by profits and losses, it indicates a large risk exposure and inadequate response. At this point, it is essential to cut positions or reduce holdings until you feel calm. A truly good trade is one where you can understand how to make money without constantly watching the market.

Second, if you don't know when to sell, don't buy. The strategies I share, such as systematic investment and trend following, all have clear sell points (which may be price-based or based on specific situations). For example, with convertible bonds, either trigger a strong redemption or sell if the premium exceeds 50%. After buying, just wait for the signal and do not get caught up in the outcome, as you cannot control the market; you can only adhere to the rules.

Third, stay away from high volatility and embrace low volatility. High volatility can lead to both significant gains and significant losses, and many substantial drawdowns stem from this. I prefer to buy during low volatility and respond calmly with a cost advantage when high volatility arrives, enjoying the opportunities that volatility brings.

Fourth, if you are unsure, don’t buy. If the entry point is bad or you lack confidence, don’t force a purchase; the result is often not good. A good entry point is one that you wait for, and it’s wiser not to buy when unsure than to get caught up in indecision. When faced with inquiries from others, I often candidly admit when I am unsure about a certain asset's trend; this is the truth, and there’s no need to force it.

Fifth, when encountering a “certain” opportunity, be bold with your positions. If you understand the logic or trend of an asset and feel a strong urge to buy, even willing to sell off other uncertain assets to concentrate your position, such actions often bring substantial returns. My few significant profits have come from this approach, rather than relying on diversifying into a dozen holdings to make big money.

Sixth, diversify investments. The A-share bear market is long, requiring a diversified layout (such as A-shares, futures, foreign stock markets, etc.). But this is not about buying randomly; it’s about buying wherever there are good opportunities. Go where there are many opportunities; don’t stubbornly cling to assets that cannot be supported, as digging wells is more efficient where there is more water.