The nature of humanity in trading is like this:
When first caught, everyone thinks they can hold on;
But when the unrealized losses grow larger and the time spent holding on gets longer, the thought shifts to: God bless, as long as I can break even on this trade, I’ll run as fast as I can.
Bottom fishing and top picking in trading are unprofitable trades. Most people, while bottom fishing and top picking, end up stubbornly holding on without cutting losses, and the final outcome is liquidation.
The most important part is that during this holding period, the mental pressure on traders is immense. So, even if the market really turns after holding for a long time, they can’t make money because the moment they break even, they will run.
This is normal human nature, so if you make a mistake, you must cut losses immediately.
Otherwise, if you don’t cut losses immediately, the second moment you won’t be able to bring yourself to cut the position, and the unrealized losses will grow larger. During this process, the trading mentality will undergo drastic changes, and when you reach the psychological and financial limits of holding, the real tops and bottoms will emerge.
So, when you cut your position, you are either at the ceiling or at the floor. Don’t think that the main force is just lacking one more retail trader; in fact, a big wave of retail traders share this psychology. Even if they manage to hold on, they will rush to run as soon as they break even, and it is absolutely impossible to maintain a good mindset to wait for profits.
The market is still brewing. If you still don’t understand how to play, it’s okay, let’s quickly layout together for this round of bull market and become rich together!
$API3 $AITO $LINK
