Position management is the core of trading, yet many mistakenly believe that inadequate technical analysis is the issue.
Many turn contracts into gambling: holding 50,000 in capital, always wanting to get rich overnight and earn 500,000, but often getting wiped out by the market in less than three days.
Traders who can survive consistently almost all master a set of 'anti-human' position strategies.
For example, a certain trading expert once shared his principle: never open a position that exceeds 10% of total capital, strictly set a 2% stop-loss, and only add to positions with profits when the trend is clear.
Last year, when the market plummeted, most people suffered from liquidation, but I rolled profits and earned three times—this is not luck, but adherence to the mathematical principle of 'small losses, big gains'.
Many often fall into these fatal misconceptions:
- Treating high leverage as a quick wealth tool;
- Continuously averaging down when losing money, flattening costs;
- Running away after making a little profit, unable to hold onto the profit trend.
As a result, they either get pierced by sudden fluctuations or exhaust their funds through repeated oscillations.
The market sometimes seems to deliberately work against you: you heavily enter the market, and it consolidates; you set a stop-loss, and it immediately reverses; when you truly need money, the big market trend finally starts.
Top traders often act like a ruthless machine: they hesitate not when it’s time to stop-loss and don’t waver easily when it’s time to hold. They are not necessarily more accurate in judgment, but they lose less when losing and earn longer when winning.
