The four stages of trading - the road to stable profits
The fourth stage
I realized that the true meaning of trading is to choose the right time. Only doing easy market conditions and the most certain opportunities can easily achieve stable profits, but if you want to expand profitability on the basis of stable profits, try more models, and seize more opportunities, it is still difficult to do so. 50% a year is a stable profit, and 5-10 times a year is also a stable profit. Therefore, the most difficult thing at this stage is to be able to control greed, wait patiently for opportunities, and deeply understand the cost and risk of making more profits, whether it is the income that you should have according to your level, which is anti-human.
Everyone wants to have as much income as possible, especially when you really catch a big trend and achieve 3-5 times the income in a month, you will feel that this is the current ability, and the income capacity of each month will only increase, and it will be easy to make a thousand or ten thousand times a year. With such an idea, you will subconsciously not want to miss every opportunity and be eager to improve your profitability. However, you only have the ability to catch the trend at a small cost. As for how far the trend can go and how often it will appear, it depends on luck. As for the return, it is not important whether it is ten times or a hundred times a year, and the amount of principal is even less important, because the reason for achieving stable profits is the great power of compound interest, and financial freedom is nothing more than a few years later. What is important is stability, not wanting to miss every opportunity for more profits, while frequently modifying the system strategy. One more point of profit outside the system will be lost tenfold or a hundredfold. If you make more money without strictly abiding by the discipline once, you will have a fluke mentality next time, until you lose discipline and return to the first three stages. To reach this stage, you have experienced margin calls in the previous stages, and your principal is very small or you can only borrow money to trade. However, this is the darkness before dawn. After you have survived it, you will soar into the sky like a phoenix reborn from the ashes, and transform into a ruthless ATM machine, repeating boringly, choosing the opportunity, stop loss, choosing the opportunity, stop loss, choosing the opportunity, stop loss, and lying drunkenly on the lap of a beauty (when there is no market, you can fully enjoy your life. What is the purpose of trading? Because trading without life is putting the cart before the horse), and you wake up to control the world (when there is a market, you can watch your funds continue to conquer cities and territories, and withdraw your troops in time when risks arise).