Several stages of a novice trader entering the market.

1. At the beginning, encountering a one-sided market, relying on candlestick patterns to trade mindlessly, making a substantial profit, thinking that making money is so easy, believing oneself to be a trading genius.

2. When faced with a significant market correction, believing it to be just a black swan event. After a margin call, continuing to add funds, relying on previous experience to continue making profits, but now it’s just a path to break even. However, by this time, the market is no longer the mindless one-sided trend it used to be; the price increases are very small, and you find that breaking even is a distant goal. You continue to increase leverage, rolling over positions, until a second significant correction leads to another margin call.

3. After the second margin call, you start to study carefully, respect the market, learn about macro and microeconomics, news, and clearing maps. Constantly calculating points, calculating the break-even position, reducing leverage, and increasing capital. After correctly timing a wave, although there are huge profits, you do not close the position because it hasn't reached the break-even point. A day later, the market reverses, and profits significantly retract, then you close the position and open another, leading to a third margin call as the market continues to reverse.

4. Due to three margin calls resulting in heavy losses, seeing a pile of high leverage charts with dozens of times the returns in the market, you think you can do it too, only applicable for small capital and high leverage intraday trading. So you start to repeatedly add small amounts of capital and frequently open high-leverage positions, although there are losses and gains, in the end, it all results in a complete loss. Then you keep adding small amounts of capital, continuing mindlessly with high leverage, until the losses increase.

5. As your losses grow larger, you realize that even dozens of times the returns cannot help you break even. You start borrowing money to trade cryptocurrencies, mindlessly going all-in. Maybe you are right and clear everything, or perhaps you are wrong and fall into an endless hell.