Trading wisdom in market fluctuations: #空仓 and the power of waiting
After the violent market fluctuations in the past two days, no matter whether you are long or short, as long as you have a position in hand, you probably didn't sleep well. But I want to talk about another kind of people, that is, those who can stay calm and short when the market is turbulent.
Why do you want to short? In fact, if you know a little about technical analysis, you will find that the current market is a high-level consolidation when you open the daily K chart of BTC.
What will happen after the consolidation? No one knows for sure. Since no one knows, then wait! Wait until the direction is clear before entering the market. By then, long and short will not matter to you, just go with the trend.
Most people who engage in trading think that trading is only buy or sell, thus ignoring the third trading strategy class - waiting. Especially for retail investors, waiting is the trading strategy that should be used the most.
Trading is actually very simple, as long as you learn to wait. But trading is also difficult because no one is willing to wait. 90% of traders fail due to selective blindness: they only see the two buttons of "long" and "short", but automatically block the most important third option.
When the market enters a gray area, holding on to the currency is not cowardice but wisdom, just like a cheetah on the grassland, it would rather endure hunger than attack when the wind is unclear. The real and lasting wealth has never been separated from the word "patience".
Finally, I want to say that those who say "waiting will miss the market" have finally become "the market".
