#止损策略

Have you ever encountered a situation in trading where a profitable position was closed too early due to a misjudgment of the market, or where greed caused you to hold on longer and end up with a loss?

Why does this happen? What can be done?

This is actually an issue with your trading strategy. You may often hear the phrase "let your profits run for a while", but how can you truly achieve this? You need to learn about "trailing stop losses or trailing take profits". To achieve long-term positive returns in the investment market, in addition to learning to stop losses during losses, you must also learn to reasonably utilize trailing stop losses when you have profits.

Suppose your position has already made a certain profit; you can raise your stop-loss to the cost level or slightly higher, and as the price rises, continue to adjust the stop-loss level upwards. This way, you essentially create a "shield" for yourself; no matter how the market fluctuates, your principal will not incur losses, allowing you to hold onto this stock confidently and seize more profit opportunities. This is trailing stop loss.

The benefit of this approach is that it avoids missing out on market swings. In the investment market, if the trading win rate is 50%, it is definitely above the median. Most investors tend to cycle through buying - being stuck - cutting losses or breaking even - buying again, and over time, they become fodder for the market.