Have you ever encountered a situation in trading where a profitable position was closed too early due to a misjudgment of the market, or you ended up with a loss because you couldn't control your greed and held on for too long?

Why does this happen? What can be done?

This is actually a problem with your trading strategy. You may often hear the phrase 'let profits run for a while', but how can you truly allow profits to run? You need to learn to 'move the stop loss or move the take profit'. In order to achieve consistent positive returns in the investment market, in addition to learning to cut losses when in a losing position, you must also learn to reasonably apply moving stop losses when you are in profit.

Assuming your position has already made a certain profit, you can raise the stop loss level to the cost price or even higher. As the price rises, continuously adjust the stop loss level upwards. In this way, you essentially create a 'protective shield' for yourself. No matter how the market fluctuates, your capital will not incur losses, allowing you to hold onto the stock confidently and seize more profit opportunities. This is what moving stop loss means.