If your capital is below 100,000 and you want to maintain stability in the market without losing or even make a small profit, there is a simple method that can keep you 'earning.' Don't worry about not being able to learn; if I can seize opportunities, so can you.
I'm not a guaranteed profit expert; I'm just an ordinary person who may have picked up a small trick compared to others. As long as you master this method, you can earn an additional 3% to 10% from trades, which adds up nicely.
Below, I have compiled some experiences from the past few years and share them with you 'newcomers'.
Trading requires overcoming
1- Forced Trading
I used to feel the need to trade even before I was making profits and maintaining stability.
Day after day, I keep trading against my plan.
The only way that helps me stop is to strictly follow my trading plan as if it were a checklist.
If the market does this... then I will do this!
This method eliminates confusion in my trading decisions, allowing me to confidently handle charts.
2- Distraction
Trading requires your full attention. Without focus, you might make costly mistakes, such as entering the wrong position size or intending to go long but going short instead (this has happened many times, haha).
To maintain focus, designate a specific time and place for trading to minimize distractions.
Put your phone in another room and set it to silent or 'Do Not Disturb.' This way, you can avoid distractions and focus on
Your trading.
3- Self-Doubt
Doubting your trading decisions may lead to missed opportunities. Trust your advantages and believe your plan will work. Do not expect your trades to fail just because you are on a losing streak. Keep a diary. Record all your trades, regardless of the outcome. Outline your thought process and review it regularly; this will help you build confidence in yourself and your strategy.
4- Hesitation
Overthinking your trades after a series of losses can cause you to miss opportunities. This hesitation can paralyze you and make it difficult to leverage your strengths. To address this, balance your risks by understanding and accepting potential losses before trading. Use strict position sizing and stop-loss orders to manage your risks effectively. If you are a beginner, use a demo account to build confidence before transitioning to a small live account or proprietary trading firm account.
5- Impatience
Impatience often leads to forced trading. Many novice traders rush to make trades without waiting for the market to reach higher timeframe PD arrays. This impatience results in premature entries and exits, leading to avoidable losses.
My advice: Use alerts. They help you avoid over-focusing on charts and prevent low-probability trades. Set them at your HTF levels and only open your charts when they are triggered.
6- Only Focus on Profit and Loss
Over-focusing on profit and loss (PNL) can affect your judgment. As Yoda said: 'Train yourself to let go of everything you fear to lose.' In trading, regardless of the outcome, it is crucial to follow the process. Remember, your sequence of profits and losses is random, so set process-oriented goals and celebrate executing your plans, not just for profits.
7- Negative Self-Talk
Belittling yourself can undermine the confidence you've built. This can lead you into a cycle of poor performance; challenge and replace these thoughts with positive affirmations. Remind yourself: 'In the long run, I will win.'
Achieving these three points in the market makes it hard to lose money in the future!
First point: Don't check market comments after placing an order.
In the market, there are always two voices: one telling you the market will drop; the other telling you it will rise. There will never be a day when the market is unanimously bullish or bearish. If it were, there would only be one type of person in the market—either everyone making money or everyone losing money, which contradicts market laws. So after placing an order, do not think about how others are commenting on market rises or falls, as such conflicting opinions can shake your trading basis and leave you uncertain about whether to hold your position or exit early. Perhaps seeing opinions leaving the market like yours will give you confidence that you'll make big money, but when opinions are inconsistent, it can create immense anxiety, leading to poor judgments and decisions!
True investors, after capturing trade signals, do not pay attention to market fluctuations and strictly follow their trading plans to execute trades!
Second point: Do not place an order and then fail to set a stop-loss, leading to losses and then locking positions.
Everyone knows that investing carries risks; nothing is 100% certain. Therefore, when placing orders, you must set strict stop-losses. Setting a stop-loss requires great courage; many people refuse to admit defeat, believing their direction is correct, as admitting defeat would lead to significant losses. However, the market will never show you sympathy; after making a wrong decision, you should immediately protect your capital. What’s more frustrating is being in a locked position; many people can relate to this—locking in a position, unlocking it, then locking it again, and fearing to exit a short position because the market might drop further or fearing to enter a long position if it keeps rising. If this continues, what will you do? Locking positions is not just a financial loss but also a significant psychological burden and pain.
Third point: Don't easily add to your position after placing an order.
Many people like to keep adding to their positions and charging ahead with their trades. Remember not to add positions after a directional reversal; wait for the next entry opportunity. If you keep adding to your position, your stop-loss will inevitably move, and moving your stop-loss will only increase your losses. Some may say that after hitting the stop-loss, the asset's trend goes in their favor, but this requires patience in waiting for the right entry point. Generally, hitting such a stop-loss feels unfair and frustrating. However, have you ever considered that this kind of stop-loss usually indicates poor entry timing or inappropriate stop-loss placement? Of course, if your trading plan is very thorough, appropriate position scaling can be feasible, but when you realize your trading plan is flawed, you must strictly adhere to your stop-loss and exit.
Successful investors do not rely on luck; only by respecting the market, fearing the market, conforming to the market, and strictly adhering to trading discipline can one survive. When trading, do not be one-sided. We must firmly grasp opportunities to lose less and win more while abandoning the mindset of gain and loss to remain invincible in the market.
If you are blindly guessing trends in the market alone, you are likely to go against the odds!
If you lack technical and news support,
Only look at the decline rankings and popularity charts to make trades! That won't last long.
Follow me, screen 55, and stay on top! One or two trades a day; take profits when you see them!