Today I spent the whole day imitating, all for the sake of breaking through upwards, but in reality, the operation was just a single bullish line, then slowly falling back, with downward spikes during the rebounds. Such wide fluctuations, for me personally, are just greed, always thinking about breakthroughs, but today’s market conditions are indeed not like that.

#BTC Trader Series, Cognitive Enhancement and Learning Methodology Series

The Importance of Deep Market Understanding

In the trading market, we often encounter some seemingly simple concepts and maxims, such as 'greed and fear', 'trading requires patience', 'risk and reward', etc.

However, these superficially simple words often contain deeper and multidimensional meanings in actual trading environments.

Many traders have a superficial understanding of these concepts, leading them to be unable to truly grasp their essence in practice.

The market is indeed not difficult, but it is by no means as simple as many people imagine. A deep understanding of key concepts is often an important factor that distinguishes successful traders from failures.

When we merely understand greed as a desire for money and see patience simply as a mindset of waiting for signals, we miss the true connotation of these concepts in the market.

The market is a mirror; it not only reflects price fluctuations and technical indicators but also reflects the psychological state and cognitive limitations of the traders.

By reinterpreting these core concepts, we can gain a clearer and more comprehensive market perspective, thereby formulating trading strategies that align more closely with the essence of the market.