How should we have compound interest thinking?
Set clear goals
long term planning
Patience and discipline
Reflect and adjust
This may not be easy to explain intuitively, but simply:
1. No matter what you do, you must determine the target price [that is, our profit-taking point], and we must also set an escape point [stop-loss point]
2. No matter what currency you buy, even if its increase has exceeded your expectations, sell it when the point is reached
Let me tell you about the importance of stop loss here
$BTC Suppose Xiao Ming is a gambler. He has 10 million. He buys a certain spot, but he does not set a stop loss. The cost of trial and error is only 1 time.
If he sets a stop loss and sells as long as it falls by 10%, then his trial and error cost exceeds 20 times, which is calculated when he loses money every time.
What if there is profit in it?
The word limit is a bit miserable, so I will share and explain them one by one in the next issue. #荣耀时刻