This passage is so true, it goes straight to Leek’s heart!
When faced with losses
People are more willing to take risks
When faced with profits
People are more willing to avoid risks
This is also the reason why people are more willing to increase their positions when they are losing money and reduce their positions when they are making profits.
Every time you make a lot of money, you often lose a lot of money, because every time you make a lot of money, you feel like you "get it." This experience happened many times. This may be like swimming. Those who drown are those who "think" they can swim.
As long as professional players smell the slightest smell of danger, they will immediately cut off their wrists and leave the green hills without fear of running out of firewood.
When a ship sailing in the sea hits a reef and the ship starts to sink, what you have to do is to be the first to jump on the rescue kayak.
As mentioned in the previous video, we should not rely solely on a certain trend line or resistance pressure level to judge a true breakthrough or a true fall. It is possible to falsely fall below and return to the triangle area of the two trend lines to continue to stimulate people's mentality, and it has come true (as shown in the picture).
If the market goes like this, I will do this: effectively fall below 26500, go short when it rebounds near 265, and stop the loss when the entity closes above 265. Then go long in the reverse direction, and stop the loss below the physical closing line of 265. This method is suitable for very critical resistance and pressure levels. Using a small stop loss is a bet on a big market trend or a small unilateral move. If you make a profit, look for opportunities to add positions. Remember to pay special attention to one thing: you must do this at a slightly larger level of key resistance and pressure, and don’t touch a small level, otherwise you will stop losses so frequently that you will doubt your life.