Wanjin Goddess: Profit begins with changing mindset, bringing a qualitative leap to investment

Wanjin Goddess: Profit begins with changing mindset, bringing a qualitative leap to investment


      Opportunities sprout amidst opposition, erupt amidst discussions, and shatter amidst cheers. The market is running, with trends emerging between long and short positions, and direction determined by ups and downs. A trend market is unlikely to end in a short period of time. If it ends quickly, it is not a trend at all. People often suffer from greed and want to seize the highest or lowest point in the market, which leads to missing the opportunity to enter while waiting for the best point. This is a problem that all investors have. Profit is equal to a good idea combined with a good method. No matter how good the idea is, if the operation method is not good, it will be in vain. Pursuing gains and selling losses is a skill that many people are good at, but taking advantage of the situation to increase positions is like walking on thin ice and being afraid. This is a typical operation mode of not being able to hold on to the right and holding on to the wrong. Profit starts with changing one's mindset. Don't do things you don't understand, don't chase after high-risk ones, don't pursue overnight wealth, don't expect to always take profits. The mentality naturally becomes calm, and the right decisions are made when the mentality is good. No one can make good decisions when they are emotionally excited.




      In spot investment operations, stop loss is one of the most common and least popular terms. Stop loss is the most important fundamental skill for long-term survival in spot trading, but due to the instinctive avoidance of losses, most investors have a confused or even incorrect understanding of stop loss, or are in an ignorant state, and their misconceptions about stop loss are also the most common. Today, Wanjin Goddess has carefully compiled three taboos for spot investment stop loss, hoping to bring investors a "qualitative" leap.

Three misconceptions about stop loss in spot investment:

One misconception: not stopping losses.


       As long as the operation is done, there will be right and wrong. Making profits right is natural, but what if you make mistakes?The only option after making a mistake in the spot market is to immediately admit and correct the mistake, and stop loss is the main means of admitting and correcting the mistake. Any transaction should not be seen as a desperate gamble, but rather as a molecule in a probability game. Not performing stop loss operations means being unwilling or lacking the courage to admit mistakes, subconsciously believing that one will not make mistakes, or having a lucky mentality. According to Murphy's Law, 'if something is likely to go bad, then this possibility will become reality', small mistakes will become big mistakes, small losses will become big losses, and ultimately become uncontrollable. Stop loss may be a new mistake, just a possibility, but not stopping loss is definitely a mistake. The lesser of the two harms, although most people are unwilling to bear definite losses, considering limited time and funds, it is obviously wise to exchange small local losses for global initiative.


Misconception 2: Chaotic stop loss.

        Most beginners who are new to speculation, after suffering huge losses due to not stopping losses, usually learn their lesson and regard stop loss as a strict discipline, leading them to another extreme and falling into a new misconception: disorderly stop loss. The consequences of disorderly stop loss are obvious, and no account can withstand long-term and sustained stop loss. Faced with increasingly thin account net worth, spot investors often return to the old path of no stop loss and oscillate between stop loss and no stop loss. Spot investors need to break free from the thinking barriers of stop loss and no stop loss in order to find the answer to the problem. What is the purpose of stop loss?The purpose of stop loss is to control risk, but it must be recognized that stop loss is not the only means of controlling risk. The traps in the maze of speculation are all kinds, and the mistakes we make and the risks we face are also all kinds. Only by fundamentally avoiding mistakes and taking fewer risks can we reduce the number of stop losses and make each stop loss necessary and worthwhile, rather than meaningless and self harming.

Misconception 3: Sometimes stop loss and sometimes no stop loss.

       After realizing the necessity of stop loss and tasting the bitter fruit of disorderly stop loss, investors still have a dead end to go, which is sometimes stop loss and sometimes not stop loss. When the loss is within one's acceptable range, such as loss30When the point is reached, choose stop loss, but once the stop loss expands to100If you click, there will be no stop loss. This is actually deciding whether to stop loss based on the size of the loss, and the correct approach is to decide whether to stop loss based on whether one has made a mistake.


There are no unprofitable investments, only unsuccessful ones! Whether to make money depends on the timing of buying up and buying down. Making money depends on opportunities, investing depends on wisdom, and financial management depends on professionalism. Information source "Goddess Wanjin", contact WeChat:xhdz887 (Long press to copy) Daily financial trend guide, welcome to follow