The main reasons for the collapse of gold positions
The position is too heavy, unwilling to admit mistakes, not setting a stop loss, and blindly following orders.
How to reduce the risk of liquidation?
1When investing in gold, whether it is a light or full position, it is necessary to carry a stop loss point to control the risk within a controllable range.
2When the price of gold fluctuates continuously and the market trend is not obvious, do not follow the trend of rising or falling to avoid being caught off guard by the market explosion.
3When investing in the wrong direction of gold prices, one should decisively cut the meat and cut losses to reduce losses, and take the right direction to make a reverse order to smooth out investment losses.
2Investors should promptly understand the specific reasons for the bursting of positions when investing in spot gold. Many beginners or seasoned traders often forget to bring their stop loss and stop loss positions, leading to short positions. This type of situation should be avoided as much as possible. Summarizing the reasons after the liquidation can help in the next investment operation and avoid investment risks.