Individuals mainly trade stocks. According to years of experience, I think I know a lot about trading, but there are three main reasons why I can't make a stable profit:
1. Lack of overall situation and accurate judgment and cognition of the whole market situation.
Many people understand that we should stick to stocks in a bull market and currency in a bear market, but many people can't accurately judge what state the market is in: bull market, bear market or volatile market. ...
Sometimes the stock market rises for several days, and many people shout that the bull market is coming, so they sharpen their heads and rush into the stock market. I don't know if the market is just a rebound after oversold. When I plunged into it, the rebound was over and I was stuck halfway up the mountain.
2. The transaction is unplanned and random.
In real life, many people do things without a plan, go wherever they want, and even have no trading plan after entering the stock market.
You should know that the market is ups and downs, and it is constantly fluctuating every day, and people's emotions will inevitably change. When people are emotionally unstable, their decisions are often irrational. Therefore, chasing up and down has become the norm for many people in the stock market.
3. The mentality is not firm.
Greed and fear are two innate natures of human beings, and these two natures have been fully displayed in the transaction. Trading skills are a very anti-human thing, and you need to constantly overcome your fear and greed.
Many people have a strong understanding of the market and have been immersed in the market for many years, but they still can't do it well. It's not that they are incompetent, but that there is something wrong with their mentality.
Knowing and doing is like the distance and height difference between Mariana Trench, North China Plain and Himalayas.
Yes, as long as you are not a fool, everyone can understand. The space shuttle is complicated, isn't it? The expert will tell you the principle for half an hour, and you will understand it immediately. The most important thing in this world is a reasonable person. Look at how our ancestors coined the word "understand". The heart grass is heavy, and the weeds are reborn! Do you think you can be a wise man? !
Yes, it's much better than understanding. At least I have studied hard and practiced. There is still some skill than gourd painting gourd ladle. However, many people who understand have not even reached this step.
Yes, this step is the core of stock trading. In order to deepen our understanding of doing, here is a story. Socrates, a famous philosopher, was once asked by his students in a lecture, how can he become a person like you? Teacher Su replied: It's very simple. I shake my arm 300 times after getting up every day. The next day, the students did as the teacher said. A month later, less than half of them persisted. After a year, there is only one left. This man is another philosopher Plato who influenced the world.
This short story fully shows how big the gap between understanding and doing is. Who doesn't understand the truth of persistence? Swing your arm. Who wouldn't? But only one person can do it!
Well, that's all. To sum up, to answer the question, in stock trading, understanding the truth of trading is only the beginning, so to speak, it has not yet begun, and understanding it is a small step. If you want to achieve stable profits, you must keep doing it.
With so much trading knowledge, why can't you make a "stable" profit?
This reminds me of the allusion of "an armchair strategist". When Zhao Kuo was a child, he was familiar with the art of war. No matter how to fight, even his father's star Zhao She couldn't beat him. Zhao Kuo thought he was invincible in the world. As a result, during World War I, 450,000 troops of Zhao were robbed in Tian Lei and Zhao Kuo died in battle. It is one thing to be familiar with Sun Tzu's Art of War, but whether Sun Tzu's Art of War can be used in actual combat is another matter. What you get on paper is shallow, but what you experience is difficult!
The same is true of stock trading. No matter how much you know about trading, if you can't apply it to actual combat, it will eventually be in Zhao Kuo's hands.
Stock trading seems very simple, just buying and selling, but behind these two actions are complex analysis and judgment. Then make a choice, choose the target of operation, and the timing of buying and selling.
The knowledge and skills you have learned should focus on the goal of "choosing the operation target and choosing the trading opportunity". If your stock knowledge and skills can't reach these two goals, or you can't achieve good results in actual combat, it means that knowledge and actual combat are out of touch. The knowledge and skills you have learned are scattered. Without fighting capacity, you will be vulnerable in actual combat.
Only by twisting the learned knowledge and skills into a rope, combining with the law of stock price operation, and collecting them into a correct stock trading model through actual combat, can we completely solve the problem of learning a lot but not working.
I once talked about a rough trading model, which is the bull-bear line war. The buying signal is the golden fork of the bull-bear line and the golden fork of the MACD indicator 0 axis. The selling signal is that the MACD red column changes from long to short. Many stock friends operate according to this simple trading mode, which is much better than their previous random operation!
On July 9, a stock friend bought Fengyuan Pharmaceutical in the mode of Bull-Bear Line, and even grabbed two stop losses. July 15 opened higher and fell but did not sell, because he saw that the MACD red column was still getting longer. On July 16, the MACD red column was shortened, and he sold it when the stock price rebounded to minus 6 points. He said that the sale of this transaction is a bit scary. Although it is not perfect, it is still profitable. Compared with no trading mode before, it is still organized. There is a basis for buying and selling, unlike the previous idea of trading.
The trading mode of the stock market is actually to combine the learned stock knowledge and skills with actual combat and summarize them into trading tactics. As long as you can make money from the market, the trading model is reliable.
At present, many old investors in the stock market are similar to the subject, knowing a lot of knowledge and skills, but it is difficult to make steady profits from the stock market. The key is that there is no trading model of its own. If you establish a trading model that suits you, this situation will definitely change!
The subject said that he knew so much about trading. Here, I don't want to discuss whether the trading reason is correct. I want you to think about it. What do you mean by understanding?
Knowing doesn't mean knowing. For many reasons, traders think they know, but in fact they just know. What I really understand is what has been integrated into the blood, and what can be made without thinking in the execution of the transaction.
For example, if you think you know how to stop loss, will you set an automatic stop loss order after each opening and then leave it alone?
For example, if you think you know light warehouse trading, will you still question that your position is too low when the market comes?
For example, we say that the market price is uncertain. Many people know, but few people know. People who truly understand the uncertainty of market prices will have their own trading rules, which are often very simple and can be implemented by children without thinking. They don't worry about the quality of their choices and the accuracy of their opinions. They can trade as soon as they want, and they always carry rules. People who know the uncertainty of market price will not ask how to stabilize profits, but will silently repeat their own rules and accept the results of profit or loss.
Do you really know so much about trading?
It's like knowing a lot of truth and still having a hard time.
There is still a long way to go between knowing and doing. Even if it can be done, there are still good and bad points.
Knowing a lot of truths may not make money, but putting these truths into practice combined with personal character, with the continuous accumulation of experience, I believe that success is a matter of time.
The earlier you get involved, the less time and money you will spend. Many people feel that they have no money, and even if they earn, they can't earn much. They don't need to invest. They will do it when they have money.
They may not have thought that the more money, the greater the loss after investment failure.
If you really understand the truth of trading, you will definitely make a steady profit. The unstable profit proves that you don't really know the truth of the transaction, but you think you do.
However, anyone who makes an investment can say something more or less. From macro to industry to individual stocks, there are too many things to say. If you happen to be majoring in economics or finance, you will be more eloquent. But it's true, okay? I personally don't think so.
I have always felt that judging whether a person understands or not depends not on whether he can tell the truth of the transaction, but on whether he can make a sustained and stable profit. You can make a profit, even if you can't say anything, but just give a judgment of whether it is up or down, isn't it ok? What is the investment for? Isn't it just for profit? Is it for the competition? Who talks a lot?
That's why I think those big V's on the Internet are unreliable. Too much truth is often to cover up the truth that they can't make a profit. The reason why I tell so many truths is just to cheat retail investors of their clicks and membership fees.
Trading is not a very simple thing. People who can make stable profits will probably be around 5%, especially futures! But here I dare say that most people have read many books about trading and technical analysis, such as light positions, homeopathy and stop loss, and everyone understands them. Everyone has read many memoirs of stock gods, technical analysis of stock futures trends, Murphy's law and so on, but few of them can make a profit.
The reason is not difficult to understand. Most people can understand the truth. The truth about stock futures and foreign exchange is not simple. In the implementation of this plan, these principles, big and small, are anti-human. These principles are aimed at binding a trader from the beginning, and most of them are for free trading, so there is a conflict here. Once people have the slightest slack on themselves, they can't implement these so-called truths well.
Secondly, whether you understand these truths literally or deeply is very different. With an indifferent attitude, I know this, I know, alas, I know nothing. Still yes, I should do it, and my attitude of having to do it is different. It takes courage to do business. People who have no courage are always eaten in the market, and the latter is the so-called truth, the so-called rules and the so-called bound attitude faced by those who have courage.
Finally, what kind of person are you from the dark side of human nature. Are you Keyboard Man? Is it the kind of person who posts whatever he sees, or is it the person who first objects to what others say and then says the same thing, no matter what others say? It is that kind of person who is not only not good at trading, but also incomplete as a person. This is a so-called brainless spray. The other is to see what others have written and always doubt it. What is the purpose of this person writing these things? The main players are good and bad, some are washed and so on. People who always doubt others and live under conspiracy theories all day. It is impossible for the three kinds of people mentioned above to get money in the market.
Knowing the truth of the transaction, it is completely different to attend the meeting to make money. Knowing the truth of the transaction is a prerequisite for your stable profit, but not a sufficient condition.
Speaking of which, it seems that what I want to tell you is
1, the goal of stable profit is almost unattainable.
To achieve this goal, you need to reach the level of a saint.
Finally, take a step back and broaden your horizons. Why not try, take advantage of the medium and long-term trend, only do two or three transactions every year, and stabilize the income by about 50% every year. This is technically easy to achieve. Whether to do it or not depends on your choice.
The key is to understand the truth, and the operation will not follow the truth!
I don't know how many times I told myself not to go to Man Cang. I don't know how many times I have told myself not to go against the market. I don't know how many times I told myself to stop. Only after experiencing ups and downs can we feel the importance of execution.