Summary of valuable experience in stock trading

Mondo Education Updated on 2024-01-30

I. Introduction.

As an investor with decades of experience, I am well aware of the risks and opportunities that coexist. In this uncertain market, I have experienced countless ups and downs and twists and turns, and I have also accumulated valuable experience and lessons. Today, I would like to share these valuable experiences with you, hoping that it will help you achieve better results in **.

Second, the philosophy of making money and losing money.

In **, fast money often means higher risk. Some of my friends around me, who try to make a quick profit by trading but often end up losing a lot of money. Instead, I take a long-term investment strategy, choosing the best ones with long-term growth potential to invest in through in-depth analysis of the company's fundamentals and industry trends. This strategy, while sound, often requires patience in order to reap the rewards handsomely.

3. Case study of Fujing Technology.

Last year, I bought Fujing Technology for 15 yuan. At that time, I noticed that the company's technical strength and market prospects were very good, so I decided to hold it for a long time. However, during the holding period, I was affected by the market hotspots and tried to make a profit by trading **. As a result, I lost 30% in the Desay SV trade and had to cut the meat out with 120 yuan. This lesson has made me deeply aware of the risks and instability of trading.

Fourth, the limitations of technical indicators.

In **, many investors rely too much on technical indicators to *** the trend. However, after years of observation and testing, I have found that these technical indicators often have significant limitations. For example, gap theory, Gann theory, etc., may be valid in some cases but not in others. Therefore, we should use technical indicators as one of the reference factors instead of relying solely on them to make decisions.

5. Changes in the number of shareholders.

Over the past few years, the number of shareholders has been regarded as an important indicator for judging the collection and shipment of major chips. However, with the advent of the new ** environment, this view has also changed. In the new environment, most of the funds are concentrated in a few sectors and speculation, which makes the reference significance of the shareholder number data reduced. Therefore, we need to adapt the understanding and use of shareholder number data to the new market characteristics.

6. The reference significance of the turnover rate.

The turnover rate is an important indicator of how active you are. In the past few years, the turnover rate has been regarded as one of the important reference factors for judging the main shipment. However, as the market has changed, this view has also changed. Nowadays, many popular stocks in the market often have a turnover rate of more than 8% on the first day. Therefore, we need to adjust the way we understand and judge the turnover rate according to the new market characteristics.

7. Other valuable experience.

In addition to the above points, I have hundreds of valuable experiences, but I will not list them all here, because many of them are based on personal understanding and perception, which is difficult to accurately express in words. But I can share some important principles and ideas for your reference:

Stay calm and rational: It is very important to remain calm and rational in **, not to be affected by short-term fluctuations in the market, not to blindly follow the trend or listen to gossip, and to have your own independent thinking and analysis skills.

Do a good job in risk management: It is very important to do a good job in risk management, to allocate funds reasonably, not to put all the money into a ** ticket, to leave enough room for maneuver for yourself, but also to set a stop loss point, stop loss in time to avoid the expansion of losses.

Pay attention to industry and company fundamentals: When choosing, we should pay attention to industry and company fundamentals to understand the company's financial status, profitability, market share, etc., which helps us better judge the investment value of **.

Long-term investment thinking: In the first place, we must have a long-term investment thinking, do not be affected by short-term market fluctuations, have patience and confidence, wait for the growth and development of the company, and in the long run, the return on investment is still very considerable.

Of course, in addition to the previously mentioned experience, there are some other experiences to share::

Don't be overly superstitious about technical analysis: While technical analysis can be useful in some cases, overthinking technical analysis can lead to overseeing other important information, such as a company's fundamentals and market trends. Therefore, technical analysis should be used as an auxiliary tool rather than relying solely on it to make decisions.

Don't blindly follow the herd: In **, following the herd is a common behavior. However, blindly following the herd may lead investors to sell at the high*** and at the low**. Therefore, investors should have their own independent thinking and analysis skills, and do not blindly follow the trend.

Don't overtrade: Overtrading will not only increase transaction costs, but it will also affect investors' mindset and decision-making. Therefore, investors should control their trading frequency and volume and avoid overtrading.

Don't ignore market risk: In **, market risk is unavoidable. Investors should always pay attention to market dynamics and policy changes in order to adjust their investment strategies in a timely manner.

Don't ignore the company's fundamentals: Although market trends and policy changes have a certain impact, the company's fundamentals are the key factors that determine the long-term trend. Therefore, investors should pay attention to the company's fundamentals, including its financial status, profitability, market share, etc.

Don't ignore industry trends: Industry trends also have a certain impact on ***. Investors should pay attention to the development trend and competitive landscape of the industry in order to adjust their investment strategy in a timely manner.

Don't ignore your risk tolerance: In **, different investors have different risk tolerances. Investors should formulate investment strategies according to their own risk tolerance and avoid blindly pursuing high returns and ignoring risks.

In conclusion, success in ** requires a wide range of experience and knowledge. Investors should remain calm and rational, do a good job of risk management, pay attention to industry and company fundamentals, and adopt a long-term investment mindset. At the same time, we should continue to learn and accumulate experience Xi so as to better respond to market changes and challenges.

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