The trading system refers to a set of trading rules formulated for traders, including fund management, entry basis, risk control, etc., which is built to help traders achieve sustainable profits.
At the heart of a good trading system is that its expected value must be positive in order to be profitable, assuming that your trading success rate is only 30%.
If you set a take profit of 300 pips and a stop loss of 100 pips for each trade, then the average expected value of each trade is 20 pips, and if you continue to trade for a long time, the results will definitely exceed your expectations.
Lack of mature trading methods and strategies: Many traders lack mature trading methods or strategies that are suitable for them, which makes them lack clear goals and plans in trading, resulting in the inability to effectively control risks and increase profits.
Improper mindset control: Trading needs to maintain a calm and objective mindset, not affected by short-term market fluctuations, and cannot blindly follow the trend.
If a trader lacks good psychological control, it is difficult to maintain a stable profit in trading, and unreasonable money management is another important reason why a trader cannot make a stable profit.
If a trader doesn't have a clear money management plan, it's difficult to control risk and keep a cool head when the market is volatile.
The volatility of the trading market is affected by a variety of factors, including global economic conditions, political events, monetary policy, etc.
If a trader does not know enough about the market, it will be difficult to grasp the true movement of the market, which can lead to losses.
My friend's ** method is amazing. He used MACD to get his ** from 60,000 to 800,000 in just one year!Once you understand the MACD in **, it's like life has wings and soars in **!
If you don't know how to fly**, you should read this article carefully and remember to like it.
The essence of my friend's MACD method is 8 words: big in front and small in the back, and enter when you diverge!Now that he has his own set of methods, he constantly verifies and modifies, and finally forms his own ideas, which have soared all the way in **.
The MACD parameters do not need to be set, the default ones are sufficient, and the green, red, dead, top, golden cross, and bottom divergence are the components of the MACD indicator.
Just open the MACD and zoom in on the market, and what you should pay attention to is the following, two points away.
1. When is the right time to enter the market?The front is big and the back is small, and if you deviate, you will enter.
The back is first large and then small, then the back is strapped, and the back strap is on the back.
2. When is the right time to appear?If the front is large and the back is small, there will be deviations.
The top is big in front and small in the back, and you can carry it on your back and carry it twice, and then walk away.
It's better to read 10,000 books than to travel 10,000 miles, it's better to look at a picture, MACD's specific form is placed at the end of the article**, or that sentence,**Find a suitable way to find yourself, and constantly verify and correct.
I believe that stockholders can also soar in **, remember to like and follow me after reading, every day dry goods continue, I wish you all **Changhong!
In general, after a period of successful trading, investors tend to become overly optimistic and confident – believing that they have understood the laws of the market, discovered the true meaning of profits, and can beat the market.
As a result, the following happens: the mistakes that can be made in trading behavior: first, overly optimistic and confident can easily magnify the risks.
When the transaction is smooth, it is easy to expand at will**, but this also increases the level of risk, and once the market bucks the trend, the original profit will be quickly swallowed up.
Secondly, being overly optimistic and confident can easily relax the entry conditions, resulting in frequent transactions.
Frequent entry and exit can lead to over-trading and increased costs, and investors need to learn to weigh and only seize low-risk, high-profit trading opportunities.
Excessive optimism and self-confidence can easily shake trading discipline, trading discipline is an important safety belt to protect traders, and excessive blind optimism can make people ignore the importance of trading discipline.
It's like people think they have good driving skills and are often reluctant to wear seat belts, but tragedy always happens with contempt.
Investors should always be cautious and in awe, and should not blindly think that they can easily beat the market, the success of a few trades does not mean anything, and there is no reason to be arrogant or arrogant.