The long-short game in trading is a process of psychological play. From the point of view of a rational person in the economy, a trader should not lose money, but in reality losses always happen. This is because the pressure of trading makes traders irrational. People often make mistakes inadvertently, especially when faced with repeated profits and losses, and the ups and downs of mindset can lead to wrong decisions. Therefore, whether it is the pursuit of winning rate or the pursuit of probability, we should understand a truth: the key to trading is to grasp human nature, and learn to be a person in order to learn to trade.
It is very important to read several times to understand the essence of trading, so that we can empty positions and escape from the top at the right time in actual combat. Having a short position at the right time means having cash on hand at all times, which is the basis for capturing any profitable opportunity. When ***, there is always a great opportunity. If we keep our positions full, going up and down as often as we take an elevator, then we can neither make a profit nor seize the opportunity. Therefore, it is very important to take a short position at the right time.
At the same time, frequent buying and selling transactions are not a good way to make a profit. In **, the buyer and the seller believe that the subject matter of the transaction is equal to the value of the transaction. The seller thinks it is worth selling at a certain price, and the buyer trades based on the same psychology. Only the seller will make a profit and the buyer will also recognize the reasonableness of the transaction, so that the transaction can be completed. However, only some people sell at a profit, and some people sell at a loss. Coupled with factors such as commissions and taxes, coupled with unfavorable market conditions, the probability of selling profitably will be greatly reduced. Therefore, from the point of view of the ** itself, the possibility of making a profit from frequent trading is very small.
* I often can't control my urge to chase the ups and downs. Chasing up and down is the embodiment of the investor's mentality, and when investors lack independent judgment, they are easily influenced by the external environment and others. Therefore, it is the right path for oneself to conduct independent research, form independent judgments, adhere to them moderately, and correct mistakes in a timely manner.
When the market is high, many people will chase the up;Similarly, when the market is low, many people will go down. This is because chasing up is out of greed and fear, while killing down is out of fear and fear. However, this kind of blind chasing up and down is dangerous and easy to lead to losses. We should avoid being influenced by the rhetoric and emotions of those around us, and instead rely on our own research and judgment to make decisions.
The main acceleration point is the starting point for the main funds to start accelerating, and it is also the starting point for the main promotion. The main ascending stage is usually the stage when the stock price is large in the short term, and it is also the stage when the main funds are quickly distributed. It is very profitable for investors to carry out ** operations in the main ascending segment. However, medium-term and long-term operations can be more difficult, as the main ascending section is short-term and can be subject to large fluctuations.
The actual combat chart is one of the tools used by traders to identify the best buying and selling opportunities. According to the pattern of the actual combat map, we can judge the behavior of the main funds in the market and the distribution of chips. For example, when the trading volume begins to amplify after a large amount, it can indicate that the main capital is absorbing goods, which may be a good opportunity. When the stock price falls, the trading volume decreases, indicating that investors are cutting the meat out, and the main funds may have collected a large number of cheap chips at this time. When the stock price breaks out of the consolidation zone, it is the best time.
In addition, shadow washing is a technique that mainly uses the upper shadow to attract investors out of the market and clean up floating chips. When the stock price is sideways for a few weeks after the previous adjustment, and there is no big ** during the correction, we can observe whether the stock price is around the 60th **, and whether there is an infinite small yin or yang line for one or two days after the wash. These are important signals to judge the timing of buying and selling.
To sum up, short positions are one of the important strategies that a trader must master. It can help us stabilize our emotions, avoid blindly chasing up and down, seize the best operation opportunities, and identify trading opportunities through actual combat graphs. Only by mastering the short position can we make informed decisions and achieve profitability in **. Therefore, it is very important to read several times to understand the essence of trading and master the strategy of short positions.