If you can t control the mentality , don t do high leverage futures trading

Mondo Finance Updated on 2024-03-04

What is "Liquidation"? When the part of the margin left by the bullish or bearish speculator loses the principal, if the position is not covered, the company has the right to execute the "forced liquidation" after notification. If there is still a loss to make up for the closing of the position, this is called "wearing a position".

It should be noted that high financial leverage is not unique to ** trading, as long as there will be a "liquidation" situation in various advance margin modes of capital allocation.

The ancients believed that we should "deny ourselves"! Think about it, how is this not the case for the development of human society? It is to manage yourself well, and don't look at other people's profits and losses, because in the end, it has nothing to do with our actual reality. After all, the zero-sum game of highly leveraged counterparties is too free to go long and short. The ups and downs of the market are indeed the most objective and fair environment for every trader. In the end, the competition is its own trading self-discipline strength, and there is no need to complain about the innate cruelty of ** itself.

So how do we deal with this blood-sucking gold-eating beast? How do you survive a colony of crocodiles or vultures? People are unpredictable, and those who can stay in certain positions in a certain industry for a long time are cold-hearted, otherwise their positions will also have replacements. Similarly, any financial market, especially a zero-sum game with highly leveraged counterparties, is not only faced with counterparties, but also with the inevitable issue of paying commissions. Gold Eater? Yes, anyway, the average percentage of participants who lose to "can't turn over" at the beginning of each year is more than 40%. What I have seen and heard in the fifteen years of muddy trading, I feel that I do what I can, depending on the endurance and mentality of the parties!

It really takes time to run in the "smooth" position without panic. Trend is the root of following the trend, although it is always an afterthought. If you walk on thin ice, you will find that it is difficult to be a winning general. If you feel too much about yourself and make money, you may be eliminated at any time. This is the same whether you do it technically or fundamentally.

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