1. Be good at learning and have patience in investing.
Be good at learning from professional analysis teachers and learn margin investment. Beginners should learn patiently and step by step. Don't compare with others, because everyone needs different learning time and gains different experiences. In the learning process of investing, your main goal is to develop your personal operating strategies and patterns. When your profit probability increases day by day and your monthly profit gradually increases, it may mean that you are capable of investing on your own.
2. Operate with the trend, do not operate against the trend.
Try to only do long in an uptrend, and try to only short in a downtrend. Even as long as there is no major reversal in the market, remember not to operate against the trend! Don’t do it because of a single move. Feeling sorry for the pullback, just ambush the support level of the pullback. The market will not change due to human will, the market will only extend according to the laws of the market.
3. The word "greed" turns into poverty
. Implement the investment strategy thoroughly and do not look for excuses to overturn the original decision. The fatal mistakes in investment are "indecision" and "greed". Market changes are ruthless and will not change because of anyone's infatuated waiting. When the loss exceeds 50% or more, the final investor will be forced to close the position, or even triple the position, causing the position to be liquidated. The investor not only loses money but also loses courage, and also loses confidence in trading. Therefore, in order to avoid this fatal mistake, you must remember a simple rule: do not let the risk exceed the originally set tolerable range. Once the loss has reached the original set limit, do not hesitate to close the position immediately.
4. Strictly stop losses and reduce risks
. When investing, you should establish a tolerable loss range and make good use of stop-loss investments to avoid huge losses. When the loss amount has reached your tolerance limit, you should close the position immediately and don't lose a lot because of a small amount. Even if the market does turn around after 5 minutes, don't calm down, because you have eliminated the risk of the market continuing to take a turn for the worse and your losses to expand indefinitely. Investors must develop an investment strategy that allows them to control their investments rather than letting their investments control them.
5. Stop-profit and stop-loss are equally important.
Remember the general rules of the market: losing positions should be terminated as soon as possible, and profit-making positions should be held as long as possible. Another important rule is not to allow losses to occur on previously profitable positions. In the face of a sudden reversal in the market, rather than closing positions without profit, do not let previously profitable positions turn into losses. The specific method is to gradually increase (lower) your stop loss (profit) position as the price rises (falls). Don't wishfully think that it will continue to rise indefinitely, and resolutely don't turn a profit-making order into a loss.
Sixth, control position risks.
Investment funds must be sufficient. The smaller the account amount, the greater the investment risk. Do not operate with a full or heavy position. The number of lots to enter the market depends on the amount of funds. It is best to control the position at about one to three levels of the total funds. The more funds there are, the more likely investors will have the opportunity to continue operations and gain more. Profit opportunities. Investors should measure their investment amount based on the account amount and avoid over-investing. The investment scope must be controlled within a certain range. Unless you can be sure that the current trend is beneficial to you and effectively control risks, it is unwise to invest too much at one time. It is easy to cause uncontrolled losses. Always keep your funds safe. In the first place.
Seventh, the mentality of investing.
The biggest enemy of investing is yourself. Greed, impatience, out-of-control emotions, lack of defensiveness, excessive self-esteem, etc. can easily make you ignore market trends and lead to wrong investment decisions. Don't invest simply because you haven't invested in the market for a long time or because you are bored.