Making small profits and big losses in trading, where does it come from?
1. Not cutting losses, small losses drag into deep positions, and one mistake wipes out multiple profits.
2. Not taking partial profits, running at small gains, missing out on big market movements, and profits are always difficult to grasp.
Cutting losses is the bottom line; stopping losses can preserve capital; taking partial profits can lock in some gains without missing out on trends. By doing these two points well, you can reverse the imbalance of profits and losses, allowing profits to outpace losses!
