I am Lao Gao, and in the past, whenever I made one or two profitable trades in a row, I would immediately start losing and give back all my profits. This habit has followed me for a long time and is quite deadly😣. The trading curve is like a roller coaster, and I can't hold on to profits at all; I can't control the drawdowns either.

As a long-time 'leek', I have come to understand that without control measures, even if I earn 1000% in one go, I will eventually lose it all slowly.

The first control measure:

Don't be too eager to make money💰 After making one or two consecutive profits, it's easy to get carried away and lose all respect for the market, especially since making money feels too easy.

At this point, I would hurriedly look for signals to trade instead of waiting for the right signals to appear, completely forgetting the principles of trading and my own trading system.

Especially after I learned quite a bit about trading knowledge, I wanted to act on every signal I saw, just to experience the feeling of making money. The result was often a complete loss until I felt the pain and woke up. My later approach was to keep restraining myself even after making a profit. Even when facing a big market that isn't within the trading system, I had to stay steady. Habits become second nature, and it gradually got better.

The second control method:

Keep a good rhythm 🎵 I often operated like this in the past:

1. When the signal comes, quickly enter the market.

2. When the signal weakens and the market starts to reverse, proactively leave.

3. After leaving the market, it continued to move, and I chased in again.

4. Chased in and the market didn't perform well, so I proactively left.

5. After leaving the market, it continued again, and I stubbornly chased in.

6. Finally, the market completely reversed, resulting in a significant loss.

The reason is simple: human nature is entangled between giving up and not giving up, resulting in increasing losses. Later, I found a solution, which is to maintain the rhythm of trading. It's actually easy to understand; once the signal comes in, just don't move randomly, just follow the trading system. If I leave early due to emotions or subjective judgment, no matter how the market develops afterwards, I won’t operate anymore.

I give emotions and the first trading signal a chance. Once in, don't move; if it moves, let it go. Because if I'm truly confident in the market, I wouldn't randomly make moves. After I did this myself, the results were quite good.

#交易策略分享 Hope everyone has smooth trading! #StockTrading#黄金外汇加密货币