The Last Long Read: Investing and Trading, Respecting Cycles and Boundaries
In the investment and trading market, there are no permanent winners or losers! All gains and losses are phase-based results. To survive in the long run, you must understand the true market dynamics and recognize your own trading boundaries.
1: Every investor and trader's system has its own adaptability limits.
Every trading logic (scalping / swing, trend-following / counter-trend, fundamental / technical) has its suitable environment: strategies thrive in choppy markets, while single-direction trends can lead to consecutive losses; chasing trends for profit can result in repeated stop-losses during sideways phases. No one’s trading strategy can fully cover all market conditions, whether bull or bear, choppy or volatile. All strategies are only suitable for 'phase-based' market environments.