Many people, when they first do a contract, their first reaction is: $ACT
"Where is the best place to take profit on this order?"
But those who can truly survive in this market are always thinking another thought:
What is the most I can be wrong about?
In contracts, taking profit is just a bonus, while stopping loss is a lifesaver.
I have seen too many people who got the direction right ten times, but on the last time didn't set a stop loss, directly giving back all the previous gains, or even losing more. It's not that they can't make money; it's that they can't stop.
If you are a beginner just getting into contracts, the first thing is not to study indicators or focus on win rates, but to draw a "lifeline" for yourself first.
The money you invest should not exceed a small portion of your spare cash; it's really not shameful to invest less, what matters is being able to stay at the table.
Before trading each day, you need to have a bottom line in your mind:
What is the maximum I can lose today?
Once you hit this line, close the software and walk away from the screen. It's not cowardice; it's wisdom. Those who can control their actions have already beaten half of the players.
It's the same when placing orders; don't feel like you have to go all in just because an opportunity arises.
Split your position so that each order is within your "affordable range"; even if you're wrong, it’s just a small injury, not a fatal one. This way, when you make decisions, your mindset is stable, not gambling.
When one day you find that you've been making small gains and small losses for a long time, but overall it's trending upwards, and your emotions are hardly affected by fluctuations, it means you are starting to "know how to play".
At this point, based on the market and your own pace, slowly adjust the rules; no one will stop you.
But there's one rule you should never break:
When you lose, don't try to recover; when you lose, don't try to change the rules.
The most ruthless part of contracts is never the market, but people's unwillingness to accept defeat.
Just remember one thing:
Stop loss is not for earning less; it's so you can continue to earn next time.