The market is always unpredictable.
Market uncertainty can be reduced to some extent,
but you end up waiting for a long time with a ratio equal to waiting for time
In this case, it goes without saying that the timing of cutting losses is important
However, the market is always careless,
so you often become poor at cutting losses
Basically, the places where you should cut losses are extremely rare matters
If you trade while recognizing Dow Theory, such as once a week,
there are fewer places where you should cut losses
but the meaning is the same in that you are forced to cut losses
No matter how wonderful the logic is
you must take the number of times you must cut losses at the stage when you have to cut losses
Don't drag it to a point where you shouldn't
When the market sentiment is turning bad, you retreat
There are many other things that could be listed, but the factors that lead to losses are
the withdrawal at the time of cutting losses
If you lose, it's over
Maintain a long-term perspective
The logic of stop losses
Contrarian trading: profits may fly in a trend; until then, a streak of wins
Trend following: unless profits are infinitely large, you won't make money; until then, a streak of losses
Contrarian trading moves against the trend when the trend continues, and you can't cut losses because the contrarian view doesn't appear
Trend following: there are too few zones where profits occur
In the end, it becomes better not to enter any losses
Stop losses are just the shape of the market; you just apply them there
From this, you can understand
Be cautious about the number of entries
Carefulness and being appropriate to the market
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