It is because 95% of traders think that this market is full of huge profits and can "get rich overnight". Their operation is often to place an order when looking at the surplus, and most of these people end up with empty positions, and what's more, they lose their blood and are heavily in debt. In the view of another 5% of traders, the futures market is just the opposite. They know how to survive better in this market, even if it is only once a year.
Why is futures so difficult to do?
I think these three aspects have not been done well:
First, lack of understanding of futures.
1. I don't know futures trading software, and I can't operate basic futures terms and operating instructions.
2. I don't understand the K-line chart and time-sharing chart, and I won't analyze the changes in the market.
3. Choose an informal trading platform or blindly follow the trend and fall into a whole set of non-molecules.
4. Neglect of margin leverage risk and lack of fund management lead to unsatisfactory market trend and large losses.
I have a private entrepreneur trader around me. In 2007, the profit was 2 million, and I tasted the sweetness for the first time. I think bargain-hunting is a good way to trade. In July 2008, Shanghai zinc fell to the lowest price in history. He thought it was a good opportunity and began to buy more and more. In September, it fell to 14000. He thought it had fallen below the production cost, so he invested 20 million yuan to buy Shanghai Zinc. Who would have thought that after the National Day holiday, affected by the global financial turmoil, all commodities plummeted, leaving only 40,000 yuan of 20 million yuan invested and suddenly leaving the futures market.
Traders should make a good overall plan before trading, not in one step, and cooperate with stop-loss measures. The market is changeable. On the eve of the long holiday, don't hold a heavy position for the holiday. Preferably an empty warehouse or a light warehouse.
Second, the market misjudged.
Judging the market is the key to the success or failure of investment decision. Traders can't predict market changes and have a very accurate grasp of the market. Market misjudgment eventually led to bankruptcy.
Traders should have certain professional knowledge, make certain judgments, predict the market direction, and grasp the market risks within a certain error range. After each transaction, whether it is profit or loss, it is summarized to form its own sense of disk and improve the accuracy of judging market trends.
Third, mental defects.
1. Greed: used to heavy positions, never missed any opportunity, trading in the day, unwilling to stop loss.
2. Blindness: Be an unfamiliar variety without your own judgment.
3. Catch the wind and catch the shadows: There are too many rumors, so you change your position without analysis, increase your holdings endlessly, and hold heavy positions in Man Cang.
4. Overconfidence.
What is the ideal starting point?
Usually meet the following three conditions, basically can be said to be an ideal starting point:
1. If the entry operation is correct, the short-term single profit can be converted into a band single.
2. If the market trend is opposite to the expected direction, stop loss will be executed and the loss will be small.
3. If the stop loss is executed, there is also a position for backhand operation.
Insist on four no-open positions:
1. Don't open a position without a breakthrough.
Don't open the position until you see the signal.
Don't open a position if you can't find a stop loss.
4. If the stop loss is too large, don't open the position.
It is simple to look at the signals on the picture, but it is not easy to operate in the actual market trend, because the signals that can be traded are not always there. Waiting for a qualified trading signal requires some patience. Early entry or late entry will affect the rationality of the transaction, and the transaction that lacks rationality is usually wrong. (At the right time, in the right place) That is to say, it is very important to trade in an important place at a critical time.
Behind the futures trading is the game of mentality-keeping a normal heart.
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