Contrarian trading, especially the lack of reasonable stop loss and Man Cang operation, is the main reason for the huge losses in futures trading. We must understand that the smaller the transaction loss, the less difficult it is for you to recover the loss, and the difficulty of recovering the loss will accelerate with the increase of the loss; This also shows that no matter how successful your previous operation is, as long as you suffer heavy losses in any subsequent operation, it will be quite difficult for you to make up for the losses without additional funds. This requires us to avoid big losses in actual operation.

2. The importance of fund management has been ignored by many people. The importance of fund management cannot be overemphasized! There are many times when we judge the market trend in the afternoon, but after opening the position, because the position is too heavy, we can't stand the big or small dishwashing shock in the random fluctuation of future prices. Perhaps the fluctuation of dozens of points will destroy the mentality and lead to the early stop loss, and finally there will be a regrettable situation of seeing right but doing wrong, especially in the broader market, which will definitely have an extremely bad impact on the trading mentality in the future.

3, like short-term trading, watch 1 minute, 5-minute trading. Choosing short-term operation is the choice of most people, and there are few long-term operators in this market. The main reason is that long queues need to wait for admission time, but how many people are willing to wait? Just like the current futures market, several varieties in the United States can enter the market to do long-term trading, but short-term trading is difficult, so why work for futures companies? Adhere to long-term homeopathic transactions. If you don't speculate after buying, but leave after making a profit, even if you only do it once, the profit will be enough to resist all losses, and there will be a lot of surplus. However, in doubt, fear and hesitation, we often either do the opposite, or lose the opportunity, and finally seize it once, but then rush out. The result of frequent operation is not as good as the result of letting it develop itself after doing it once, even if it is only done once every ten times.

In short, the successful trading process is a whole, and stop loss, long-term and homeopathy are only a part of this whole, and even the basis for establishing correct trading technology. Again, these conditions are only necessary conditions for the success of the transaction, not sufficient conditions. There is no complete technology but strict stop loss, and good fund management can only ensure that you slowly bleed to death, not bring success. In this way, the reasons for the failure of most retail investors are clear. Lack of correct understanding of the market and itself, failure to strictly implement trading rules, and difficulty in combining knowledge with practice are the fundamental reasons for the failure of most retail investors.