Futures can make long-term and stable profits no matter whether the market is in a volatile trend. However, the profits are less when the market fluctuates and more when the trend is trending. The most important thing about futures is profit-loss ratio, fund management, and winning rate. Order of importance.
1: The profit-loss ratio means that your profit must be more than three times the minimum stop-loss space. For example, if you trade 10 times and make profits 3 times, the profit is 900 yuan each time, and the profit is 2,700 yuan for 3 times. Stop loss 7 times, each stop loss is 300 yuan, and the loss is 2100 yuan for 7 times, then there is a profit of 500 yuan minus 2100 yuan from 2700 yuan. I think a 30% winning rate can be achieved by any novice, and they can make long-term and stable profits. Top traders can achieve a profit-loss ratio of 15:1. The higher the profit-loss ratio, the lower the winning rate. Just like the traders in our institution last year had a winning rate of 35% and a profit-loss ratio of 15:1. Trade 100 times and stop loss 65 times. Profited 35 times. Many people may think that this kind of winning rate is too bad. But after you do the math, you will find that this is how you can make a lot of money. Loss 65 times, stop loss 300 yuan each time. The total loss for 65 times was 19,500 yuan. Profit was made 35 times, and the profit was 15 times the stop loss. The profit is 4,500 yuan each time. Profited 157,000 yuan 35 times. 157,000 minus the stop loss of 19,500 equals 138,000 yuan. The results show that after 100 transactions, the net profit is 138,000 yuan per lot using 10,000 yuan. The winning rate is very low, but the profit is the most profitable among our traders.
Two: Fund Management: Every time you enter the market, don’t think about how much I can make this time, but first consider how much I will lose this time before opening a position. It is allowed to exceed 3% of the principal, and a single profit is not allowed to be less than 9% of the principal. After making a profit, a capital-guaranteed stop-loss is set. By constantly setting new highs and moving the stop loss upwards, we can get an order to the end. Not many of our investors have heavy positions in futures here.
Three: Winning rate: Winning rate is technology. The higher the winning rate, the easier it is to make money in the futures market by combining the profit and loss ratio. But winning percentage is not the most important thing. Often, most of us put the winning rate as the first priority and ignore the profit-loss ratio and fund management.
Learn various wave theories, Gann theory, winding theory, and moving averages every day. Study how to make money without losing money. If you can't hold on to making money, you can't hold on to losses. As a result, profits were made more than 10 times, only to be eaten up by one loss. What's more, their own principal was lost, and even the position was liquidated.
If you are still trading in the stage of forecasting, analyzing and guessing the market, then I suggest you withdraw from the futures market.
How to make sustained profits from futures trading? I think even the strongest futures traders in the world would not dare to say that they can continue to make profits, because it is not easy to make profits, let alone continuous profits. things. We need to be careful and cautious in our operations in the futures market.