Do you know what futures trading is? Do you know anything about futures trading? The following is the knowledge of ten common mistakes in futures trading that I brought to you. Welcome to reading.

1. A comprehensive trading plan was not made before the transaction was executed.

If a detailed action plan is not made before the transaction is implemented, then traders have no clear and specific understanding of when and where to quit the transaction, how much they can lose or how much they can earn. This kind of transaction plays with the heartbeat, can only follow the feeling, and often leads to complete failure. A tutor once gave me the following investment motto: every fool knows how to enter the market, but only a real wise man knows how to exit the market.

2. Improper fund management

If you want to succeed in the futures market, you don't need huge investment, but you can play with a small margin. The normal use ratio of futures trading funds is about 30%, which is reasonable. It can not only control the safety of funds, but also keep enough chips when grasping the trend. The reason for the success of the transaction: it can be attributed to strict and appropriate fund management, rather than the high risk of concentrating all chips? All bases? Deal.

3. Expect too much and act too quickly

If traders expect to get rid of the basic work in the initial stage and fly to the sky by a few very successful transactions, usually the cruel reality will crush their wishes. Just like doctors, lawyers or company bosses, traders without years of training can't be successful traders.

In all research fields, success requires hard work, extraordinary perseverance and talent, and futures trading is no exception. Investing in futures is not easy. The so-called futures trading is a shortcut to get rich overnight, but it is a beautiful lie woven by people with ulterior motives. Before becoming a successful full-time trader in your dream, you should try to become a successful part-time trader.

4. No stop loss measures were taken.

The use of stop-loss measures in futures trading can ensure that investors can clearly control the risk limit of funds in specific transactions and confirm the loss of transactions. Protective stop loss is a good trading tool, but it is not perfect. Price fluctuation is a variable with reasonable stop loss space, which futures traders must face and consider. All investors must understand that not every protective stop loss action is correct and should be planned in the opposite direction accordingly. Remember, there is no perfect method for futures trading, but it can only be optimized!

5. Lack of patience and principle

Failed transactions often have the same characteristics, and the importance of patience and principle to successful transactions has almost become a cliche in futures trading. A typical trend trader will trade according to the trend and observe the market patiently to see if it will last. They often have unexpectedly huge profits. Don't trade for the sake of trading, and don't trade for the sake of change. Wait patiently for the perfect trading opportunity, then act cautiously and seize the opportunity to make a profit? The market is the market, no one can replace it, and no one can force it.

6. Go against the trend or try to be the ultimate.

Human nature likes to buy low and sell high or sell high and buy low. Unfortunately, the futures market has proved that this is not a means of profit at all. Investors trying to find the top and bottom often go against the trend, making buying high and selling low a harmful habit.

7. Stubborn, against the market

Most successful traders don't stay in the loss position for long and spend too much money. They will set a strict protective stop loss, and once they touch that point, they will immediately cut the meat (the loss is usually small).

8. The transaction frequency is too high

It is also wrong to conduct multiple transactions at the same time, especially when there is a large-scale loss. If trading losses accumulate, it's time to clear the position, even if you think that doing other new transactions can make up for the losses caused by previous transactions. Being a successful futures trader requires concentration and sensitivity.

9. Don't blame yourself, blame others.

Don't blame your broker or others when you make a loss-making transaction or keep losing money. You are the one who decides whether your transaction is successful or not. If you feel that you can't strictly control your trading, you might as well find out the reasons for this feeling. You should change immediately and strictly control the fate of your transaction.

10. Incomplete market analysis? Whether it is technical or fundamental.

You can know the short-term market trend through the daily chart, but the same market is long-term? The weekly chart and the monthly chart can provide completely different observation angles. When planning a transaction, we need to carefully get a more comprehensive perspective from the long-term trend chart. Fundamentally speaking, observing long-term trends can also ensure that you have a more comprehensive understanding of what is happening in the market. Failure to understand and track the key basic knowledge and information in the market will lead investors to become frogs in the well.

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