Because stock trading is too risky for ordinary people.
Stock trading is just like driving a car, it involves a process of exploration.
When it comes to driving, you have an instructor to teach you, a driving school to learn from, and you have to pass a test before you are issued a driver's license before you can drive on the road.
But stock trading is completely a self-study process.
If you study by yourself, you will inevitably make detours, lose money, and pay tuition fees.
Ordinary people have relatively little money, and the stock market is full of risks. The tuition fees to be paid are too much, and ordinary people cannot afford it.
Therefore, the stock market is risky and you need to be cautious when entering the market.
Ordinary people should use their spare money when investing in stocks, money that affects their lives.
But in fact, the money that ordinary people invest in stocks often comes from their own wages and living expenses. Since they don't know how to speculate and their psychological quality is not up to standard, they will inevitably lose money.
Five reasons to stay away from the stock market. I advise everyone not to speculate in stocks because my core point of view is to advise everyone to stay away from the stock market and not to speculate in stocks. I also give the same advice to all my relatives and friends.
If you listen to me and you are in vain and make billions less, I cannot be held responsible.
If you have the following beliefs in your heart, for example, after the epidemic, stock market speculation will cause a rising tide to lift all boats, for example, the government will rescue the market and release water to maintain stability after the epidemic, for example, the Chinese stock market is destined to grow bullish from now on, etc., then I wish you a complete change in your destiny as the denominator.
The market seems to be still advancing at a rapid pace these days. Maybe some people are complacent and want to bet all their belongings to chase the victory and plan to enjoy the isolation while getting rich easily. Then I hope you won't be disturbed by me, because I am afraid of waking up your sweet dream.
2. Since you are still willing to continue reading, I will divide it into two parts to briefly summarize my personal views: The first part, why do I advise everyone to stay away from the stock market and not speculate in stocks, that is, what is the reason not to speculate in stocks easily?
The second part, if someone insists on stock trading, what kind of people, or under what circumstances, do I think can trade in stocks?
Closer to home, I advise everyone not to speculate in the stock market for the following five reasons: Reason 1: It is too difficult to make money in the stock market, or the probability of success in stock trading is too low. If everyone can make money easily, I also advise you not to speculate in the stock market.
, then am I not sick? But if you have known for a long time that it is difficult for everyone to make money in the stock market, but you firmly believe that you will be the lucky one who is the best, haha, I am definitely not the one who is sick.
Even if you have indeed made money from stock trading, or your relatives and friends who know the ins and outs have really made money, I have to tell you that this is just luck and bias, and it cannot change the probability of success in stock trading. It is too low, and it is so naked.
More public facts.
Everything is a probability. If you want to do a business, it is estimated that there is only a 10% chance of winning. Put aside your emotions and talk about business. Is this business worth doing?
Regardless of whether the common saying in the stock market of "one profit, two draws and seven losses" is true, because no matter how many times you have heard it, you will still imply to yourself that the proportion of making money should be far more than 10%. After all, this statement cannot provide you with
Convincing statistical data, so I created a very simple and effective algorithm: divide the total time you have been trading in stocks into ten parts on average, and see how many of them made money in the time period. For example, if you have been trading in stocks for ten years or
Ten months, then calculate the profit and loss every year or every month from the beginning to the end of the period. There is no need to calculate the specific profit and loss amount, just look at how many years or months the current period makes money overall.
For example, if you have only made money in two of the ten years of stock trading, that is 20%. For example, if you have been trading in the stock market for 10 months, and only one month has a positive capital change from the beginning to the end of the month, that is 10%. Let us calculate how much money you make by trading in the stock market.
Success rate, I think this is the only algorithm that cannot fool yourself.
If you are in a scientific spirit and are willing to pursue more accurate results, you can divide it into 20 or more shares. For example, if you have been trading in stocks for a year, then compare the transaction records and historical K-lines to see the results of the past 240 trading days.
How many days are you making money, that is, how many days are profitable that day, and then see how high the ratio is to 240?
If you are very rigorous, you can also increase the number of samples, such as recruiting ten friends who are stock traders, average the ratio data obtained by everyone, and see the final result.
This ratio is divided according to the length of stock trading and calculates how much time period you are making money in the current period. This ratio is almost equivalent to the success rate of making money for you in stock trading.
The longer the time span, the finer the division, and the more samples composed of different people, the more accurate the data obtained will naturally be.
Maybe no one has ever mentioned it like this, but I am willing to use a fake diploma of a master's degree in economics to guarantee that this algorithm can withstand various model tests and theoretical scrutiny.
If you still feel that this algorithm is unreasonable or unscientific, for example, you may say that making money in one month can make up for all the losses in 11 months, then you have to consider that the opposite situation also exists; another example is
Say, you think stock trading is a continuous process that cannot be cut and calculated like this. I'm afraid it will be difficult for me to explain to you. I can only say that you are deceiving yourself, just like an ostrich burying its head in the sand. It is better to just deceive yourself.
It is said that what is lost in the stock market is small money, but what is made is big money.