Why do I often say that this world is fair—especially for people who trade? Many people don’t buy it. They always think there’s some kind of universal formula in this market, namely the so-called risk-reward ratio. Put more bluntly: lose and take a stop-loss, win and keep holding. And setting aside the question of how long you’re supposed to hold after you win—what about after you take a stop-loss? Does that mean the orders you placed after setting a stop-loss can guarantee profit so you don’t need stop-loss anymore? And if you repeatedly stop out within a very small range, what’s the point of that stop-loss?

The truth about the so-called risk-reward ratio is this: a 3:1 risk-reward ratio you set theoretically requires you to stop out three times before you break even. There’s no such universal strategy where “if you lose, you lose less, and if you win, you win more.” If that existed, wouldn’t everyone in the world be a billionaire?

Some people say getting deeply stuck in a position feels awful. But how would the people who say that understand how hard it is for me to wait for the opportunity to add more? I’ve had many times when I almost couldn’t resist making a move—but I beat that impulse again and again, waiting a bit longer, and then waiting a bit longer.

I’ve long understood that making money has never been easy. Either you pay with money, or you pay with effort. Either you take on risk, or you endure suffering. Either you trade risk for time, or you trade suffering for money—other than that, there’s no shortcut. #美伊战争阴云再起 $BTC ‌$ETH ‌