Tossing and turning tonight, I started doubting myself a little. I’m still too inexperienced and need to learn more. From now on, I must divide orders into two categories. One is trend-structure and value-based trades, most of which are quality stocks, such as Micron, SanDisk, and $MU . These should be held for the long term, buying more as they fall. Pick a good entry point, then hold for several weeks and wait for substantial profits. Don’t keep going in and out every few days. Previously, when SanDisk was opened at over 1,400 and Micron at over 800, I added to my positions when they fell during normal swings. For me, if there is no good entry point now, I won’t chase in. I’ll wait for another opportunity and first grow my capital a bit more. In addition, $ETH $BTC when there is no clear market trend, don’t hold for the long term, and be sure to set a stop-loss! Use dynamic stop-losses and take profits in batches. For trades opened during the day to profit from volatility, you can set a wider tolerance for wicks. It’s better to miss one or two opportunities than get trapped. If you fail to catch it before going to sleep, immediately check your pending orders and cancel them! Otherwise, waking up to an unrealized loss will feel terrible. You may be able to rely on luck to have unrealized profits a few times, but the market will not always give you such good luck! Always maintain awe of the market! The second category is emotional FOMO and hype trades. These are mostly on altcoins. At all times, you must set a stop-loss! Also, never hold them for the long term! With stocks, you think they will rise after falling, but altcoins won’t! If you lose, close the position and admit defeat. Remember: being able to win isn’t impressive; having the courage and ability to admit defeat is. For things of equal value, the human brain hates losing more than it likes gaining—that is, loss aversion. Don’t let it control your thoughts. Let your brain know who the master of your body is! When it’s time to cut losses, cut them without any hesitation! Every time I think of this, I remember the heavy loss I took on $HOME before. Because I was averse to loss and didn’t want to admit defeat, I stubbornly held the weaker position. I closed the short position but not the long position, and ultimately turned a profit into a loss, losing 1000U. Remember, at such times, never stubbornly hold the weaker position. Always close both positions simultaneously with one click. If they cannot be closed simultaneously, close the losing position first! Then set a tight stop-loss for the profitable position to protect as much profit as possible. Never guess or fantasize about where the market is headed! You must show it respect! For hot-trend coins like $牛来 , you can open a small position with low leverage at a low price. If it goes to zero or crashes, the loss will be small; if it surges, the risk-reward ratio will look especially good. But remember! Never hold for the long term! Never hold for the long term! Never hold for the long term! Take profits while you can, with a tight dynamic stop-loss!
Today marks my 66th day since officially entering the crypto world. My current net loss is 5188. I have experienced 3 liquidations. Each time, after multiplying my capital several times, I started to become overconfident. Always remind yourself that profits are merely the market’s reward to you, not a reflection of your own ability. Don’t become overconfident; have more awe!