When the market is uncooperative, surrendering is also a strategy

Many people treat trading as a prediction game, but at its core, it’s actually a probability game. No one can always predict the right direction; the key is what to do when you’re wrong. Clearing positions often happens at two moments: either emotional collapse or logical restructuring.

Mature traders are more inclined toward the latter. When the market deviates from expectations for a long time, holding on is just paying for emotions. Instead of waiting for a miracle, it’s better to admit mistakes and take back control.

The cruelest thing about the market is—it doesn’t care about your cost basis. Prices only reflect current consensus and won’t turn back because someone is trapped. Many deep losses start from “unwilling to cut losses.”

Interestingly, major opportunities often arise after large-scale stop-losses. Because chips are redistributed and emotions are reset, the market then has room to move lightly.

From this perspective, clearing positions can sometimes be the start of a new cycle. The key is whether you reflect afterward or continue emotional trading.

True experts can both go all-in and retreat decisively. The art of trading lies in the balance between entering and exiting. #易理华割肉清仓