jherryPowell

Unless you do the following to achieve excess income

jherryPowell Updated   
OANDA:XAUUSD   Gold Spot / U.S. Dollar
Trading is like business. Traders constantly observe the price point before placing an order, measure and weigh the target price they expect, in order to buy and sell, close positions and stop losses.Continuous breakthroughs in profitability are what every trader strives for.But if trading is like a battlefield, there is a corresponding risk of loss as much as there is a chance of profit.Stop loss is always placed first in trading, and most of the time it is a volatile transaction, which makes many people come with the hope of making a profit, but they are stopped by various unexpected reverse market conditions in reality and leave. Stop loss.As for earnings that exceed expectations, in more cases, they are unattainable. I often hear about the percentage of profit made by a certain god in trading. In a very short period of time, the position has doubled several times.But for ordinary traders, perhaps it is the last word to do a good job of trading every day and every week, and to be able to fix their own income.As for excess income, in many cases, it is an unattainable thing. Even so, for the average trader, is it really impossible to obtain excess income?The answer is definitely yes, but the following points must be done well

1. In the transaction, position yourself
It is obviously unrealistic to make a profit as soon as you open a position, and it is obviously unrealistic to turn over the position every day.Because of the volume of funds, the understanding of the market and the time period of trading are different for each trader, so first of all, he must choose his own trading symbol, and then formulate a trading plan for the corresponding trading symbol.For example, if you have one million funds on hand, you must be based on steady progress in trading. Stocks and ETFs are good choices; for funds of 100,000, you can pay attention to futures varieties. If the amount of funds is not large, you can try low-leverage commodity trading varieties; for funds below 10,000, you can focus on foreign exchange, gold and other varieties.Each trader has a different trading time period. Some have time to trade during the day, while others can fight all night. Some are used to day trading. Some can put it aside and take a look in a week or two or even a month or two.For day trading, it is necessary to choose a good trading time period. For example, A-shares are concentrated in the morning and afternoon, and the change period of foreign-traded products is mainly concentrated in the European and American time periods. Doing the right thing at the right time, people's energy is limited. If it is uninterrupted staring at the market, the consequences may be uncontrollable trading, and it is easy to be swept away by various unexpected changes. Stop loss, such as foreign exchange and gold, choose a good point in the European and American markets to enter the position, and the market trend can often have a relatively stable moving trend. If you do a good job and meet your own profit expectations, you can fall into the bag. Safe.Long-term trading is a bit more complicated. On the surface, it is to place an order without looking at the order, but there are more factors to be considered before and after making an order. It is necessary to judge the fundamental and technical factors, as well as the target trading instrument is at the stage of the market. How long is your position? , Profit and stop loss goals need to be carefully planned.Clarify the expectations of the market and oneself, combine the scale of funds, and then make reasonable plans.

Trading is like business. Traders constantly observe the price point before placing an order, measure and weigh the target price they expect, in order to buy and sell, close positions and stop losses.Continuous breakthroughs in profitability are what every trader strives for.But if trading is like a battlefield, there is a corresponding risk of loss as much as there is a chance of profit.Stop loss is always placed first in trading, and most of the time it is a volatile transaction, which makes many people come with the hope of making a profit, but they are stopped by various unexpected reverse market conditions in reality and leave. Stop loss.As for earnings that exceed expectations, in more cases, they are unattainable. I often hear about the percentage of profit made by a certain god in trading. In a very short period of time, the position has doubled several times.But for ordinary traders, perhaps it is the last word to do a good job of trading every day and every week, and to be able to fix their own income.As for excess income, in many cases, it is an unattainable thing. Even so, for the average trader, is it really impossible to obtain excess income?The answer is definitely yes, but the following points must be done well

2. Grasp of various trends
In fact, most of the market is due to the trend of making real money in the midst of volatility. Either you need to wait for a long time, or in the process of holding a position because the time is too long, you give up first, and then there is a big market, so that short-selling situations abound.In order to avoid holding a position and waiting in a senseless volatile market, the best way is to wait for the trend to come before starting.Everyone has a different understanding of the size of the trend. Some varieties may have two or three large cyclical markets in a year, and some may be able to get out of the V-shaped bilateral trend within a week. Analyze a variety based on the market, fundamentals and news, and judge its operating cycle. If it has been volatile, stay on the sidelines. Even if you start with a certain profit, you must leave the market in time, because no one can be 100% sure that the market must go in the direction of your own judgment. For safety reasons, even if you wait for the market to come out before entering the market, it is not too late. After all, not everyone can trade on the left.All kinds of double-bottom forms and double-bottoms can only judge the pressure and support after they come out, and it is unreliable to venture into the market to chase more and less.In order to appear in a reliable form, it is worth waiting patiently.

3. Drop the bag in time for safety
If you earn it, you still want to earn it. Many traders have this experience. The profit that a list can give you is limited, and it is impossible to become a fat man in one breath.There are more than fierce battles, and the final result is often a big defeat, and all the money earned has to be thrown back.90% of transactions are with profit goals. After reaching the profit goals, don't hesitate to close the positions as soon as possible.There are only two situations where you can hold orders that exceed your own expectations. The first is that your entry point is very good and you have achieved the trend of the market; the second is that the trend of the market has been non-stop, and it has far exceeded your own profit expectations.The probability of such a list appearing is small, but as long as it appears, it can be held for a longer period of time, and the profit result is what we often call excess profit.Even so, once there is a top-to-bottom conversion, the position must be closed as soon as possible.

Trading is a battlefield without smoke. When a general goes out, he must understand his soldiers and the situation on the battlefield, what is his goal of going out, how is the logistics support such as ordnance, food, etc., and whether the operation of the horse is smooth. Only by doing these things can he be sure to win the battle.The same is true for trading. There is no need for the amount of funds. What is more important is the basic judgment of the trend of trading instruments and a clear take profit and stop loss target.With this big premise, make reasonable arrangements according to your own trading style, accustomed trading varieties and capital situation, so as not to be confused by the complex and changeable market conditions, and take the initiative in the complex and changeable market.

As for the excess profit, it is more like the extra reward after the market judges itself correctly and is not greedy for inexhaustible.


Although the concept is boring, it is very useful, especially for beginners who have just entered the market.

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