Have you encountered any interesting things when trading foreign exchange? How do you feel when you speculate in foreign exchange? Has something unforgettable happened to you? Today I have summarized the monologues of a few masters, which will definitely help you.
- Victory without arrogance, defeat without discouragement, ordinary heart is the fundamental foreign exchange investment is a long-term process. In this process, victory and defeat always exist at the same time and are accompanied by each other. There are many opportunities in the foreign exchange market, and you can experience many successes and failures every day. In the time of continuous success and failure, maintaining a calm mind, not being proud after victory, and not being discouraged after failure, is a very important aspect of successful trading psychology.
The experience of foreign exchange masters, the experience of foreign exchange speculation-Yuhui International
Easier said than done. Most investors who start to make money and later lose money are often because they have lost their peace of mind. And investors who achieve long-term stable profitability tend to develop a sense of peace. Especially in the face of failure, equanimity is more important.
Maintaining a normal mind is a huge challenge. Foreign exchange investment is a long-term process, and it is far from enough to maintain a calm mind in a short period of time. The important thing is to last.
- Don’t be afraid of mistakes, just be afraid of procrastination. It is very important to admit mistakes in time. The self-esteem of ordinary people does not allow themselves to admit mistakes. It is the instinctive reaction of most novices to stick to it if it is wrong. For a veteran with a successful trading psychology, admitting mistakes is as natural as breathing. Jesse. Livomer said: “If a person does not make a mistake, he can own the whole world within a month.” The person who owns the whole world has not appeared yet, so there is no person who does not make a mistake. In the foreign exchange market, only those who dare to admit their mistakes in time can have the last laugh.
Someone once made a statistic. In most people who lose money, they actually make more money than they lose money. However, because making money is often small money, losing money is often losing big money, and one loss offsets a lot. A profitable transaction, that is, the final loss is often caused by one or two big losses, which is the main reason why most people lose money.
The main reason for large losses is that they fail to admit their mistakes in time after the quilt, carry them to the end, or even continue to increase and flatten them, and finally lose to the point where they can’t be managed. Therefore, you are not afraid of mistakes, you are afraid of procrastination. Delay in acknowledging your mistakes is the root of your losses, and only by acknowledging your mistakes in time can you get rid of passivity. This is another important aspect of successful trading psychology.
Losing orders do not stay overnight. Some people use this principle to guide themselves to admit their mistakes in time.
- Dare not only to lose, but also to win, to make money when the profit and loss are balanced. Invest in the foreign exchange market. A lot of disadvantages such as insider trading and false information in the stock market and futures market are lessened. The trading environment is more in line with the fair, just and open three fairs. In principle, profit and loss depend more on the level of investors’ operation, and it is really the most suitable place for individual investors to make profits.
But even in the foreign exchange market, the phenomenon of losing money is not less common than the stock or futures market. Analyzing the reason, it is still due to the investors’ unqualified operation level. Statistics show that most loss-making investors dare to lose but not to win. They win small money and lose big money. In the end, the loss is after the balance of the profit and loss. The successful investor loses small money, wins big money, and finally makes a profit after the balance of the profit and loss. This is a psychological problem of trading. Successful investors have to: dare to lose, dare to win. They can neither shy away from operation because of a loss, nor can they make a little money and settle for peace. Only in this way can they have a successful trading psychology. In fact, trading is very simple, but the complexity is human nature. When an investor has a successful trading psychology after long-term practice, making money in foreign exchange trading will become an easy journey.
Since the capital market, mankind has had an invisible and cruel battlefield for interests. Various theories on how to fight on this battlefield have also emerged. The orthodox schools, such as academic schools, fundamental analysis schools, and technical analysis schools, have emerged. The marginal ones include chaos theory, astrological theory, and Zhouyi gossip. And so on, and so on. I respect and have indulged in these theories, but as a real foreign exchange trader, now I pay more attention to the interpretation and perception of the market language itself.
Why are so many people indulging in the stock and foreign exchange market? Is it all tempted by money? Do not! The subconscious intoxication of human “gambling” instinct is also an important reason why many people stay in the market. The “gambling” characteristics such as the pursuit of excitement, fear of boredom, blind self-confidence, and repeated defeats are due to human nature, and the “day clutter” that fluctuates almost every day does provide many opportunities for “action” and “profit”. Therefore, subject to instinctive gambling, many traders just focus their energy and enthusiasm on the fluke mentality of hoping to make quick profits, and they are really calm in observing the market, and how to establish an investment style that can ensure their stable profits. On the contrary, there is not much attention to investment strategy and investment psychology, and they often trade emotionally frequently and it is difficult to patiently wait for the entry and exit opportunities of “well-founded”. No wonder the trading master Williams said: “My interest in the art of trading far exceeds my interest in the last one or two transactions.”
Jesse, the big Wall Street speculator? Liwumo once said a thought-provoking sentence: “The difference between gambling and speculation is that the former is betting on market fluctuations, while the latter is waiting for the inevitable rise and fall of the market. Gambling in the market will sooner or later go bankrupt.” Many years ago, I have posted this sentence on my computer for trading!
In the market, the most common questions we encounter are questions such as “Where can we go up” or “Where can we go down”. These questions may be inadvertent talks, or serious research topics, but It often strengthens some of our thinking, namely: what will the future of the market be? How to predict or guess the future? In real life, people who are always inquiring about such issues are like the crucian carp in the river. We often hear people proud of their correct guesses about the market. This is a very normal and very understandable thinking. In order to explore and guess the “mystery” of the future trend of the market, I also make some guesses about the future of the market from time to time. I have also studied from the “Book of Changes Bagua and Ziwei Doushu”. To the most chaotic theory, neural network”, from the “horizontal hypothesis and periodic hypothesis” to the most wave theory and Gann theory” and even the orthodox “macroeconomic forecasting” and so on, all kinds of weird knowledge about prediction, of course, this knowledge It is helpful and instructive for guessing the direction of the market. However, as a professional speculator, he has long put the most energy on the inquiry of such problems. The work that professional speculators should do is “identify different markets.” Situation, formulate different trading plans according to different market situations, and implement the trading plans with strict discipline.” Because, instead of discussing the philosophical proposition of whether humans have the ability to accurately predict the future (Dow theory believes that “daytime clutter” is unpredictable), just “risk management, psychological control” and other important factors for successful investment In other words, the latter way of thinking will make us think more about the market and trading. From my own trading practice, if I trade according to the former way of thinking, the investment performance may fluctuate greatly, while the latter The trading guided by this way of thinking can make me make money continuously and steadily.
I often warn myself that a professional foreign exchange expert must be brave and decisive when the market is good, and be cautious when the market is bad. Recklessness and timidity should not be a character.
Predicting the future has been the dream of mankind for thousands of years. Predicting the market is the natural desire of investors. After mastering certain analytical methods and techniques, and having certain market intuition and experience, we can predict market trends to a certain extent. According to my personal market experience, if we want to make money continuously and steadily, we still have to pay more attention to “doing the right things in different environments”, in other words, “identify different market situations and make decisions based on different market situations. Different trading plans, and strict discipline to execute the trading plan” is a much more important job for professional speculators than predicting the market.