The returns have been a bit strong in US and Hong Kong stocks these days. Recently I saw a topic about how novice friends can avoid being harvested and thought it was worth sharing my opinion. Since I am good at medium short line trading, there is a bit more to talk about short line trading in the middle.
In fact, when trading, losing money is inevitable, whether you are a novice trader, and it is important to lose correctly or to lose incorrectly. And when this losing trade happens, it must be a high chase of a stick or a scavenger hunt in the mountains, or you're making money. Before entering into a trade, we must first make it clear whether we are trading on the left or on the right. If you trade on the left, then if it falls through its cost price, even the front bottom, the only thing you can do is stop the loss from the market; if you trade on the right, then if the stock does not show the expected rise or even becomes a losing position, then you can only stop losing from the field. Based on these situations, we should make it clear in our trading theory what position is the right buy point. If the buy point is correct, I believe it is a low risk entry point and a “correct loss” even if there is a loss. Conversely, if you buy a point incorrectly, then I believe it is a high-risk entry point, even if you make money, you just “earn by mistake” and you will lose money in the long run because it is a question of profit and loss ratio.
To avoid being cut, the main way is not to think about how much we can earn when doing the operation, but think about how much we will lose. In the field of technical analysis, there is a price pattern called “...