Today, a Huiyou told me his current situation: finance in University. From the University, I began to do trading and living expenses. At the beginning, I contacted the spot, and 5 times leverage burst the position several times. Later, I contacted the stock, and I also lost a lot. Finally, I did foreign exchange, and I also lost money all the time. This afternoon, I burst the position, and I felt that my life was dark. Besides trading, I didn’t want to go to work. What can I do? But do not want to gnaw old, helpless. Another one? Trading has been losing money for three years on and off.
My personal views are as follows:
First of all, you need to know what kind of environment trading is. Trading is a place where the losses are equal to seven and the profits are equal to two. That is to say, 70% of people lose money, 20% of people do not make money, and 10% of people make money. With the handling charge, it’s a negative sum game. The market environment is so bad;
Then I want to ask you a question. If you want to make money in the market, you need to know whose money you want to make. If you don’t know who you want to make money from, you can’t make money. Even if you do, it’s luck.
To start with, you do foreign exchange. If you do intraday trading, you are actually playing games with all traders and retail investors. You want to make money. You want to make money from traders or retail investors who don’t actually settle money and make a living by trading. If you want to make money, you need them to pay for it. But with your current technology, it’s hard to beat institutional traders and senior retail experts. If you saw the US entering the end of the long-term debt cycle a year ago and started to hold us dollars, no matter what happened, you have at least doubled it now. This is when you’re making money from the rest of the world. Enterprises need trade and international trade needs settlement of foreign exchange. Even if the central bank and multinational companies know that the US dollar will always appreciate and that there will be losses in the long run in exchanging US dollars for other currencies, they have to settle foreign exchange because they have actual needs. When Americans travel to Europe and Asia, even if they know that the appreciation of the US dollar may be relatively large, they still need to exchange foreign exchange because they have actual needs. You’ve been earning more than US dollars for a long time. You’re making money from these people.
You want to understand these joints before you do single, and know whose money you are making, then you can make money.
- Continue. Suppose you do it within the day. Suppose you aim to be 10%, suppose you want to make a living. Then you have to be on the side of the winner, usually the winner is the organization. As institutions, they will control the spread of news. When the bad news is at its worst, you retail investors sell short, they buy more chips, and then vigorously pull them up; When the good news is at its best, you retail investors buy them, sell them short, arbitrage them, and then plunge. The capital they have is measured by hundreds of billions, which is not equal to that of retail investors. You can’t master their tactics and timing, or you have to be very skillful and see the clues when they lay out. Otherwise, the macro analysis should be very solid, no matter what they do, they should stick to their original intention. If you can’t do the above two points, how can Hukou seize food and abuse other retail investors?
Finally, even if you do all of the above, I still suggest that you don’t make a living by trading. There’s too much pressure in this business. I’ve been doing it for six years. I have been in the position for many times. I realized stable profit only two years ago, but I still dare not live on it.