Category: Money tips Release Date: 2007-05-22
Loss
We can see from two to seek long-term stable profits.
First, the success rate: a considerable profit and loss for each transaction, but are more profitable times. For example, said that every time gains and losses are 3%, but 10 times seven times the right transaction, error 3 times, then the total profit of 12%.
First, the rate of return: a loss of a single larger and smaller profits, did not care about the success rate. Such as trading 10 times, a loss of seven times, each time 3%, a profit three times, each time 10%, then the total profit by 9%.
Of course, both the success rate, there was the interest rate is the best.
Obviously, no one can be a relatively long period of time, accurate to judge every market volatility. Then, in the transaction at a loss is a very normal thing, we do not need to avoid. A real data is: the United States on Wall Street's top traders, in the decade, the success rate of transactions, with an average of 35% or so.
Trading system is an important component of how to deal with a loss.
We usually think that the so-called trading losses can be divided into two different parts, their different nature.
First, in the normal trading losses, that is, in your market analysis that allows the existence of errors arising from losses.
Generally speaking, every transaction, we can not find the exact location, but allows a certain margin of error, mainly because of the price movement itself, the way the trend is reflected in the region. For instance when we stock 9.10-9.30 to judge between a relatively high value of the transaction, it may be gradually involved in the region, or you step by step from 9.30 to buy, up to 9.10; or you step by step from 9.10 to buy, until 9.30 But anyway, your area of intervention is 9.10 --- 9.30. And assuming that your stop-loss set at 8.90, while if the stock eventually fell, and below your stop-loss, which the middle of 0.2-0.4 yuan, is your normal trading losses. There is no way to avoid such a loss, there is no need to avoid. As long as you can put it controls, will never be the capital of your transactions have a significant impact.
Another case is the market of human or non-human factors, leading to changes in market prices crazy direction against you.
In theory, this risk is difficult to avoid. However, in the daily trade-offs, we can develop good trading habits to avoid. In my personal view, to provide some simple suggestions.
1, not to participate in wild fluctuations in the stock, whether it is rising, or drop in;
1, do not participate in the stock of listed companies in question, as far as possible not to participate in T stocks;
1, more attention to current events, more attention to policy-related notices;
1, strictly abide by the trading discipline;
1, when the accident happened when the firm appeared evasive, do not take unnecessary risks;
1, learn the negative trend in the case of short positions.
From a historical situation, the market will not take a long period of time, unilateral market, therefore we pay
Easy, whether favorable or unfavorable trend in the case, were able to get into playing more relaxed opportunity to try not to rush to action.
If the transaction appears more significant errors, we must first do is not to panic. The best way is to clear all of the positions, away from the market for some time, remember, the exchange is not closed tomorrow.
Any transaction will, in all transactions records, will be included in trading profit and loss trading two parts, this is a fact. That is not necessary for profitable trading complacent, there is no need for loss-making transactions downcast, long-term stability and profitability is the ultimate goal of speculators.
