Category: Money Tips Date: 2006-12-24
Never stand on the top of the bull market, how to ensure that profit maximization, but also control risk
Statement This article is a little personal viewpoint, only the people who refer to the new base.
China's stock market the past, beef short-bear long, with great difficulty heading for the big bull market, but at a loss, and sale? When to sell?
Sold back, afraid of the bull market is far stronger than expected, to go further, selling late, and afraid of not only of profits wiped out, and even the principal is lost.
This is a problem as well as I have been trying to find the, admittedly, I personally always feel that, with great difficulty heading for the big bull once in a decade, if not here, so profitable overflow, then think about the next and so on round of the bull market, do not know what year.
Recently I read online of a friend comes up, he made a point of view, that is the right clearance method, it is treasured, not possession, but they forgot to copy the original, and had to combine my own ideas, and the We chat, and also welcomes criticism of correction.
Why is addressed to the new Christian Democratic, because I am a new Christian Democratic, while the old shareholders who are more experienced, and we are not, we can only use the most stupid way to ensure profit maximization, but also control risk.
If you say that the stock market is a long mountain climb slowly from the bull market, reach the peak later, then slowly slide down to the bear market, there is not thought to stand where is the safest, but also can maximize profits?
Think about it?
Yes that is the right side of the Peak, because when you sell in a bull market, you never know where is the top, perhaps 4,500 points, even after selling stock index climbed up 10,000 points, who knows? You can sell your place to the satisfaction, but it will not regret it does not hold much longer, if say you want to maximize profits, then greed will not sell at the highest point, you and I are new to the Christian Democratic, unless the flash in the pan, Otherwise, we generally difficult to ensure that after selling the stock market happens to turn bears.
Standing on the top of the right side of the stock market, it means that you choose from the highest point in the stock market after the loss of 10% sold, only to give up 10% of the profits, you can capture several times Ann Xinxin profits.
Specific to the Fund, so to operate. If bought 10,000 yuan funds, then to set itself a 10% stop-loss, that loss to 9000, firmly clearance. Stock market is up, the Fund also rose to 15,000 yuan, which is the stop bit soon to 13500 yuan.
Gain a further 20,000 yuan, then the loss to the Fund, 18,000 yuan on strong clearance. This is not a problem in many fields and then, but for me it was a big eye-opener for me the practice, which means I can no matter what the bubble as long as the patient or the mountainside holding, has held to the highest loss of more than 10% So far, maybe I could have clearance at 15,000 yuan will now, in accordance with the right clearance method, I even clearance will be 18,000 yuan, or even a higher point and only Presence of Mind of the clearance.
According to my personal observation, from April 2006 I bought the base since the seemingly all previous adjustments, the base rarely let me lose 10%, of course, I do not know in the past have been a bull market, in the loss of 10%, but also be able to bomb up to the pace of the bull market, but I believe many people have 10% of the set of stop-loss is justified, perhaps in the mad cow city, once the fund has lost more than 10%, it means that the arrival of a bear market, if say you are greedy enough, daring is also big enough and he can also stop are located at 15%.
Of course, in order to avoid possible Shenfudiaozheng wrong early clearance, you can also manually set a stop bit, for example, to vote on the edge of my current earnings as of yesterday, has reached a maximum of 80%, but I choose to April 25 vote in the last 90% of the total amount of stop-loss position, after two weeks if he had continued to rise, at the appropriate stop-loss position will be raised, the overall average time to choose a place, rather than the highest level as a stop-loss .
This is what I thought, who cares what the adjustment is not adjusted, pipe when he adjusted, I would now like to do is to hold, until I fell to the stop-loss position, firmly clearance, locking round of the bull market of the maximum profit
