“the success of investing in a lifetime does not require the highest intelligence, extraordinary business mind or secret information, but rather a sound knowledge system that underpins decision-making and is capable of controlling its emotions so that it does not erode it.”
Professional wealth creation, particularly portfolio investment. Professionalism does not depend on the volume of funds, nor does it depend on whether it is an institution or an individual, much less on value or technology, but rather on the development of a suitable investment system for itself, the existence of a risk control system, the ability to learn better and the sense of rationality. Sustained stability of profitability in portfolio investment requires a self-appropriate investment and risk control system。
Winners choose to use a strategy with positive profit expectations in a market with an opportunity to manage risks that are exposed to the market at an acceptable scale, to implement trading plans with a perfect degree of enforcement, and to go beyond the will of the majority of competitors, to face successive setbacks, to detect and transform negative sentiments, to persevere and to gain a critical competitive advantage in character. There is no grail in this market, only the quality of the winner。
The a-stock market is booming and the subject is shifting, but the logic of investment that really crosses the bear has never changed. The csa data show that 72 per cent of the losses in the bulk were due to irregularities at the bottom of the market, while investors with the following six iron laws won well above the market average in the long run. After 20 years of market testing, these rules, which appear to be simple but hidden, can be read and read less than five years away。
I. Evolving trends only and not against them
Stock prices operate as a flow of water, which is smooth and stable. A real upward trend necessarily meets the core characteristics of “low points up and up”, rather than single-day pulse increases。
Smart investors are never obsessed with low-sniffing, but rather focused policy + financial resonance on the hot track, with strong shares in the selection plate, which are often supported by an even line, sustained inflows of funds, and quick drops when they return. It is wise to give up decisively, even if it is sometimes difficult to move。
Ii. Maintaining the principal is the bottom line. Stopping losses are more important than profit
Research by nobel laureate seller in economics has shown that irrational deprivation is the main cause of the losses of the dispersed households and that the loss of earnings resulting from behavioural deviations can be 5-8 per cent annualized. The primary principle of investment is not to make money, but to live。
Professional investors will have strict mechanisms to stop losses: a single stock loss of more than 10 per cent or a break in critical support levels, leaving the field immediately; and a single stock warehouse of less than 10 per cent of total assets, avoiding desperateness。
Remember that “long-term possession” must not be used as an excuse for lockouts, and that masters can always hide in safe havens before a storm strikes。
Three or five days is the lifeline
The 5-day line, a short-term scenario, is a core indicator of the strength and weakness of trends. Strong equity tends to move up the 5-day average and can also be supported at the 5-day line on the way back; once stock prices have effectively broken the 5-day line and cannot be recovered quickly, it tends to signal short-term adjustment openings, with the adjustment cycles taking more weeks。
This rule, which appears mechanical, effectively circumvents the deep losses caused by the reversal of trends and holds the 5-day line, amounts to holding the short-term security margin。
Iv. Discrepancies and high-level signals
The essence of the deal is the divergence of market sentiment. High-level discharges (after a short-term increase of over 30 per cent) mean an increase in multi-space gaming games, a relaxation of emotions and a sharp increase in the risk of retrenchment; low-level discharges indicate a failure of empty power and the availability of funds, which may signal a reversal of the trend。
Exchange + exchange rate, real opportunities for screening
Liquidity is the basis for investment, and there are not enough stocks to be traded as “dead water”. In physical exercise, the target of a turnover of less than 100 million and a change of hands rate of less than 5 per cent for three days should be filtered directly, and most of these stocks are self-sung by the main force, and the bulk buys them and they are vulnerable to “no buys”. The real opportunity unit is bound to be accompanied by a continuous change of hands, with a particularly high-quality mark between the 5-50 billion-dollar market value areas, with an increase in explosive power and sufficient liquidity。
Vi. Accepting imperfections is the beginning of a return
No one can buy it precisely at the bottom, at the top, and excessive pursuit of perfection can only be missed. It's like driving, not staring at every inch of the road, just looking in the big direction. Allowing themselves to occasionally lose and accept short-term fluctuations would allow them to focus more on long-term trends. Real compound gains come from sustained and stable gains, not from a single perfect deal, and learn to spare small fluctuations in order to catch up。
There's a very rare voice from a doctor of finance and economics in shanghai: stock prices tend to release this signal ahead of time
Many friends may know that “offsides, indents,” are a very good trend, but when stocks are in the process of rising, if stock prices are on a “tip-back” trend, it is often a sign of a short-term fast-cleaning of the main capital, and when the trend is established, it usually takes just a short period of time to get out of a fast-growing major surge, so if, as we normally do, we see “tip-backing” in the course of stock trading, when such a dynamic stock is in place, please don't miss it. It's up to you to make money quickly。
So, what exactly is stock going on in terms of back-to-back
By definition, stock prices have risen over time, stock prices need to be verified by stepping back because of short-term deviations from the average or breaking critical pressure positions, etc., and in the process of retrogression, the daily turnover will not show significant contractions, but rather will be released relative to the previous escalation, and it will be our best entry when the five-day average is back-stamped and again effective。
While it may seem simple to us to say that this step-by-step approach is one that we understand, it is important that we do not lose sight of it, and that we focus on the details of what needs to be taken into account
Equity prices had previously increased over a period of time, which was usually more than 1. 5 times the annual average, and in this process the median and long-term averages of 5 days, 10 days, 20 days, 60 days, etc., had to be ranked at multiple levels。
When stock prices are reversed after a period of increase, and in the course of this reversal, the turnover per day cannot be less than that of the previous period, waiting for stock prices to fall steadily and re-engage on the 5-day average of the short-term average, it is possible for relatively radical friends to opt for entry, and for relatively conservative friends to wait until the 5-day average is up。
At the same time, for black horse stocks of this kind, we can also prove in the final analysis whether or not we are right。
(1) the outer disk is much larger than the inner disk. Active buys in the software are referred to as externals, and active buys are referred to as internals. In its meaning, we can understand why the outer disk is required to be larger than the inner disk. If it is in good shape and shows a large internal disk, it must be the main effort to deliver the goods in secret, be risk-proof and not interfere。
(2) large-scale transactions are frequent. Main capital is unlikely to buy and sell stocks in two hands, so the real potential stock should be a large and dynamic stock. If a single stock has little continuity of dealings over a long period of time, it can be generally assumed that it is volatile。
(3) 2-5 minutes no deal. The principle is the same as the ground, and the unit has no deal because of the master controls, the bulk hands have no leverage, especially in the midst of falling, and the main power is not moving. This is proof that the unit's chips have been concentrated in the hands of the main forces。
(4) a regular upward shock wave is often present in the disk as the main source of financing. There are few such powerful offensives in ordinary stocks。
(5) when there is a critical breakout pattern, a huge increase in the cut-off manifests itself as a rapid stop-off, with minimal turnover. It's hard to see, it's hard to understand, it's hard to understand, it's hard to see, it's hard to understand the dominant language, and if you know the dominant language when you look at the trends in stock prices, you'll find a sign of the dominant force。
The method of observation is to take a closer look at the schedule of transactions in one piece or another, and at the second step to look at the quantitative changes in the first, second and third trade strips, and to see the activity of the main fund against the current hand, total trade, internal and external volume, against the current trend curve。
The stakes selected by the dominant forces are not only capable of piercing important technical support positions, which triggers the loss and loss of technocrats; they are designed to create a downward pattern of stock prices, shake investors’ confidence in equity and sell stocks in their hands after panic。
Finally, accurate analysis of forecasts is only the first step towards successful investment, which is based on rigorous risk management (silo management and loss management) and rigorous self-psychological and emotional control (intimate and constant)。
Whether you're in big trouble or making big money, you have to be calm, and you keep analysing every transaction every day to see if there are any irregularities, to think about why the good deal works, and to look at the bad deal and find out what's at stake. So, if you want to be good, you have to care about every deal。
Most people know the principles of trade, and the real master is determined to apply them when extremes occur in the market。
The high rate of interest earned by the masters is because they are often afraid of markets, fear of market transactions makes them have to choose when to enter, and most people do not wait until the market is clear. They always enter the forest in the dark, and the masters always wait until dawn, and they do not predict the direction of their journeys before they start, and they always allow the market to change to tell them the direction of their journeys, choose and wait for every opportunity to attack, or give up。
Trade strategies need to be flexible in order to respond to market changes, and most traders often make mistakes that are static, and they often complain about how markets are completely different from what i think they are. Why not the same? Life is not always full of unknowns
Don't let the joy of profit slip out of your mind, knowing that the hardest thing to do in the world is to sustain profit. Once you make it, you expect to earn more, so that you forget the risks and you will not doubt the correctness of the established trading principles, which are the causes of self-destruction. Therefore, you must be careful at all times, be very careful at losing money and be more careful at making money。
It is important to learn to be self-restrainted and fund-regulating in the course of a transaction, to try to operate as relaxedly as possible, to be present if you are in bad shape, to be in good hands, to be in good hands and to be in good hands, and to think of how to reduce losses, not how to make more money, and to reduce or stop trading when you are in bad shape. And when the manoeuvres enter into good times, do not enter into trading in a manner that is beyond your control。
When you make a deal, you have to learn to be afraid, because the business is coming quickly, and when the blow always comes to you, everything is destroyed much faster than it was built, and some things take 10 years to build, but they can be destroyed in one day, so whenever you want to be strictly self-restrainted。
The vast majority of people trade with a good bet and like to take positions and kill, so you have to change yourself in that respect. You have to keep every loss under 2%。
You don't have to know the reason for the wave's ups and downs. You can be a surfer if you feel the rhythm of the wave and the timing of the surf。
Some change the trading system when they lose money, while others do not believe in the trading system at all, suspecting that the instructions issued by the trading system often go to the market on their own preferences, while the masters always follow the trading system and do so not for the sake of stimulation, but for the sake of victory。
The real trader is not more and less profitable in a moment, but longer and longer
