Only small, consistent profits can lead to long-term success.
Remember: the other side of the Take-Proft is the Stop-Loss, which is also very important in money management.
Risk-reward ratio of at least 1:3
Putting a small amount of money into each trade and determining the maximum amount of loss that you can accept will keep losses within reasonable limits and put you in a favorable capital position for the long term.
Develop a process-oriented mindset. This means taking the focus off of profitable and losing results and focusing only on whether you are making the best decisions and executing your trades best.
The phone only closes positions, not places orders.
Problems to avoid:
Trading with the trend: never buy and sell against the market
Trading objects: only do single-sided market, not consolidation – unfamiliar varieties of single-sided market, better than familiar varieties of consolidation market
Keep profit: If the short-term account is too profitable, either use the time to grind, a short time not to trade; or open another account or take away the profit
Stop loss: stop-loss orders are irrevocable
Increase the size: If the previous single is not profitable, can not increase the size; increase the size should be placed after breaking the consolidation area to carry out
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After suffering a major loss, it is important to cut back on trading, and more importantly, after trading for profit, it is also important to adopt a strategy of cutting back.