Mutual Game of Foreign Exchange Zero-sum Game

Investors enterforeign exchange marketIts purpose is to make profits. Everyone wants to be a master of foreign exchange speculation. This is also everyone's dream. It is safe to say that only a few people in this market are destined to become top experts. How can I become one of them?

First of all, you must be more diligent than ordinary people, and suffer the hardships that ordinary people cannot eat. Foreign exchange speculation is an activity in which many investors compete with each other intellectually. No matter how advanced foreign exchange analysis software is, it is always just a tool. Your mind is always the most important. It is not denied that some people have a talent in foreign exchange speculation, but this is only a very small minority. Most successful people have been honed by unremitting efforts. No matter what you do, as long as you are willing to put in extraordinary efforts and extraordinary diligence, success is only a matter of time for you. Those who are unwilling to work hard and try to pan for gold in the foreign exchange market by playing tricks are doomed to be eliminated by the market.

Second, you have to beat yourself psychologically. Foreign exchange speculation is a zero-sum game of mutual games, and some people must make profits at the expense of others. The market is always right, and we are the ones who are wrong. As investors, you should never be smart. As far as the exchange rate at each point in time is concerned, it is the result of the choice of most people. It is pointless to judge the bottom and top of the market subjectively until the market has turned. As long as the market is still rising, it means that there are more people buying in the market than selling, and we should not easily say the top. As long as the market is still falling, it means that there are more people selling in the market than buying, and we should not easily say the bottom.

In the foreign exchange market, learn to follow the crowd and stand with the majority. To go against the majority is to go against the market, and ultimately to go against your own money. This obviously goes against the original intention of entering the foreign exchange market. I believe that many people have suffered in this regard.

Once again, to overcome the greed and fear in human nature. Confronting greed and fear may take place throughout your foreign exchange career. It is a normal emotional reaction to make money and want to earn more, and to be afraid of losing more if you lose money. But this emotion can seriously interfere with your ability to make independent judgments about the market. Irrational imaginations begin to swell in your head, your mind becomes unclear, and your feelings about the market become numb.

The ancient art of war in our country says that "there is no constant situation in the war, and the water is immutable". The market changes from time to time, and there is a certain uncertainty in the short-term trend. The operating principle is an iron law, which should always be adhered to. Always want to buy the lowest price in the market and sell the highest price in the market. Objectively, this probability is extremely small. Even if you do it occasionally, it is just luck. The real trading master is to buy the second lowest price in the market and sell the second highest price in the market. Leave a little profit to others, this is the great realm of the successful.

In the end, it is necessary to establish a set of analytical concepts and operating trading systems that suit you. Now there are various analytical tools and concepts, 18 kinds of martial arts, and a lot of them. It is impossible to be proficient in all of them, but you must be proficient in a few things and be able to adapt to the constantly changing market.