How to make money from foreign exchange investment
The foreign exchange market is different from the stock market. Stock investment will follow the growth of the company and issue shares in surplus, making every shareholder make money, butforeign exchange marketIt is a standard zero-sum game that you lose money to me. This is like a ring competition. Everyone has to pay the registration fee as a bounty, and the top winners can take all the bounty. If you want to pan for gold from other people's pockets, technical analysis skills are only basic equipment, and you need the correct concept and mentality. The following provides the winner's mind method for those who are interested: Mind Method 1: Accumulate practical experience
Experience is an important key to whether investment or speculation can be profitable. Accumulating experience will inevitably require paying tuition fees. In order to avoid excessive losses during the learning process, it is recommended to place simulated orders.
Method 2: Learn to stop losses before making money
Stop loss is also a basic course. In addition to using technical pointers, moving averages, and front wave highs and lows as the basis for stop loss, capital stop loss is more critical. For example, 100,000 yuan of funds, the actual order cannot exceed 20,000 yuan, and the loss of 30 or 50 points will be cut out first. If the accumulated loss reaches 50%, it is better to think that it is not this material, and it is more appropriate to seek other channels to get rich.
Method 3: Leveling can only be done once
Taking going long as an example, sometimes I am worried that the market has been activated, and I will chase the price to build the first basic position. The price may not be ideal. If there is a backtest later to support the ideal price I originally wanted to enter the market, I can use the concept of stock leveling to increase the cost of multiple single leveling. However, this leveling action is only once at most, and then it falls below to indicate that I am wrong, and it is appropriate to appear first.
Method 4: Avoid betting on large positions without profit
No matter how sure you are about the market, don't bet on the big position with a desperate mentality. It's easy to say, but I have also made this mistake. At the beginning of the year, I thought that the dollar was under heavy selling pressure. Many phenomena were similar to last year's retracement and decline. Misjudgment should have a retracement of more than 100 points. During the consolidation process, I kept shorting up the ante, and the consequence was naturally forced to stop the loss.
Method 5: Use the money you earn to make up the ante
Up the ante technique is the art of foreign exchange operation, and it is also a university, so it cannot be said in this sentence. But there is a big principle, up the ante is mainly to maximize the profit of the band market, but at the beginning of the market rise, no one knows whether this is the band market or just the fluctuation of the range, so it is best to be in a profitable state to up the ante, and the psychological pressure will not be too great. When up the ante, don't add up in one breath, but add it slowly, one bite at a time. You can refer to the 15-minute, 30-minute or 60-minute K-line chart. The closing price of each K-line does not break the previous low (take long as an example), so you can add code, otherwise you can wait and see.
Mentality 6: Think about where the trend is headed
Investors can regard the quarterly average line as a trend in the general direction. For example, the current index is above the quarterly average line, and the market trend has been hitting new highs repeatedly, but it has not been heard to hit new lows, so they try to buy first and then sell as much as possible. It's just that the non-US gains are relatively large now, and it is risky to chase higher after reaching new highs. When pulling back from a sharp decline, it is more suitable to find important support to buy long.
Mental method 7: To make money, you must put your bags in place at the right time
Once you become a profitable foreign exchange winner, it is a new knowledge to keep profits. You can adopt an account quota system, such as setting a maximum investment amount of 100,000 yuan, and withdraw the excess to the bank. Or set a monthly investment of only 50,000 yuan, and the part that earns money will be brought up the ante.
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Disclaimer: The content of this article does not represent the views of the Institute of Foreign Exchange. The content is for reference only and does not constitute investment advice. Investors operate accordingly at their own risk.
