Patience is the enemy of oscillation

Although it is difficult to do foreign exchange, some people lose money and some people make money! When so many people lose money, think about how much those who make money can make! Each of us will look back on our trading career and find that in the countless ups and downs you have experienced, almost you have done trades that follow the trend. But whether you can make money on every trend, the answer is absolutely no. Because no one can grasp all trends, why can we do the right trend every time. But the key to failing to make money every time is that we have no patience to finish a trend, and often the trend has not ended.

Our position has long been closed, and we can't keep it. We started to find the top and bottom against the trend early. Many times we analyze and judge the direction of the market in the early stage of the market, but when the market is over, we will see that our account is not only not profitable, but also a loss. Regardless of the foreign exchange market, the stock market and the futures market, I often hear some friends say that I can see what the trend is going to be anywhere, but unfortunately I came out early...

It is not difficult to see the market right, because there are two directions of rise and fall, and there is a 50% probability of guessing, but it is not an easy task to convert the analysis of the trend into your own wealth.

In the investment market, technology is of course important, but human psychology is ten thousand times more important than technology, because it is a rather long process from analyzing and forecasting the market to transforming the market trend into our profit through operation. During this process, there will be countless market fluctuations affecting our hearts. From opening a position to position squaring, there will be countless short-term oscillations to induce you to operate. Therefore, few people can resist this pressure or temptation to finally take the position to the profit target and then exit.

So what is this pressure and temptation? This is very simple. Pressure must be fear, the fear of shrinking profits. What is the temptation? It is the opportunity for short-term fluctuations, a vertical 500-point market.

If you look at the daily level and pull the ups and downs in the middle into a straight line, there must be a distance of more than 1,000 points. If you look at the time-sharing chart, you can straighten all the short-term fluctuations to 5,000 points or even more. This temptation is too great, but don't forget, the difficulty is too great.

If you want to earn the internal structure of a market, you must understand the nature of the trend, understand the rhythm of the trend, judge the shape of the short-term, pinch the entry and exit points, and most importantly, you must have the courage to operate against the trend... There are too many, too many, if you want to have the ability to earn more than 1,000 points from 500 points of the market, it is estimated that you must first cultivate into an immortal to do it.

Any market is not achieved overnight, regardless of whether it is a unilateral market or an oscillating market, intermediate repetitions are inevitable. We all hope to avoid such repetitions and even expand profits through these repetitions, but the fact is that in the oscillation of the market, as long as you make a wrong rhythm, there may be continuous operation errors later. Obviously, you understand the market because you do not see its local trend, or because of local judgment errors, you will be cut off from the overall operation of the market.

Therefore, short-term operations can maximize your profits, while also minimizing your profits or even losses. If you understand the direction of the trend and hold your positions patiently, whether it is a unilateral trend or an oscillating trend, your profits cannot be maximized, but they will never be minimized. Reducing operations may reduce profits, but more importantly, reduce mistakes!

Stock guru Jesse Livemer has a quote that I will never forget in his "Memoirs of a Stock Worker". He said: "Our huge profits were made by waiting, not making them"!