What are the causes of documentary loss?
For the first time to enter the foreign exchange market, traders often choose the way of documentary to carry out initial trading. Because the documentary can be based on foreign exchange "teacher Fu" judgment guide to follow orders. However, as a result of trading, most of the foreign exchange traders with orders are profitable, while the apprentices who follow orders often lose money. What is the reason for this?
First, the main reason is the experience of traders. Teachers who can accept orders on the stage have basically worked in this industry for a while and have a deep trading foundation. Therefore, teachers can always face every transaction calmly. For them, trading is like a common event. However, for the beginners who follow the order, it is different. Most people know little about trading, let alone experience. Without foundation, merchandising often leads to delayed response and order delays. Finally, the teacher's screen is profitable, and the results of the follow-up are lost.
If there is no delay in complying with the teacher's order, does it mean that there will be no loss? Of course, the answer is not yes. One of the most important reasons is that it belongs to the category of risk control. Most teachers who have orders are very risk conscious. They have to make their own trading plans and prepare for the worst before each order. However, many beginners with orders do not have this awareness. They just want to make more money from the order making process and often use excessive risk to make orders. As a result, teachers make money and order makers suffer serious losses.
If you want to do a good merchandising, then you must make a good plan! Yes, sales is also a technical job. First of all, you should understand the trading philosophy and risk control of each order teacher, and formulate the trading plan and risk control according to the characteristics of the order teacher. If the teacher can properly combine his position trading or horizontal promotion trading, if the teacher does not follow the order, you can choose the best one according to your own experience, and gradually systematize your trading in the sales process. Blind selling will only let you watch others make money, but you will lose money unconsciously.
Generally speaking, although Xiaobian doesn't advocate following orders. However, if traders do want to follow orders, they must also remember that they must have a rich practical basis, a strong sense of risk and a thorough merchandising plan. We can feel that it is also a good way to learn about the market. We can't expect the merchandiser to pick up money. Every time we make a transaction, we make a judgment after careful planning.