Ten survival rules of crude oil trading market!
In the transaction, investors are trying to avoid the risk as much as possible. How to get the maximum living space in the transaction, please take a look with Xiaobian.
1. In the spot transaction, we should fully understand the risks and benefits, the probability of winning and losing money and several major problems to be prevented. If we don't have a clear understanding of risk prevention and trade crude oil at will, it is inevitable to lose money. Generally, as long as the stop loss and profit are strictly set and the operation of light warehouse is carried out, the risk can be well controlled.
2. Know yourself and know your enemy, and you will be invincible in a hundred battles. However, in the oil market, it is better to be intimate. Investors need to understand their own personality, because people who are prone to impulsiveness or emotional tendencies are not suitable for this investment. Most of the successful investors can control their emotions and have strict discipline and can effectively restrain themselves. Therefore, only those who are close friends can win in the oil market.
3. In a sense, sometimes the market trend is misread, or the situation suddenly reverses after entering the order, which leads to the list being caught. This is a normal phenomenon, even the master is not immune. However, in the decision-making and post-processing, the most stupid behavior is derived from the psychology of small households. Successful investors don't blindly follow the advice of others. When everyone is in the same investment position, especially when small investors follow suit, successful investors will feel dangerous and change their route.
4. The market is real. Don't be sentimental. Look forward to the future and remember the past. A senior trader said: a person full of fantasy, rich in feelings and very exposed is a happy and happy person, but he is not suitable to be an investor. A successful investor can separate his feelings, fantasies and trading.
5. To be a successful investor, one of the principles is to keep more than 2-3 times of capital at any time to cope with price fluctuations. If you don't have enough money, you should reduce your position. Otherwise, you may be forced to close your position due to insufficient margin. Even if it turns out that your vision is accurate, it will not help.
6. If, after full consideration and analysis, the price and plan for entering the market on the same day are determined in advance, it is not easy to change the decision due to the influence of the current price fluctuation. The decision made temporarily based on the change of the price on the day and the market news is generally very dangerous, unless it is a flash of investment mastermind.
7. Investors are not required to enter the market every day. New entrants are often keen to enter the market. However, successful investors will wait for the opportunity. When they are confused or uncertain after entering the market, they will leave the market first and take a wait-and-see attitude.
8. When you have grasped the direction of the market and have a basic decision, don't change your decision easily because of the influence of others. Sometimes other people's opinions may seem reasonable and prompt you to change your mind. However, it is only after the fact that your decision is the most correct one. Therefore, other people's opinions are always only for reference, and their own opinions are the decision to buy and sell. You are the only investor who will be responsible for your investment results.
9. When investing in the spot crude oil market, there are many psychological factors leading to failure. A common situation is that when investors face more and more losses and even know that they can't take chances, they often because of indecision and unable to make a decision, so they get deeper and deeper and lose more and more.
10. Remember, the money used for investment must be "spare money", that is, there is no urgent and accurate use of funds for a while. Because, if investors invest with the necessary expenses of family life, in case of loss, it will directly affect the family livelihood. Or, when making money with money that should not be used for investment, one is already at a disadvantage psychologically. Therefore, it is difficult to maintain an objective and calm attitude in decision-making, and the chances of failure in the investment market will increase.