The legendary woman who was reborn from the ashes

A professional only needs once in his life to be glorious, but this time is a legend, living in people's legends and beyond people's imagination.

New stock investors who have just entered the market all have a common characteristic in their losses: most of the time they make small profits, and the shrinkage of their accounts is caused by a few huge losses.

Because retail investors always make a little profit and run away as soon as there is a slight fluctuation, for fear of a roller coaster, but as long as there is a loss, they must make it back. In fact, if they do the opposite, they can really run away as soon as they lose a little, and they will not lose much.

Most new stock investors enter the market because of the bull market. They learn that their friends and relatives are making profits from stock trading, and they want to get a piece of the pie and earn some spare money.

Jiang Juan entered the stock market during the bull market in 2007. Looking back on the ups and downs of the past decade, she often talks with her trading peers about her mental journey since entering the market, especially Jiang Juan's levels of dealing with losses, which is a true epitome of the new stock investors' stumbling journey.

When newbies first enter this market, they have no idea that this market requires a lot of professional knowledge. With this understanding, they think they can make money by entering the market, and losses must be wrong, so they refuse to lose money and are unwilling to face losses.

If an order incurs a loss, people tend to hold on to it and do not want the loss to happen. Therefore, the typical characteristic of new investors at this stage is that they refuse to take losses.

After trading for a period of time, I suffered a lot of losses due to the lack of information and trading techniques. After consulting trading seniors, my mood gradually stabilized and I found that losses are actually an objective law of the stock market.

Losses are not something you can refuse just because you want to. Losses occur frequently in trading, and you need to work hard to lose as little as possible.

Therefore, at this stage, novices only realize that their trading level is not good enough, so they need to make enough efforts to improve their winning rate and avoid stop loss.

As trading time progresses, I strive to find a method with a 100% winning rate so that I can avoid losses from now on. However, no matter how hard I try, I find that in the end, losses seem to be inevitable. There are many times when I always feel that my judgment is correct, but reality always slaps me in the face.

After such a long period of trading and practical training, I always felt that I had a certain grasp of the trend, so even if I was wrong, it was difficult to stop the loss. As a result, I lost again and again. At this time, I began to slowly think about whether there is no 100% profitable method in this market.

Should stop loss be placed as an important trading strategy? At this moment, I finally began to face up to the losses, admitted that the losses were reasonable, and began to try to set a stop loss for each transaction and strictly implement it.

In the beginning of the transaction with a stop loss, I was able to control the loss of each transaction slowly, from a big loss to a small loss.

At this moment, I suddenly found a feeling, as if I saw the right direction - to make a profit in trading, you must cut losses, let profits run, and adhere to a trading logic with positive expectations for a long time.

Try to control losses when you are losing, and try to get as much profit as possible when you are making a profit. In this way, you will have a correct way of thinking after a long period of accumulation. Knowing that there will be a lot of uncertainty in the trend, this is to find a higher logical certainty from another perspective.

The uncertainty of the market makes it impossible for every trader to avoid losses, because you don’t know what systemic events will suddenly occur in the market, or whether the current transaction will be profitable or loss-making. While avoiding losses, you also avoid the possibility of making profits.

Only by assuming the possibility of losses can you try to make profits. Profits and losses cannot be separated. This is the same origin of profits and losses.

After all, new investors have only entered the market for a short time and still have expectations for the performance of the system. They hope that they can optimize their system so that they can suffer less losses and make as much profit as possible.

Therefore, although the new investors have realized the principle that profits and losses come from the same source, they still need a process of improvement.

With the increasing number of transactions, the accumulation of trading experience, the significant improvement of trading cognition, and countless optimizations of the trading system, I gradually discovered a cruel reality, which is the trial and error logic behind the trading system.

Because traders have limited funds and the market is ruthless, if the optimization of the trading system is completed by trial and error with one's own funds, such a result will make many novices timid and hesitant in future transactions.

The trial and error logic needs to be optimized all the time, and then the success efficiency of the trading system will continue to improve.

The trial-and-error efficiency of the trading system has reached its upper limit, and the only difference left is capital management and short-term luck.

Ultimately, in the cognitive system of relatively mature traders, losses are normal and profits are also normal. They are just the process of the final result.

Then, once the trial and error efficiency reaches a certain level, you will have a feeling of doing your best and leaving the rest to fate, because you have done what you can to the utmost and all that remains is to wait for the results.

At this point, the attitude of a trader who has grown up towards losses is actually to accept gains and losses as they come, without any increase or decrease in his heart.

There is a book called "Financial Empire" that says in its opening words, "I am really grateful for those consecutive small losses. It is these annoying small losses that keep traders who are smarter than me from making profits."

Did you hear this correctly? Turning losses into a very good thing is because it is these losses and continuous losses that make many people unable to accept this method. So you have fewer competitors because you can withstand the pressure that others cannot withstand.

This is looking at the loss from a higher level, he sees the good side of the loss. The positive side, here the financial empire also used a word, that is, other traders who are smarter than me, the smartness here actually refers to small cleverness, but this attitude towards losses is great wisdom.

True strength does not lie in forgetting, but in accepting the impermanence of the world, accepting loneliness and frustration, accepting loss and regret, accepting your own imperfections, and adjusting your state as quickly as possible to find the strength to keep moving forward and become a better self.

People must learn to accept things that go against their wishes, not to be proud when you are at your most glorious, not to be discouraged when you are at your worst, and not to give up when you are in the most difficult times.

Is Jiang Juan’s trading experience similar to yours? What trading stage are you in now?

Face yourself and accept everything that happens in the transaction.

You don’t need to live better than others, but you must live better than before. The happiest thing in life is not to live like others, but to live more like yourself after working hard.

Reunited in the heart, life will not be desolate, fireworks in the world have their regrets. Today is better than yesterday. This is hope.