Speculation exchange trader: long-term trading pay more attention to reason
The most important thing for long-term foreign exchange trading is to remain objective and abide by discipline. In many cases, you should give up your own fresh ideas and judgments, but ending a successful long-term position can obtain enviable returns, which is also the reason why long-term trading is desirable. Long term trading has one of the biggest characteristics: a small loss wins a big one. He doesn't pay attention to the proportion of profits and losses, but to the quality of profits and losses. This is the most essential difference between him and short-term foreign exchange speculation!
If a short-term trader is an artist, a long-term trader is an engineer. Artists' artistic creation is full of excitement and passion, while engineers' engineering is full of hardships and challenges, because the project requires long-term efforts, and unexpected situations will occur halfway. Long term trading pays more attention to rationality than passion.
In theory, long-term trading is more suitable for the majority of investors, because he pays attention to rationality. However, it is precisely because he is too rational and objective that he will lose the excitement of daily trading and form a lonely trading behavior that requires more endurance. It is a bit like an ascetic monk. This kind of hardship makes many people rejoin the ranks of short-term trading. Long term trading pursues the trend and thinks that the trend is his only true friend and the source of his profits. He doesn't pay attention to the intraday fluctuation of prices, and thinks that the intraday fluctuation of prices has little to do with him. This will make people feel that you are insensitive, even like a fool. Long term traders don't pay attention to how the market will go the next day, but only to whether the trend is over.
The endurance of long-term traders' positions is neither understandable nor bearable by ordinary investors. There is a misunderstanding in the market that the long-term trader can hold a long-term position because he can predict the market trend and end point, so he can rest assured that he can hold it for a long time! This is a big misunderstanding! Like you, long-term traders don't know the future trend of the market. They just follow the trend in a disciplined way.
Keeping discipline and long-term position should endure the pain that ordinary people do not understand. It can be said that long-term profit is the result of long-term market torture! Large fluctuations in the market can easily eat up most of the profits of the original positions. The most unbearable thing is that this kind of rebate is often what you think will happen, that is, you can see the profits go back, which is like someone robbing you of your money when you are prepared. In addition, there are few opportunities for long-term trading. The market fluctuates for most of the year, and long-term traders have been losing money during the turbulence, And they often turn into losses in the case of profits from positions. This torture is enough to beat anyone! At the same time, the market sometimes turns back sharply and signals the end of the trend. You are also forced to close your position and leave the market after losing a large piece of profits, and then the market moves in the original direction. At this time, you must have superhuman courage and perseverance to enter the market again. It is easier said than done!
