The 164 contract with small broad nature, doomed only small capital high, large capital low times
In the world of investment, there is a saying from Lord BA Fei:
There are three secrets to investing. Remember:
Protect your principal
2. Protect your principal
3 Please remember the first two
I didn't think these words were that important before, but I've come to realize their true meaning ever since I signed the contract.
The above chart is the income chart of a contract big V. At the beginning, when I saw this big V, the income was still positive, about more than 10 million RMB. Later, I looked again, and it turned into a stock explosion.
During this time, several of the big V's in the contract have collapsed. For example, Bitcoin was surprised, the bitcoin left for her daughter, the contract dealers, etc., all of these big V's have millions of solid money, but in my opinion, it has something to do with the way these big V's operate. Ago I read a few big V operation, basic is to use low power 1 to 2 times, do more, the operation technique, in normal circumstances, there is no danger, encounter negative earnings, carried on a single, but encounter extreme market, such as 925, * * plate, 312, etc. This kind of market, every is 40-50% of volatility, so the operation is very dangerous. Really encounter such a large level of time, because the amount of capital is more, the book has appeared a very large loss, so the average person is not willing to single, because the flat means that the book loss into the actual loss, this feeling is very bad. But if blindly anti-single, encounter such an extreme market, and it is possible to burst a one-time, so, the above said several big V is encountered such a situation, the final burst of the outcome. This is a low multiple. And is a kind of high power, such as COINS small steel stunned, this elder brothers opened is 15-20-30 x x x, and there is big, with multiple of this magnitude, fluctuation, book is shows a lot of loss or profit, remember that open more small steel stunned at around $9300, around 9600 flat more empty, in current, this could create big market pull litre, with such a high power to open air, really hard to imagine, if continue to pull litre, shall not be more than loss or a hard fight, fight for a few days, this elder brothers finally resist, the more leverage to make, the greater the final detonation storehouse. At the end, I see it is 28X. In recent days, bitcoin has directly fluctuated from 9600 to 11300and 1500 points. Not to mention 28X, it is the empty order of 1-2x, which makes you very uncomfortable. So, as stated in question, the contract of this world, if your amount is small, you can use the high power bo bo, because it is such a big loss, but if it is a big money, remember that not for gambling, and with high (more than 10 x), actually, because the fund size is large, with 3-5 x x, in the case of a large amount of fluctuation, the profit is already very good. It is a very difficult thing to control one's desire. For example, people like fast money, so they want to get rich one day with high power, but they don't like to get rich slowly. But in the investment world, it's not about who makes money faster, it's about who lives longer. So, in any case, you need to put the security of your principal first. There are several ways to protect the principal. You can try them: 1. If you can't add to a loss without the protection of a stop loss, you can't add to a loss. 2 If you make a profit, remember to take out half of the profit. In a high-risk world, the only profits we make are probably regular withdrawals. 3 control your desire, do not use more than 10X multiples, preferably 3X to 5X, if the direction is really wrong, within the acceptable stop loss range, immediately close the position, protect the remaining principal, do not fight with the market, even if the remaining principal is only 50%, you can do it again. The remaining 50% is definitely better than a dime out of stock.