1. Set a daily loss limit, which is your absolute stop-loss amount. Why? No explanation. 2. Set a daily profit target, which means exit once you reach your profit goal. Why? No explanation. 3. Once you hit your stop-loss or profit target for the day, shut down and leave the market. Why? No explanation. 4. Stop-loss to take-profit ratio = 1:1. Again, no explanation. 5. Stick to repeating the above actions.
If you’re still losing money, don’t ask me why.
— Zhihu: Haidi Sha
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Beginner Trading Essentials:
1. Set a daily loss limit, which is your absolute stop-loss amount. Why? No explanation.
2. Set a daily profit target, which means exit once you reach your profit goal. Why? No explanation.
3. Once you hit your stop-loss or profit target for the day, shut down and leave the market. Why? No explanation.
4. Stop-loss to take-profit ratio = 1:1. Again, no explanation.
5. Stick to repeating the above actions.
If you’re still losing money, don’t ask me why.
— Zhihu: Haidi Sha