The first category is those who do not have any belief in the market price trend. They do not trade in trends, shocks, or fundamentals. The second category is an absolute belief in a certain idea, such as trend thinking, value investing, etc.;
Why is it so difficult to succeed in trading? It is really difficult to abide by your own "Tao". The most terrifying thing is that you have beliefs but your beliefs are not firm enough. At this time, you are most likely to suffer losses because both sides are beaten. I used to be like this, it took me 7 years to understand this truth, you can imagine how stupid I must be.
When I first entered the market, I didn't form my own trading views, and I was very easily influenced by people around me, such as my cousin, who is a senior stock speculator, and he is a typical trend trader; The uncle of the elder is a practitioner, and he likes to sell high and buy low very much. At the time I didn't know how to choose, and after a while you can imagine what my situation will be.
After many years, I asked myself why trading is so difficult. I think it may be both human nature and nature.
Human nature is that people often like to believe in beautiful things, and are willing to believe in illusions, just like people like to use beauty cameras nowadays, they don’t like to hear the real reality, so many people make more analysis to cater to everyone, and then make insincere words Especially in the financial market, because people are usually forgetful, they only keep a deep memory of recent events, so many commentators or list traders provide the most profitable trading methods for half a year, which are particularly sought after. The second is the problem of human nature, which is nothing more than greed. No one is envious of others making money, no one likes to suffer losses, and no one is willing to believe that it is unreasonable to make a profit in a single transaction.
Learning will make people smart, but it will be very difficult to persist in being 'stupid'. It is even more difficult to say no to successful people around you.