#美联储联邦公开市场委员会决议 Win or lose, this is a matter no industry can avoid. But on the path of trading, those who truly survive are often not the most technically skilled, but the ones who know how to face defeat with dignity.

Losses are actually nothing to fear. What’s scary is that you don’t even know why you’re losing or how to withstand the next wave of volatility.

Even the most aggressive traders can’t avoid losses. But the key difference is—some panic after losing 5%, while others can sleep soundly after losing 20%. The difference isn’t luck, but whether the position size is well-controlled.

Simply put, the root of emotional outbursts is overly large positions. You initially expected to lose 1,000 yuan, but ended up losing 5,000, and your mindset collapses at that moment.

There are only two aspects of trading worth paying attention to:

**Before entering the market**—think through your strategy clearly. Are the technical signals in place? Where is the stop-loss point? What is the take-profit target? How much can you lose at most? Only after thoroughly considering these four questions should you act.

**After entering the market**—completely shut off your brain. No matter how the market fluctuates, don’t shake. Unless there’s a clear signal indicating a reversal, stick to the original plan. Once you hold a position, your brain automatically switches to a "confirmation bias" mode—amplifying signals that support your view and turning a blind eye to unfavorable signals. In the end, you can’t tell whether you’re trading or just fooling yourself.

So the core is simple: rational analysis before entry, ignoring noise after entry, and executing purely with discipline.

**The four pillars of trading**

1. Entry signals—are the technical reasons sufficient?
2. Stop-loss level—where are the support and resistance levels?
3. Take-profit zone—how much do you expect to earn?
4. Risk management—what’s the maximum loss this position can cause me?

Regarding take-profit, you’ve probably seen many people reluctant to close with floating gains, thinking the market will continue to rise. Then—reversal. Not only do they give back the profits, but they also end up losing money. That feeling of going from profit to loss is truly twice as painful.

People can only earn what their knowledge can cover. Anything beyond that, no matter how tempting, is just an illusion.

To avoid this trap, use staged take-profit. When reaching the target price, first cut half of the position to lock in gains, and let the remaining core position continue to follow the trend for profits, while setting a trailing stop-loss. This way, you won’t miss big opportunities, nor will you get caught off guard by reversals.