Those who can consistently make money from contracts over the long term are often the ones brave enough to use the “dumb” method—quitting all self-congratulatory clever moves can actually let compounding run steadily.$TUT
After all these years of trial and error, the more I think about it, the more true it feels. Many people lose money trading contracts not because they lack skill or intelligence, but precisely because they are too clever: when the market drops a little, they rush to buy the dip, afraid of missing the bottom; when it rises by only a few points, they predict a peak and insist on escaping at the top; even when entering a trade, they have to wait for the exact price down to several decimal places, refusing to place an order if it is off by one or two U. These so-called “smart moves,” which seem like they could earn a few extra points, quietly raise the probability of making mistakes with every trade. If the market turns even slightly the other way, the small profits you accumulated before are quickly given back in full.$SKHYNIX
In contrast, those old hands who have survived in contracts for three to five years and already multiplied their accounts by more than ten times use nothing but the “dumb” methods that others look down on: they don’t buy the dip in the middle of the range, and they don’t try to escape at the very end of the move; they honestly take the most certain and smooth part in the middle of the trend. They don’t chase the perfect trade of buying at the lowest and selling at the highest—getting the portion of profit that belongs to them is enough. Once the pre-set target is reached, they let go without a trace of greed and exit decisively, leaving the last bit of uncertain change for someone else to earn.
The reason the dumb method can produce long-term compounding is very simple at its core: because the rules are straightforward enough, you don’t need to rack your brains every day to predict the market, and execution is almost barrier-free; because execution is easy, you can stick with it day after day instead of being hot for three days and cold for two; because you can keep at it for the long haul, the compounding effect of time can truly show up in your account.$ZEC
Your flashy “smart strategies” often get replaced with a new trick within a month, without even getting a full round of bull-and-bear validation. Meanwhile, the dumb method others use is still being followed three or five years later, and by the time you look back, the account has already quietly multiplied several times over.
In the contracts market, the least useful thing is trying to be clever, and the most valuable thing is sticking to simple, dumb rules all the way through. Quit those fancy “smart moves,” and use the dumbest rhythm to exchange for long-term compounding—you may end up going farther than anyone else.
After all these years of trial and error, the more I think about it, the more true it feels. Many people lose money trading contracts not because they lack skill or intelligence, but precisely because they are too clever: when the market drops a little, they rush to buy the dip, afraid of missing the bottom; when it rises by only a few points, they predict a peak and insist on escaping at the top; even when entering a trade, they have to wait for the exact price down to several decimal places, refusing to place an order if it is off by one or two U. These so-called “smart moves,” which seem like they could earn a few extra points, quietly raise the probability of making mistakes with every trade. If the market turns even slightly the other way, the small profits you accumulated before are quickly given back in full.$SKHYNIX
In contrast, those old hands who have survived in contracts for three to five years and already multiplied their accounts by more than ten times use nothing but the “dumb” methods that others look down on: they don’t buy the dip in the middle of the range, and they don’t try to escape at the very end of the move; they honestly take the most certain and smooth part in the middle of the trend. They don’t chase the perfect trade of buying at the lowest and selling at the highest—getting the portion of profit that belongs to them is enough. Once the pre-set target is reached, they let go without a trace of greed and exit decisively, leaving the last bit of uncertain change for someone else to earn.
The reason the dumb method can produce long-term compounding is very simple at its core: because the rules are straightforward enough, you don’t need to rack your brains every day to predict the market, and execution is almost barrier-free; because execution is easy, you can stick with it day after day instead of being hot for three days and cold for two; because you can keep at it for the long haul, the compounding effect of time can truly show up in your account.$ZEC
Your flashy “smart strategies” often get replaced with a new trick within a month, without even getting a full round of bull-and-bear validation. Meanwhile, the dumb method others use is still being followed three or five years later, and by the time you look back, the account has already quietly multiplied several times over.
In the contracts market, the least useful thing is trying to be clever, and the most valuable thing is sticking to simple, dumb rules all the way through. Quit those fancy “smart moves,” and use the dumbest rhythm to exchange for long-term compounding—you may end up going farther than anyone else.