In trading, how to overcome the "five poisons" of human nature?

To achieve harmony and unity from the formulation of trading strategies to their execution? This requires us to cultivate the "five poisons" in human nature - greed, fear, ignorance, arrogance and suspicion.

It is almost impossible to eradicate the "five poisons" in human nature. We can only settle for the second best and transform greed, anger and ignorance into precepts, concentration and wisdom. Precepts mean abiding by the rules, concentration means not wavering, and wisdom means seeing the essence through phenomena. Suspicion is the root cause of the failure of trading strategies, so we need to use objective and operational rules to eliminate our own doubts and restrain greed.

Trading strategies can be established by ourselves or learned from others, but the premise is that we must have a deep understanding and trust in this strategy. We need to use objective and operational rules to polish our doubts and greed, which is also a manifestation of perfectionism. When the trading system misses a wave of market conditions, we often think about modifying the system and trying to catch all the market conditions. This pursuit of perfection will lead us to constantly learn and modify the system and try to capture all the market conditions with one system.

Anger is fear. When the fear signal appears, we dare not execute the trading strategy and cannot achieve consistency. This is often because traders are unconsciously predicting the market, especially when the system signal is opposite or contradictory to the predicted direction. Slowness is arrogance. When we accurately capture the market many times, we will have an arrogant mood and forget the protection measures of stop loss. When disaster strikes, we will soon be beaten back to square one.

Trading is a practice, the purpose is to understand the mind and nature, better understand yourself, understand the true meaning of trading, find the right method, accept imperfections calmly, do not fight against the market, so as to avoid big losses and naturally achieve profits. Any trading system is just a tool for practice, and the tool itself cannot guarantee our profit. What makes us stable and profitable should be the mind to control the tool.

If we are always keen on learning different trading strategies and ignore the resolution of the "five poisons" in our hearts, it will be difficult to get rid of the cycle of losses. Only through continuous practice and resolution of the "five poisons" in our hearts can we obtain stable profits in trading. #币安合约锦标赛 #美联储连续第七次维持基准利率不变