My friend Lao Guo is both a stock investor and a fishing enthusiast. Whenever we talk about stocks, he always uses his "Fishing Classic" to talk about stocks, and he speaks eloquently.

He said, "As fishermen, we need to check the weather before going out. If the weather is bad and not suitable for fishing, I won't go out. If you insist on going fishing in windy and rainy weather, you don't have to guess, you won't gain much. Similarly, when it comes to stocks, investors should read more newspapers, pay more attention to the general trend of the world, study national policies, and keep up with news and current events. Only in this way can they have a clear understanding, target their goals, seize the opportunity, and make decisive moves at the most suitable time. Only in this way can they reap great profits.

There is a saying in the fishing industry: deep pond catches shallow water, shallow pond catches deep water. The meaning is that fishing water bodies are diverse, some are deep and some are shallow, so it is necessary to select the opposite point and hook. The reason is actually very simple. Generally speaking, water bodies are deep, and sunlight cannot reach them. There is not much food to eat at the bottom of the water, so most fish must seek food in shallow waters. On the contrary, for shallow water bodies, such as one foot, fish can see the activities of fishermen and must run away when they see people coming. Wherever they run, of course, it is deep in the water.

The stock market has two types: a bull market and a bear market. There is also a saying that goes' if you rise for a long time, you will fall; if you fall for a long time, you will rise '. When a bull market comes, securities branches are overcrowded and it's difficult to find a seat. In the streets, alleys, tea houses, and taverns, people's hot topics always revolve around "discussing stocks and gold". Many people rushed in, while others thought, 'I'm not greedy. If I make 50%, I'll leave.'. Little do you know, at this point, the trend is coming to an end, and the stocks you buy often rise to 30 or 40%, which cannot meet your set goals. As a result, just as you were "waiting for the next wave", the trend shifted and one wave became lower than the other. If there is no good mentality of "stopping when you see good things", you will be one of the people trapped in high positions. So, with a deep understanding of the principle of 'deep pond shallow water, shallow pond deep water', and good use of reverse thinking, you may make a profit when others lose.

Fishing can be addictive, and Lao Guo is such a person. On Sunday off days, as long as the weather is good, even if you don't go fishing, you have to ride a broken bike to the outskirts for a stroll; If the weather is bad, you should also take out the fishing equipment bag and play with it in the hall, repairing this and that, otherwise you will be listless for a week. However, addiction is addiction, and he knows that fishing is just his hobby and cannot be considered a full-time job. Otherwise, if you lose your job and don't have any money in your waist, you won't have the heart to go fishing.

Similarly, doing stocks can also lead to addiction, where one wants to earn more after making a profit and wants to recoup their losses. Especially for those who encounter a "bull market" as soon as they enter the market, they immediately rise in price and make hundreds or thousands of dollars in just three days. They think they are a "stock god" and find it too easy to make money by trading stocks. Their mentality begins to change. They simply look down upon the hard-earned money every month, so some people simply resign or use their houses to offset loans and invest in stocks. However, it should be noted that there is no such thing as a "winning general" in the stock market, without a good mentality and correct trading methods, relying solely on luck will always result in losses. As a result, the deeper the sinking, the more panicked he became. At this point, he had no source of professional salary and was trapped in a difficult situation to turn over. So, stock trading can only be done as a side job, as a serious profession, earning a small monthly salary and trading small stocks. Once you encounter a bear market or make a mistake due to consecutive failures, just stick to it. After spending three to five years with the market makers, there will always be a day of success.

After listening to his words, I benefited greatly. It seems that stock trading and fishing are indeed similar in nature. By understanding the "fishing rules", one can stand undefeated in the stock market.