Being trapped in the stock market is a common thing, especially for investors who are not very familiar with the stock market and have not mastered stock trading skills. After being trapped, some people say stop loss and others say replenishment? So, should we stop loss or replenish positions? Newcomers must know when it comes to stock trading, don't let filling positions become a new trap.
1、 Identify whether you are a short-term operator or a medium to long-term operator. The biggest failure in short-term trading is not the amount of profit or loss in a short period of time, but turning the short-term into a medium-term or even long-term one due to a small mistake. People who do not know how to stop losses are not suitable for short-term trading and will never become short-term experts.
2、 Distinguish whether the main force is washing inventory or shipping. If it is the main shipment, we must resolutely and thoroughly cut losses. But it must be remembered that the main force's shipments may not necessarily be at a high level, and the main force's consolidation may not necessarily be at a low level.
3、 Distinguish whether the buying behavior that causes a trap is speculative buying or investment buying. Investors who choose stocks based on the fundamental situation of listed companies and from the perspective of investment value can learn from Buffett's investment philosophy, without worrying about the fluctuations of stock prices.
4、 Identify whether you belong to a stable investor or an aggressive investor. It is important to recognize one's own operating style and proficient operating skills. If some investors have sufficient viewing time and intraday sentiment, they can reduce the cost of being trapped by using intraday "T 0" or short-term short selling.
5、 According to the weight of one's position, if the position is too heavy and trapped, it is necessary to appropriately stop a portion of the stocks. This is not only to avoid risks, but also beneficial for maintaining mental stability.