Why Most People Misses on The Big Gains
Why most people misses on the big gains?
Why on hindsight it seems easy to be making money, but actually it is not?
Because the reality is that it is NOT THAT EASY to make money or big gains.
The first barrier is psychology and mental barrier.
It is much easier to give data and charts to a bots or A.l. and let them decide, as for them, there is nothing emotional about trading/investing, if they find opportunities they will grab it.
Meanwhile, for humans, we always have something emotional that we cling to and attach to and we always try rationalize whatever decisions we made.
And these lead to sunk cost fallacy which many people made.
Here is the thing, you can't eliminate human emotions, therefore, market will always move in CYCLE and BOOM and BUST fashion. Unfortunately, most people will always lose money because they are always LATE TO THE PARTY.
This is Shanghai Composite.
As of now, we are nowhere near the bubble phase in 2007 and 2015, which is good in the sense that the MARKET IS MORE RATIONALE than what the past or history has indicated.
I am not here to talk about the present, but I want to show HOW FAST market can move.
China is the world second largest economy and have the most populations in the world, Chinese also has lots of saving. EVEN THEN, the stock market is VERY IRRATIONAL and most in very CYCLICAL nature.
Look at how much and how fast it went up in 2007 and 2015. Most people don't foresee that happens, but it happened anyways.
And most people lose money, because the only way you make money is if you entered at the EARLY PHASE of the run up and HOLD TIGHT until the end of bull run or bubble.
And most people bought the TOP of the current bubble, SOLD OUT at the bottom of the crash or correction, and then they bought back at the TOP of next bubble.
In order to make money in financial market, you need to have the ability to ENTER at EARLY PHASE OF bull market and RIDE IT ALL THE WAY UP. How to do it? You decide, run some algorithm and see when is the TURNING POINT or INFLECTION POINT which indicates the end of bear market/condolidaton phase and the beginning of a new bull market.
THE BEST TIME TO ENTER A MARKET IS at the end of bear market and beginning of bull market.
Even this basic concept is unknown to most people.
Most people don't have strategy, they only make decisions based on their greed and emotions. And the whole idea of using leverage and margin are sheer and pure stupidity. Yes, some people might be making lots of money using margin/leverage but majority of traders lose money.
Taking margin/leverage MEANS that you FOR SURE knows the direction of the market and you are willing to risk a lot of money.
Anyways, the global market are still healthy and most of them are still going UP versus crashing and we are entering into great depression. The whole idea that global market will crash is a joke, not by using my emotions, by looking at facts dan data. I would rather let my A.I. decide for me than myself as they have less bias and don't really care about what the general emotions in the market.
Every bull market might be the last change to make lots of money to achieve financial freedom and living a life free of debt and slavery. But most people will live a life of slavery.
It is a sad reality.
Why on hindsight it seems easy to be making money, but actually it is not?
Because the reality is that it is NOT THAT EASY to make money or big gains.
The first barrier is psychology and mental barrier.
It is much easier to give data and charts to a bots or A.l. and let them decide, as for them, there is nothing emotional about trading/investing, if they find opportunities they will grab it.
Meanwhile, for humans, we always have something emotional that we cling to and attach to and we always try rationalize whatever decisions we made.
And these lead to sunk cost fallacy which many people made.
Here is the thing, you can't eliminate human emotions, therefore, market will always move in CYCLE and BOOM and BUST fashion. Unfortunately, most people will always lose money because they are always LATE TO THE PARTY.
This is Shanghai Composite.
As of now, we are nowhere near the bubble phase in 2007 and 2015, which is good in the sense that the MARKET IS MORE RATIONALE than what the past or history has indicated.
I am not here to talk about the present, but I want to show HOW FAST market can move.
China is the world second largest economy and have the most populations in the world, Chinese also has lots of saving. EVEN THEN, the stock market is VERY IRRATIONAL and most in very CYCLICAL nature.
Look at how much and how fast it went up in 2007 and 2015. Most people don't foresee that happens, but it happened anyways.
And most people lose money, because the only way you make money is if you entered at the EARLY PHASE of the run up and HOLD TIGHT until the end of bull run or bubble.
And most people bought the TOP of the current bubble, SOLD OUT at the bottom of the crash or correction, and then they bought back at the TOP of next bubble.
In order to make money in financial market, you need to have the ability to ENTER at EARLY PHASE OF bull market and RIDE IT ALL THE WAY UP. How to do it? You decide, run some algorithm and see when is the TURNING POINT or INFLECTION POINT which indicates the end of bear market/condolidaton phase and the beginning of a new bull market.
THE BEST TIME TO ENTER A MARKET IS at the end of bear market and beginning of bull market.
Even this basic concept is unknown to most people.
Most people don't have strategy, they only make decisions based on their greed and emotions. And the whole idea of using leverage and margin are sheer and pure stupidity. Yes, some people might be making lots of money using margin/leverage but majority of traders lose money.
Taking margin/leverage MEANS that you FOR SURE knows the direction of the market and you are willing to risk a lot of money.
Anyways, the global market are still healthy and most of them are still going UP versus crashing and we are entering into great depression. The whole idea that global market will crash is a joke, not by using my emotions, by looking at facts dan data. I would rather let my A.I. decide for me than myself as they have less bias and don't really care about what the general emotions in the market.
Every bull market might be the last change to make lots of money to achieve financial freedom and living a life free of debt and slavery. But most people will live a life of slavery.
It is a sad reality.
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