Positioning strategy
Generally speaking, the position should usually be maintained at half the size, which means keeping reserves in case of emergencies. Only when you are very certain, you can be fully invested for a short period of time. Being able to control your position according to market changes is a very important skill in stock trading. If you cannot control your position, it's like going into battle without a reserve army, which can put you in a passive position. Strictly controlling your position is the most important part of investor fund management, a discipline that must be strictly followed. Especially in a weak market, investors can only effectively control risks and prevent further losses from expanding by paying attention to and improving their position control level, seizing the opportunity to turn losses into gains. How well you control your positions will directly affect several important aspects for investors: 1. How well you control your position will determine if you can profit steadily from the stock market in the long term. 2. Position control will affect the investor's risk management ability. 3. The weight of the position will also influence the investor's mentality; heavier positions will cause worry and anxiety. 4. Most importantly, the position will affect the investor's attitude towards the market, potentially leading to biased analysis and judgment. In conclusion: Always ensure there is remaining cash in your account, as it is your only ammunition to deal with unexpected fluctuations. That's all for today. If there are any friends who do not understand, feel free to add me. I will share stock recommendations daily, along with occasional trading strategies. $Apple (AAPL.US)$ $Tesla (TSLA.US)$ $NVIDIA (NVDA.US)$