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In the stock market, some people's state is that they want to settle down after making a little money, and they can keep it after losing it. Why?
In the stock market, when stocks earn a little, they want to settle down, but they can always keep losses. Why? I've been wandering in the stock market for 20 years, to be honest.

_ 1. Faced with benefits and avoiding risks, people are inherently risk-averse. Therefore, when the stock has a book profit, even a little, they all choose to take profits.

For example, chestnuts: 2021March 3, we bought Sinoma Energy Saving, and then sold it immediately the next day.

Kahneman, the winner of the Nobel Prize in Economics in 2002, put forward Kahneman's Law of Risk: When faced with benefits, ordinary people always avoid risks.

According to Kahneman's risk law, this phenomenon has been well explained. San Xiao knows that it is not easy to profit from stock trading. When he saw that the stock was profitable, he was afraid that the stock price would fall again and chose to take profits.

If we can overcome this psychological law, we can make the stock book profitable and run continuously, and make more and more assets in the stock account.

_2. Facing the loss and risk preference, we always hope that our stock will return to its original value, which will result in a loss of -2% to -5% and even -50% at last.

The reason for this problem is that since I lost money, I expect it to return to its original psychological phenomenon.

Take a chestnut as an example: We bought a general elevator on April 8, 20021year, and we kept it because of the loss.

This is also in Camanni's risk law: when faced with losses, people always like to take risks.

If we can overcome this irrational psychological law, we can cut off losses, thus avoiding the risk of expanding losses caused by irrational holding of loss-making stocks.

3. Overcoming irrational investment When there is a floating profit in the stock book, it shows that we have chosen the right stock target. In this case, let it continue to be correct.

Set profit-taking targets to avoid profit-taking. For example, we assume that when the profit takes 20%, we will sell the stock and keep the remaining profit.

Take chestnuts for example. On March 23rd, 20021year, I bought 003039 Shunkong Development. When we made a profit of 10% the next day, we set a profit target: selling without daily limit.

Then, the actual time for us to sell the stock is: April 14. If we can't sell it because of the daily limit and the selling time is April 15, then we ride the bull stock.

_ Summary: We sell stocks with floating profits, and we hold stocks with floating losses. The reason is that in the face of profit, we hate risk, and in the face of loss, we like risk. We must overcome this irrational psychology, stop losses and let profits run.