After years of trading contracts, I’ve noticed a phenomenon: most people lose money not because they predict the market incorrectly, but because they die on their own greed.

I’ve seen too many traders go all-in, leverage up, and gamble, only to be wiped out after one loss. In contrast, those who last longer use the simplest methods—strict risk control.

These three principles are my bottom line:

**① Never Fully Invested**: Always allocate positions properly; close a position immediately if the loss exceeds 2%. It sounds conservative, but it helps you survive longer.

**② Control Trading Frequency**: At most 1–2 trades per day, only participate in high-confidence opportunities. Frequent trading doesn’t necessarily mean higher profits; it actually increases the chance of mistakes.

**③ Mechanical Execution**: Use 3% stop-loss, 5% take-profit, follow the rules, and don’t change plans due to emotions.

It’s very clear when you compare. Same 100,000 yuan: some go all-in and get wiped out in one blow; others use 20,000 yuan as a base, strictly follow risk management, and achieve a steady monthly return of 8%+, with an annualized return exceeding 150% when compounded. What’s the difference? It’s not skill, but execution.

The contract market is essentially a survival competition. Those who make money understand one thing: the goal of trading isn’t to win beautifully, but to survive long enough. Only through stable accumulation can you finally take the profits. Many people fail because they go all-in, leverage heavily, and hold positions recklessly. The opposite approach—being cautious and disciplined—is actually the key to survival.