A Brief Discussion of Trading Insights from the Past Three Months

First, my biggest issue over the past three months has been my mindset. I was too eager to succeed, sometimes trading impulsively based on emotions, not strictly controlling my positions, and making reckless trades. As I received more market education, I gradually learned from my mistakes. I’ve come to understand that controlling positions and learning through trial and error is crucial. The times when my emotions are bad are actually the turning points that widen the gap. When Tgb12’s December commercial shipping soared, everyone thought they were stock gods. But from February 13 to now, March 20, many gains made by luck have been lost through real strength. Today, I saw many strong traders (with over 2 million in funds) whose overall 2026 returns are below -10%. The worse the emotions, the more you lose despite working harder!

Second, at the start of this year, I truly learned the basic bottom line for a trader: the iron law of trading—controlling drawdowns and preventing losses! TgbYushen told me: “I am a slow hand with core capacity for low buy-ins, while Yushen is an ultra-short, infinite switcher. Doing what suits you best is the best!” In 2026, I’ve participated in few stocks: Huasheng, Yunei, Tuowei (Wangsu, Runze). I focus heavily on timing and stock selection (Huasheng’s position once exceeded half), while others are only 10-20%. The rest are trial and error (which helps develop logical thinking and emotional flow reasoning). Truly unique stocks are only Yunei (the only one in 2026 to break 8 boards with high turnover and stay stable), followed by Wangsu with its 20cm capacity for computing power!

Third, how can we endure these three months, control positions, and time entries to participate in these rare stocks? (Timing low buy-ins and controlling positions can still recover if caught). Recently, I’ve been thinking seriously about controlling drawdowns and position allocation. I’ve set fixed allocations: Zhejiang Wen at most 40%, Huasheng at most 30%, Yunei at most 10%, and aerospace development and Pingtan at about 60%. The rest are trial and error, with a 1/20 chance of success. Whether with small or large funds, proper position allocation is key. Controlling drawdowns is vital—compound interest is terrifying. Achieving 10% monthly returns can double your capital in seven months! (In a year, five months of gains without losses, and in seven months, reaching 10%). Overall, trading depends first on mindset (big-picture logic), second on discipline (position sizing, stop-loss, drawdown control), third on pattern and technique, and fourth, don’t seek quick profits—only focus on high-confidence trades you understand. Be patient and wait.

Finally, I’ve been trading for six years—from knowing nothing to now having some understanding. Last year’s curve was oscillating, but since December 2022, it’s been trending upward. March saw more fluctuations. I’ve endured the winter and look forward to spring. Keep pushing myself, hoping my curve continues upward! (I’ve recorded some insights from my recent three months of trading. If there’s anything inappropriate, I hope everyone will forgive me, and I also welcome guidance on my shortcomings.) May all of us traders’ curves steadily rise in 2026!