Why do retail investors ultimately drop to zero when trading contracts?
For example, the imitation $doge, although many people can make a few small trades now, is because the market happens to be in a period of fluctuation without a major narrative or significant funds.
But once there is a new catalyst (such as Musk directly promoting payment scenarios on X, a shift in funds towards the Memecoin sector, or even global sentiment hype), it can instantly break through what you call the ceiling.
The market will not always provide retail investors with arbitrage opportunities, so it will lure you into making small profits and large losses. During a bull market, instead of stubbornly holding onto the belief that it will stay within this range, it is better to think more: why is capital choosing to oscillate at this position? What external events could break the oscillation pattern? Once the market deviates, can your swing trading strategy still perform?
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Why do retail investors ultimately drop to zero when trading contracts?
For example, the imitation $doge, although many people can make a few small trades now, is because the market happens to be in a period of fluctuation without a major narrative or significant funds.
But once there is a new catalyst (such as Musk directly promoting payment scenarios on X, a shift in funds towards the Memecoin sector, or even global sentiment hype), it can instantly break through what you call the ceiling.
The market will not always provide retail investors with arbitrage opportunities, so it will lure you into making small profits and large losses. During a bull market, instead of stubbornly holding onto the belief that it will stay within this range, it is better to think more: why is capital choosing to oscillate at this position? What external events could break the oscillation pattern? Once the market deviates, can your swing trading strategy still perform?