Talk about retrading in foreign exchange transactions

The market refers to what we often call the market; the market refers to the meaning of repetition and review. The term recap was first used in the stock market, and with the gradual increase in investment methods, this term has gradually expanded its scope of application, and recap is becoming more and more common in foreign exchange transactions.

The review of foreign exchange transactions refers to reviewing and summarizing the past foreign exchange market situation, and summarizing one's own experience and lessons based on the market conditions that have emerged, in order to better invest in the next transaction.

[Is the review useful?]

Regarding the usefulness of retrading, it can be said that the benevolent see the wisdom. But for most traders with stable profits, retrading is a compulsory course.

existforeign exchange marketIn fact, many foreign exchange traders are not professional foreign exchange traders, and many traders need to balance work, life and trading. In this case, in the usual work and life, a lot of quotes will naturally be missed. For these traders, it is very useful to review the market.

Reviewing doesn't mean looking at the historical market and regretting it, or simply pursuing a new market that may come. The premise of reviving the market should be that the trader has a complete trading plan. The meaning of reviving the market is to test your trading plan and make appropriate corrections. A good trader may complete his trade during the process of reviving the market, and the opening is just a process of execution. This is often said, plan your trade, trade your plan.

Reviewing is like a military exercise. It is impossible to test the effectiveness of my tactics on the battlefield. Reviewing allows traders to confirm their vague ideas and improve their imperfect systems. For example, whether a certain signal is effective or whether a certain epiphany is reasonable can be verified in the replay. Confirm one more detail of your trading plan in the replay, and you will have a better chance of victory in actual combat.

[How to make a review]

Many software will come with the relevant functions of retrading. Taking the most commonly used MT4 as an example, users can choose specific trading products in the historical data for retrading. Traders can choose the retrading model and time period according to their own habits, and make some detailed adjustments.

Reviewing involves a lot of things. Specifically, traders can consider the following aspects:

Historical data - When traders want to have a comprehensive and detailed understanding of a product or industry, they can use historical data review.

Technical review - Technical review is mainly aimed at traders with some experience in the industry. Traders can find their trading records, customize the time period, order details for a week or a month, etc., and review their trades. During this review process, traders can summarize their actions and compare them with their trading plans to see if they have executed their trading plans well, whether their trading systems are defective, etc.

Position and money management - For traders, position retrading is also very important. Traders must first manage their positions well in order to successfully manage their funds, and then guide their future investment and trading. If a trader's position is very random, or even the same variety repeatedly placed orders for a short period of time, it means that he is either a novice who is not short of money or a "gambler" who has lost his eyes. This is not advisable. Therefore, traders should pay attention to whether there is a problem with their position management and whether there is a standard. If not, it needs to be formulated as soon as possible.

Trading system - a complete trading system is very important for traders. Therefore, in the process of retrading, it is also necessary to continuously improve and optimize your trading system, and at the same time do relevant statistical work. Retrading is a static verification process. Trading itself is a probabilistic activity, and statistical work is very important. When the system is effective, doing a good job of recap meeting greatly enhances traders' confidence.

Mentality review - Mentality is an important factor that cannot be ignored in trading. Mentality review mainly refers to the trader's torture according to his usual supervisor's questions, such as whether he has strictly implemented the trading plan, whether he has followed the rules specified by himself, whether he has done more unplanned things on a whim and reckless, etc. Traders should pursue stable profits, not because of short-term paper profits and losses. Expected profits are a trap that lures you to make wrong decisions. Human weaknesses such as greed and randomness will lead traders to failure. Traders should focus on doing the right thing, formulating a plan that is conducive to account appreciation and implementing it properly. This is something to be happy about.

[Why is the replay result beautiful, and I kneel in actual combat]

This conclusion is not groundless, and it is also the conclusion that some traders have summed up in their own trading process. And the reasons for this situation may include subjective and objective reasons. Objectively speaking, the market is uncertain, and we have mastered all the knowledge and skills, but it is also possible to always encounter unexpected situations with extremely poor luck. Recurring is a growth process that summarizes and sorts out ourselves and accumulates experience, and does not provide a guarantee of profitability, but it is even more unrealistic to make money by luck without any effort. Subjectively, traders may also make some mistakes, which we can avoid:

Only watch thieves eat meat, not watch thieves get beaten: people tend to see what they want to see. During the replay, traders may consciously or unconsciously choose their own system to trade effectively, and take the indicators they have selected and the system they have developed to the big market or the relatively easy market to verify. Then I found that wow, this is really easy to use, and then I went to the real market to apply, but I don't know that this obvious market is only a few, and the volatile market is more common. This kind of replay method is actually no different from making it behind closed doors.

The number of reorders is not enough: the reorder results are beautiful, not necessarily because the system is really effective, but also because the number of traders reorder is too small. A stable trading system must be verified over time, and the sample size is too low to be convincing. If you only look at the disk for a few days or even a few hours, you will feel that your verification has been successful, but it may have no effect at all when applied to the real market.

Mental instability: Another reason is that the mentality of the real market is affected. Reset trading, simulated trading, etc. can eventually solve technical problems. They can help us correct the trading system and determine trading signals, but they cannot help us overcome mental weaknesses. Reset trading is a rational analysis, but in trading, you may be tempted and disturbed by all kinds of temptations. After all, the real market is your own money, which is why the trading plan is very important. It is to avoid our impulsive emotions.

[Summary]

In fact, there are not many skills to speak of in retrading. It is more about seeing who can calm down and work hard to reopen. The eagerness for quick success is the main reason why many people lose money. Investing is a cautious thing, and trading is never just a test of a trader's skills, but a comprehensive consideration of various aspects such as technology, mentality, and pattern.