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In the world of contract trading, making money and losing money often come down to a single thought. I turned 5,000U into 200,000U, not by luck, but by engraving five golden rules in my mind, each one distilled from painful lessons.
Many people look at contracts with shining eyes—200x leverage! A 1% move can turn into ten times profit! But this sword is also ruthless; if used poorly, it can lead to liquidation immediately. My approach is to split 5,000U into 20 parts, each 250U, and try 200x leverage. If the direction is correct, the account skyrockets; if wrong, that part is wiped out. But because I strictly control my positions, I’ve endured countless mistakes and finally lived to see the day I win.
**Rule 1: Stop-loss must be executed without hesitation.** Many always think "just hold on a bit longer to break even," but the market never follows your script. Once you set a stop-loss point, you must cut it without hesitation. Losing a small amount is better than liquidation. Often, preserving your principal means you’ve already won more than most.
**Rule 2: Exit immediately after five consecutive losses.** During volatile markets, stubbornly holding on is like giving money to the market makers. My method is to close the software and take a walk after five wrong trades, giving my mind time to cool down. When I reopen the next day, I often see things more clearly.
**Rule 3: Take profits as soon as you make money.** The numbers in your account are like flowers in a mirror—don’t leave them unclaimed. My simple rule: once the accumulated profit reaches 5,000U, withdraw at least 3,000U to your bank card. Only the money truly put into your wallet counts as your profit.
**Rule 4: Only trade when there is a clear trend.** In a trending market, 200x leverage is like an automatic ATM, but in a choppy market, it becomes a meat grinder. When the direction isn’t clear, better to stay on the sidelines and wait for a trend to form before striking hard.
**Rule 5: Always keep your position light.** Going all-in is the mindset of a gambler. Those who can truly go far start by surviving—only risking 250U per trade. If you can afford to lose, you can endure until the moment you win. The benefit of a light position is that your hands won’t shake, your eyes won’t blur, and your judgment and execution can be truly decisive.
These five rules sound simple, but actually doing them is very difficult. Most people fail due to patience, greed, and fear.