止损=再生（Stop loss = regeneration）.docVIP

止损=再生（Stop loss = regeneration） Stop loss = regeneration Alligator law Two, stop reasons Three, retail patent Four. Learn to short Five, good at forgetting Six, check up and win In seven, the stop method Eight, reduce the occurrence of stop loss Alligator law As for the importance of stops, professionals often use the alligator rule. The crocodiles original idea is: suppose a crocodile bite on your foot, and if you try to break free of your feet with your hands, the crocodile will bite your feet and hands at the same time. The more you struggle, the more you bite. So, in case the crocodile bites you, your only chance is to sacrifice one foot. In the stock market, the law of the crocodile is: when you find that your trading deviates from the direction of the market, you must stop immediately, there must be no delay, you can not have any luck. Crocodile eating sounds too cruel, but the stock market is actually a cruel place, every day some people have been swallowed up or disappeared. Look at a simple set of numbers: when you lose money from 100 thousand to 90 thousand, the loss rate is 1 / 10 = 10%, you want to be restored from 90 thousand to 100 thousand to win rate is only 1 / 9 = 11.1%. If you lose $100 thousand from 75 thousand, and the loss rate is 25%, youll need 33.3% to recover the winning rate. If you lose 50 thousand from 100 thousand, and the loss rate is 50%, you will need 100% to recover the winning rate. In the market, is not difficult to find a 50% decline in stocks, and to ride a horse and sit up 100%, probably only mainly rely on luck. As the saying goes, if you keep green mountains, you will not be afraid of firewood.. Stop loss means that you can survive in the market for a long time. Some even say stop loss = stop Two, stop reasons There are two reasons for a stop loss. The first is subjective decision-making errors. Every investor who enters the stock market has to admit that he may make mistakes at any moment, which is a very important concept.