why use digital currency People also ask

If you buy everything, even if you don't buy a lot of shares, it will cost a lot of money together. The downside is that when the market plummeted, the funds you could have gradually increased your positions are now taken up and gone.If you are wrong, because your position is small and the loss of a single stock is relatively small, it is easy for you to cut your meat, because you don't feel bad, but if many stocks cut their meat like this, it will be a lot of money, and it will be a big loss.If you want to control the smoothness of the overall account, the position can be appropriately small, such as a medium position, and some funds can be reserved for better opportunities. In this way, you can attack and defend. You expect to go up, but you are not afraid of going down, because you are still a potential buyer, and you can do it more easily.

At the late stage of investment, when your understanding of investment and the logic of stock market operation are very clear, you will take the initiative if you are few but fine, and you no longer need to forcibly control your behavior. At that time, you will naturally choose only those pearls in the crown.Even if there is still some money, which one do you add in the face of so many positions? If you are really given a chance to increase your position by a big drop, you can't achieve the purpose of spreading the cost at all with what little money you have left. Don't say it doesn't make sense to reduce the cost of the whole account, even for the stock you added, it doesn't help much.At the late stage of investment, when your understanding of investment and the logic of stock market operation are very clear, you will take the initiative if you are few but fine, and you no longer need to forcibly control your behavior. At that time, you will naturally choose only those pearls in the crown.

Some people will ask, how much is less? Personally, if your capital does not exceed 1 million and you hold up to 5 or 6 stocks at the same time, that's enough. Even if you average the score, each stock will have nearly 200,000 funds, and 20% of the positions will be enough, regardless of the profit value of a single stock or the contribution to the portfolio.If you are wrong, because your position is small and the loss of a single stock is relatively small, it is easy for you to cut your meat, because you don't feel bad, but if many stocks cut their meat like this, it will be a lot of money, and it will be a big loss.If it seems that there are not so many things you like, only one or two, then just hold these two and never settle for it. Especially when you are particularly optimistic and particularly sure, you can hold these two in a heavy position.