Getting the rhythm right allows you to dance on the edge of a blade.

Many people I’ve seen entering the world of contract trading are driven by the dream of getting rich overnight—three days of enthusiasm, two days of confusion, and one day wiped out by a margin call. Holding the phone in hand, palms sweating—I've been there too.

When I started with 8,000 yuan, I also experienced that tense moment just one candle away from liquidation. Fortunately, I survived and became more stable over time. Not because I’m smarter, but because I finally understood: contracts themselves don’t kill you; reckless operations do.

**Why are you stuck in the vicious cycle of margin calls and reinvestment?**

The root causes of losses for newcomers are just a few—emotional trading, lack of knowledge, blindly following the crowd, and over-leverage.

Seeing the market surge, rushing in only to buy at the top; seeing a decline, panicking and selling at the bottom. Being led by market sentiment, losses are inevitable. Even more dangerous is not setting stop-losses, not executing plans when prices fall, and instead fantasizing about recovering losses. The result? Increasing losses until finally hitting zero.

Many people haven’t calculated this: losing 90% means you need to multiply your capital by nine to break even. This mathematical reality determines that once you suffer a significant loss, the difficulty of bouncing back increases exponentially.

**My turning point from near liquidation to stable profit**

The real start of making money was after I understood one thing: the market relies not on "courage," but on "knowledge."

Learn to use technical indicators, such as Bollinger Bands, support and resistance levels—these are tools to reduce losses. The key is disciplined execution—stop-loss when needed, hold positions when appropriate, and don’t let emotions interfere with decisions.

The essence of contract trading is risk management. Those who understand how to control their losses will naturally find opportunities to turn things around.