
Rate Of Return
CommemorativeMoney made by luck will inevitably be lost in the end. The core issue is that profits and losses share the same source, and there is a mismatch in understanding.
Luck is random and uncontrollable; you cannot replicate it, nor do you know why you profited. After making money, it's easy to mistake luck for ability, leading to blind confidence, chasing rallies with a full position, and ignoring risk control. The market values fundamentals in the long term but relies on sentiment in the short term. Gains from luck are merely temporarily held. Without a system, common sense, or discipline, a single market reversal will wipe out all profits.
Only money earned through understanding and discipline can be held onto in the long run. Luck can only give you a ride; ability is what accompanies you for the entire journey.
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