Many people ask me how to avoid liquidation in contracts. To be honest, this matter is essentially about playing probabilities.

Follow the trend to increase your chances of winning. But just looking at the right direction is not enough—if you don't manage your position well, a single pullback can cause you to lose your mindset, ultimately leading to stopping out at the lowest point. I've seen this happen too many times. Want to make stable profits from trading? The difficulty level is no less than that of going to heaven.

You need to first have a cognitive judgment on the overall direction, right? Then use technical indicators to determine entry and exit points. It sounds simple, but in reality, it's a systematic job: don't let emotions get the better of you, maintain a steady mindset, keep your position reasonable, and set your take-profit and stop-loss levels in advance. Missing any link is unacceptable; any shortcoming can lead to failure.

Before opening a position each time, I now force myself to review—what caused the previous loss? Was it impulsive entry? Greed for more without taking profits? I record these pitfalls and go through them in my mind before the next operation.

There is also an iron rule: set a daily profit target, and stop once you reach it; set a maximum loss limit, and stop if it is triggered. Don't think you can win all the time; maintaining rationality is more important than anything else.

In simple terms, trading requires a bit of dialectical thinking and plain wisdom. You need to have a steady anchor in your mind; don’t just chase after things when they go up and panic when they go down. If you really had a stable profit system, how could you end up in a situation of liquidation? These are all pitfalls I've encountered, and I hope they can help friends who are still exploring.