In a bull market, making money seems easy, and it appears that buying any asset can yield profits. But in reality, it’s not that simple.
You need to be clear about when and where to enter the market, as well as when to chase prices. Proper allocation of funds is crucial because the use of funds not only incurs your opportunity cost but also involves the cost of capital. You must also gain insight into market sector rotation and understand which areas will become the next hotspots.
Even when everyone is making a fortune, you still need to control your greed and avoid excessive leverage. You must clearly understand that the market will not always "keep rising," so knowing when to exit is equally important.
In a bull market, emotional control becomes more critical than ever. The market changes rapidly, and you need to maintain a high level of sensitivity and clear judgment. You need to accurately grasp when to go with the flow and when to settle for less. Because in the short term, these decisions directly affect your investment performance.
The so-called "making money is easy" is actually a reminder that opportunities should be within reach. However, the only thing that makes it difficult for you to make money in the market is your own perception of risk and emotional fluctuations.