Chapter 34 Chapter Thirty-Four "Going for the Best" and Avoiding Greed in Investment

Monday, October 28, 1929, is an unforgettable day for most Americans.On this day, the U.S. stock market plummeted, affecting the entire Western world and causing an unprecedented economic crisis in Western economic history.This is the famous "Black Monday" in the history of Western economics. It left an indelible and terrible nightmare in the hearts of the entire previous generation of Westerners. In the 19th century, fascist Hitler came to power...  How did all this happen?Let's take a look back in history. From 1922 to 1929, the American economy continued to grow at an unprecedented pace.This period of time is known as the "Seven Years of Prosperity" in American history.These "seven years of prosperity" showed people the prospect of making huge fortunes, which greatly stimulated the ambitions of Wall Street speculators, and turned the prosperous transactions on Wall Street into a kind of frenzied speculation.For a while, almost every American was buying stocks, putting their hard-earned money into the hands of Wall Street stockbrokers.It is said that at that time, the patients waiting in the hospital in the United States discussed the stock market. Even the servants of the dignitaries kept the stock ticker in the kitchen and listened to the stock market while they were busy.Wall Street has undoubtedly become the center of attention.Throughout the country, regardless of his wisdom and bravery, coupled with the hard work of his soldiers, the Song Army won more than 30 battles in a row.However, when the army entered Licheng, the Northern Wei Dynasty sent elite soldiers to intercept it, intending to fight Tan Daoji to the death.At this time, the Song army was exhausted due to the long-distance raids. As the saying goes, "the end of a strong crossbow cannot penetrate Lulu."Tan Daoji, who has a keen eye for everything, has seen all of these things. He made a decisive decision and ordered his subordinates to wait for the opportunity to retreat.

After the Northern Wei army arrived, seeing that the Song army was standing still, they sent a spy to sneak into the Song army's camp to find out the truth of the Song army.And the resourceful Tan Daoji had already expected that the enemy would make such a move.He decided to follow suit.At the moment, he summoned the military ration officer and ordered him to follow the plan.The military ration officer understood and had to leave. That night, the military ration officer issued an order in the tent: "Count the military rations tonight." His men hurriedly brought the military rations and piled them up in the tent.While loading and unloading, several soldiers loudly reported the amount of food, and a statistician next to it registered the number.The spies of the Northern Wei Dynasty couldn't help being surprised when they saw the mountain of grain bags, enough to consume the Song army for several months.He was still afraid of falling into the trap. After the Song army finished registering and carried away the grain bag, he picked up the rice grains that the Song army had spilled on the ground while there was no one around. After confirming that it was undoubtedly grain, he rushed back to the barracks at night and reported to the commander: "The Song army has enough food, I'm afraid it won't withdraw for a while, we should make long-term preparations." The commander of the Wei army made the deployment accordingly.

A few days later, the army of the Northern Wei Dynasty found that there was no movement from the Song army, so they sent a force to attack the Song camp. Unexpectedly, the Song camp was already empty, and the Song army had already withdrawn, but those piles of grain bags were still piled up in the camp. , Open it and see that there is no grain inside, but it is sand.Only then did Wei Jun realize that he had been fooled. It can be seen that no matter what kind of battle, whether it is civil or military, no one has the confidence of "Chang Ying". A famous general like Tan Daoji still has shortness of breath.Small victories and small defeats in the course of the battle are faintly visible and change in an instant. What Gai strives for is not temporary gains or losses, but the final victory. The final victory belongs to those who persevere until the last five minutes.Therefore, "not going" is not a hero, and "going" is not a coward.From this point of view, the strategy of "walking" is not a cowardly act. The more you "walk", the more dangerous you will be, and the greater your career will be. The more experience you accumulate, the easier it is to deal with adversity.The problem lies in being able to escape, so as not to "die before escaping".

The benefits of "going" are like this, but what about the disadvantages of "not going"?There is such an experience saying: "If you should go or not, you will be constrained; if you should stop, you will be disturbed." Greater trouble and danger. In stock market transactions, there are often such investors who always hope that they can sell at a better price than others, or buy at a better price than others.In actual operation, they also have their own target price, that is, at what price to buy, or at what price to sell.But when the market volatility reached the price in their minds, they began to hesitate again, and began to wonder whether their goals were set too low or too high.A friend of the author made a similar mistake when he first joined the stock market.Before making the investment, he conducted a very detailed and serious analysis, and then decided to buy the shares of Yuanye Company at the level of 30 yuan and sell them at the price of 70 yuan.But when he bought the stock, he found that the stock price of Yuanye Company was indeed rising, and it would soon reach his target price of 70 yuan.What needs to be pointed out is that he was engaged in stock trading in 1990 when the Shenzhen stock market was booming. At that time, stock prices in the market rose at a trot speed, corresponding to the rise of a new wave of stock purchases.Many people don't even know what the listed companies do, so they dare to buy their stocks.In this frenzied atmosphere, my friend began to think: "If I sell at 70 yuan and the price continues to rise, wouldn't it be a loss? If I sell at a higher price, wouldn't I make a profit?" More?" So, he changed his original intention and decided to wait for a better price before selling.The stock price of Yuanye Company rose to 75 yuan, and he hoped to sell it again at 80 yuan. When the price rose to 80 yuan, he hoped to sell it again at 85 yuan.He did nothing in this endless greed and desire.However, the stock of Yuanye Company rose to 84 yuan in August, and after a 7.4-fold increase in value within 5 months, it stopped moving.even started to fall.By the time he woke up from his greed and fantasy, the opportunity had already been missed. Since late December, Shenzhen’s stock price began to fall, and it fell faster and faster like a snowball.The author's friend couldn't help beating his chest and feet, regretting that he had lost a good opportunity to make money.Just imagine, if he was not greedy but followed the principle of "walking first", would he still regret it so much?

As an investor, the main purpose of entering the stock market is to obtain profits through investment, so when operating, you always hope that you can do better and earn more.This psychology is understandable.But endless greed may not only cause investors to lose valuable investment opportunities, but may even lead to huge losses for investors.Therefore, we advise investors not to look forward and backward when investing, to be indecisive, and not to be too greedy, so as not to miss the most punctual opportunity.If you encounter the kind of situation encountered by the author's friends in investment, when you have already obtained a lot of benefits instead of pursuing the illusory maximum benefits, you may wish to say to yourself: "Thirty-six strategies, go For the top."