At the beginning of this year, China Central Television's opening year drama "Furious Storm", as its name suggests, received a high rating of 9.1 on Douban, making it a phenomenal drama series. The series even features Gao Qiqiang's "pillow book" "Sun Tzu's Art of War", which is on the best-selling list of book platforms and even sold out.

This all stems from a book list recommended by police officer An Xin to fish dealer Gao Qiqiang in the drama. Among them is' Sun Tzu's Art of War ', which An Xin believes will be helpful for Gao Qiqiang's business. Afterwards, Gao Qiqiang did indeed develop strategies and decision-making methods from it, and his identity underwent a tremendous change.

Subsequently, this book appeared multiple times, with Gao Qiqiang taking notes, citing the original text of the book, and showcasing the already worn out "Sun Tzu's Art of War" to his younger brother. It can be said that Gao Qiqiang's life path is closely linked to this "Sun Tzu's Art of War".

However, if we set aside the distinction between good and evil, Gao Qiqiang's transformation from a fishmonger to a black boss is inseparable from his expertise in strategic research. However, in addition to the decision-making skills he learned from "The Art of War", many investors in the financial industry are also studying how to apply "The Art of War" to trading. Investors familiar with Sun Tzu's Art of War should know that the core of the art of war lies in challenging rules, and the only rule is that there are no rules; The art of war is strategy, strategy is not a small trick, but a great strategy and wisdom, which also shares similarities with trading.

So what are the similarities? Tianyan Jun summarized a few points

1. Plan and then move, know and stop and get

What this means is strategic investment, which translates to testing the strategy first and then making a real offer. Don't start blindly without understanding anything. When making a strategy, the key is to set good stop loss conditions, otherwise you will end up being too busy to get anything.

2. Know oneself and the enemy, and be invincible in all battles; Knowing oneself without knowing the other, one wins and one loses; I don't know who I am, I don't know who I am, and I will be defeated in every battle

This means that investors need to figure out who their opponents are before trading in order to have a military advantage.

If your biggest opponent is yourself, then improve your own conditions first. For example, trading systems, understanding of the market, operational plans, fund volume, etc. Most of the intense trend changes are caused by various melees. No one can say for sure who will laugh until the end, but the end of blind manipulation is cannon fodder.

3. Win by strength over weakness

The entire article of "Sun Tzu's Art of War" talks about fighting battles where the strong prevail over the weak, where there are advantages, the enemy must be eliminated, and where there are disadvantages, the enemy must retreat, or create advantages in local areas to win local victories and expand the results of the war.

The same applies to trading, such as always trading when the expected return is positive and not trading when the expected return is negative; If you have the ability, you can narrow the trading cycle, use stop and stop losses, and create a positive expected return before trading. However, one thing to ensure is that every transaction must have a positive expected return.

4. Go up to attack the enemy, then attack the enemy, then attack the army, and then attack the city

The superior military action is to use strategy to defeat the enemy's strategic intentions or war behavior, followed by diplomacy to defeat the enemy, and once again, to defeat the enemy by force, with the lowest strategy being to attack the enemy's city. Siege is a last resort and there is no way out.

When applying in foreign exchange investment, it is necessary to first grasp the mentality, then the technology, and then the technique, and avoid blind operation.

summary

The market is constantly changing, just like a battlefield without gunsmoke. Upon carefully reviewing the "Art of War" in the history of Chinese war, it is not difficult to find that many of the ideas, laws, principles, and methods systematically elucidated in it have great inspiration and reference significance for our investment in the financial market, and it is also very helpful for traders to make the right choices in the financial market. So if you are an investor, you can try to understand the trading methods by reading the book "Sun Tzu's Art of War", and then achieve the "frenzy" of trading.