Most traders get one thing wrong—they think risk appears at the moment of loss, but in fact, it’s decided the moment you press the buy button.

Why do some people achieve consistent profits while others frequently get liquidated? The core difference lies in their understanding of risk.

In the beginner stage, you only know that risk exists, and that’s it. The second stage involves learning practical techniques like stop-loss, light positions, and scaling in. But the real watershed is the third stage—traders who understand that risk and reward are equally important are the ones starting to have some form. The top players? They’ve long ingrained in their bones that “uncertainty is the eternal essence of the market.”

You’ll find that experts never blindly chase highs or sell lows. They observe every candlestick and every fluctuation but don’t go crazy over them. Their mindset is straightforward: find certainty within uncertainty, and withdraw immediately when certainty disappears.

In trading, no one can live long-term by just riding a wave of quick gains. That’s a sprinting mentality. True winners play the marathon—systematic, patterned, strategic—all built around “living long.”

Opportunities are everywhere, but so are risks. How much risk you can understand essentially determines how much you can earn. Before placing your next order, ask yourself one question: can I withstand the worst-case scenario? The answer to this question often decides your trading fate.