{"id":145667,"date":"2018-09-06T17:44:27","date_gmt":"2018-09-06T07:44:27","guid":{"rendered":"https:\/\/www.gomarketingteam.com\/auarticles\/the-art-of-war-trading-part-3\/"},"modified":"2021-03-09T14:41:51","modified_gmt":"2021-03-09T03:41:51","slug":"the-art-of-war-trading-part-3","status":"publish","type":"post","link":"https:\/\/www.gomarkets.com\/en\/articles\/trading-strategies\/the-art-of-war-trading-part-3\/","title":{"rendered":"The Art Of War &amp; Trading: Part 3"},"content":{"rendered":"<h3><strong>\u519b\u5f62\u7bc7 &#8211; <\/strong>The Chapter of Tactical Dispositions<\/h3>\n<h4 style=\"text-align: left;\"><img loading=\"lazy\" decoding=\"async\" class=\"size-large wp-image-77948 aligncenter\" src=\"https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_1134783509-1024x536.jpg\" alt=\"\" width=\"1024\" height=\"536\" srcset=\"https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_1134783509-1024x536.jpg 1024w, https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_1134783509-300x157.jpg 300w, https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_1134783509-768x402.jpg 768w, https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_1134783509-600x314.jpg 600w, https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_1134783509.jpg 1200w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/h4>\n<p style=\"text-align: left;\">Original Text: <strong>\u5584\u6218\u8005\uff0c\u5148\u4e3a\u4e0d\u53ef\u80dc\uff0c\u4ee5\u5f85\u654c\u4e4b\u53ef\u80dc\u3002<\/strong><br \/>\nTranslation: <em>Good commanders first evaluate the possibility of being defeated and then wait for an opportunity to defeat the enemy.<\/em><\/p>\n<p>Don\u2019t you think this sounds very similar to using a trading stop-loss?<\/p>\n<p>The concept of setting up a stop-loss is to estimate and prepare for the worst case scenario. As a commander, Master Zhu would suggest you treat the money in your account as your soldiers and take care of their lives.<\/p>\n<p>Let&#8217;s say you&#8217;re on the battlefield and you strategize that a plan of attack might sacrifice 50% of your army, that&#8217;s 50% of your soldiers&#8217; lives (i.e., 50% of your account balance), surely no respected commander would approve that kind of attack.<\/p>\n<p>However, in forex trading, some people will quickly lose 50% of their money in a short period. In Sun Zhu&#8217;s eyes, this would make for a very unqualified commander.<\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"wp-image-77945 alignleft\" src=\"https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_713041960-1024x1024.jpg\" alt=\"\" width=\"309\" height=\"309\" srcset=\"https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_713041960-1024x1024.jpg 1024w, https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_713041960-150x150.jpg 150w, https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_713041960-300x300.jpg 300w, https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_713041960-768x768.jpg 768w, https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_713041960-600x600.jpg 600w, https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_713041960.jpg 1080w\" sizes=\"auto, (max-width: 309px) 100vw, 309px\" \/><\/p>\n<p>&nbsp;<\/p>\n<p>Therefore, placing a stop-loss that could cause you to lose 50% in a single trade is a poor decision. Most experienced traders might suggest a 2%~5% stop is a wiser move. Even a 10% stop may be considered quite extreme. Would you risk the lives of 10% of your infantry? Some might argue that it depends on the circumstances, either way, the same level of consideration must be given in trading to have any chance of success.<\/p>\n<p>Also, most traders lose 50% of their account or more because they fail to place any stop-loss measures at all. Under the context of the Art Of War, this means you never bothered to estimate the worst scenario before you attacked. In Master Sun\u2019s eyes, that is extremely unacceptable.<\/p>\n<h3><\/h3>\n<p>&nbsp;<\/p>\n<p style=\"text-align: left;\"><strong><span style=\"float: none; background-color: transparent; color: #333333; cursor: text; font-family: Georgia,'Times New Roman','Bitstream Charter',Times,serif; font-size: 16px; font-style: normal; font-variant: normal; font-weight: 400; letter-spacing: normal; text-align: left; text-decoration: none; text-indent: 0px;\">Original Text: <\/span>\u4e0d\u53ef\u80dc\u5728\u5df1\uff0c\u53ef\u80dc\u5728\u654c\u3002<\/strong><br \/>\n<span style=\"float: none; background-color: transparent; color: #333333; cursor: text; font-family: Georgia,'Times New Roman','Bitstream Charter',Times,serif; font-size: 16px; font-style: normal; font-variant: normal; font-weight: 400; letter-spacing: normal; text-align: left; text-decoration: none; text-indent: 0px;\">Translation:<\/span> <em>The ability to secure ourselves against defeat lies in our own hands. The opportunity to defeat the enemy is provided by themselves.<\/em><\/p>\n<p>A very remarkable concept.<\/p>\n<p>Many investors believe they can actively beat the market, which is wrong. The market is far stronger and smarter beast than the average person.<br \/>\nInstead of trying to &#8220;beat&#8221; the market, more time and effort should go into improving yourself. For example, try focussing on how to better to defend, such as setting up suitable stop-losses as the previous saying suggests.<\/p>\n<p>Once you&#8217;ve developed the ability to protect your soldiers, then all you need is to do is wait for an opportune time to attack (you can observe it from chart patterns), then and only then, will you be trading like an intelligent commander, prepared to lose a battle and win the war.<\/p>\n<p>&nbsp;<\/p>\n<p style=\"text-align: left;\"><strong><span style=\"float: none; background-color: transparent; color: #333333; cursor: text; font-family: Georgia,'Times New Roman','Bitstream Charter',Times,serif; font-size: 16px; font-style: normal; font-variant: normal; font-weight: 400; letter-spacing: normal; text-align: left; text-decoration: none; text-indent: 0px;\">Original Text: <\/span>\u6545\u5584\u6218\u8005\uff0c\u80fd\u4e3a\u4e0d\u53ef\u80dc\uff0c\u4e0d\u80fd\u4f7f\u654c\u4e4b\u5fc5\u53ef\u80dc\u3002<\/strong><br \/>\n<strong><span style=\"float: none; background-color: transparent; color: #333333; cursor: text; font-family: Georgia,'Times New Roman','Bitstream Charter',Times,serif; font-size: 16px; font-style: normal; font-variant: normal; font-weight: 400; letter-spacing: normal; text-align: left; text-decoration: none; text-indent: 0px;\">Translation:<\/span> <\/strong><em>Thus, a good commander can secure himself against defeat but cannot make sure of defeating the enemy.<\/em><\/p>\n<p>Master Sun corrects us here on another common misunderstanding.<img loading=\"lazy\" decoding=\"async\" class=\"wp-image-77944 alignright\" src=\"https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_537865666-945x1024.jpg\" alt=\"\" width=\"466\" height=\"505\" srcset=\"https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_537865666-945x1024.jpg 945w, https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_537865666-277x300.jpg 277w, https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_537865666-768x832.jpg 768w, https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_537865666-600x650.jpg 600w, https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_537865666.jpg 1200w\" sizes=\"auto, (max-width: 466px) 100vw, 466px\" \/><\/p>\n<p>Nowadays many fund managers will brag about their \u201ctarget profit\u201d to attract your attention. As an individual investor, you might be vulnerable to being misled and start to think \u201cmaybe it&#8217;s good to set a target profit for my investing too?.\u201d Well, Sun Tzu would argue that this is wrong.<\/p>\n<p>If you set a target return for yourself and you are unable to achieve it, you will most likely become hurried and vulnerable. Imagine your basketball team is losing and it&#8217;s the last few minutes of the game. How many times have we seen teams abandon their defensive tactics, throwing caution to the wind and put everything they have into the final attack?.<\/p>\n<p>Perhaps having Michael Jordan on the court may help, but ultimately, this scenario doesn&#8217;t end well for those losing teams. With little to no defense in place, the opposing team will typically score more points and much more easily than before making matters worse. The same logic applies to the financial markets. There is a general tendency to increase your position and attack more at the worst possible time, and the market will more often punish those who fail to defend their position adequately.<\/p>\n<p><strong><img loading=\"lazy\" decoding=\"async\" class=\"wp-image-77947 alignleft\" src=\"https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_1017923719-945x1024.jpg\" alt=\"\" width=\"457\" height=\"495\" srcset=\"https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_1017923719-945x1024.jpg 945w, https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_1017923719-277x300.jpg 277w, https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_1017923719-768x832.jpg 768w, https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_1017923719-600x650.jpg 600w, https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_1017923719.jpg 1200w\" sizes=\"auto, (max-width: 457px) 100vw, 457px\" \/><\/strong><\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p style=\"text-align: center;\"><strong><span style=\"float: none; background-color: transparent; color: #333333; cursor: text; font-family: Georgia,'Times New Roman','Bitstream Charter',Times,serif; font-size: 16px; font-style: normal; font-variant: normal; font-weight: 400; letter-spacing: normal; text-align: left; text-decoration: none; text-indent: 0px;\">Original Text: <\/span>\u6545\u66f0\uff1a\u80dc\u53ef\u77e5\uff0c\u800c\u4e0d\u53ef\u4e3a\u3002<\/strong><br \/>\n<span style=\"float: none; background-color: transparent; color: #333333; cursor: text; font-family: Georgia,'Times New Roman','Bitstream Charter',Times,serif; font-size: 16px; font-style: normal; font-variant: normal; font-weight: 400; letter-spacing: normal; text-align: left; text-decoration: none; text-indent: 0px;\">Translation:<\/span> <em>Hence the saying: You may know how to win, but sometimes you are not able to do it.<\/em><\/p>\n<p>&nbsp;<\/p>\n<p style=\"text-align: center;\"><strong><span style=\"float: none; background-color: transparent; color: #333333; cursor: text; font-family: Georgia,'Times New Roman','Bitstream Charter',Times,serif; font-size: 16px; font-style: normal; font-variant: normal; font-weight: 400; letter-spacing: normal; text-align: left; text-decoration: none; text-indent: 0px;\">Original Text: <\/span>\u89c1\u80dc\u4e0d\u8fc7\u4f17\u4eba\u4e4b\u6240\u77e5\uff0c\u975e\u5584\u4e4b\u5584\u8005\u4e5f\uff1b<\/strong><br \/>\n<span style=\"float: none; background-color: transparent; color: #333333; cursor: text; font-family: Georgia,'Times New Roman','Bitstream Charter',Times,serif; font-size: 16px; font-style: normal; font-variant: normal; font-weight: 400; letter-spacing: normal; text-align: left; text-decoration: none; text-indent: 0px;\">Translation:<\/span> <em>To see victory only when it is within the ken of the common herd is not the acme of excellence.<\/em><\/p>\n<p>&nbsp;<\/p>\n<p style=\"text-align: center;\"><strong><span style=\"float: none; background-color: transparent; color: #333333; cursor: text; font-family: Georgia,'Times New Roman','Bitstream Charter',Times,serif; font-size: 16px; font-style: normal; font-variant: normal; font-weight: 400; letter-spacing: normal; text-align: left; text-decoration: none; text-indent: 0px;\">Original Text: <\/span>\u6218\u80dc\u800c\u5929\u4e0b\u66f0\u5584\uff0c\u975e\u5584\u4e4b\u5584\u8005\u4e5f\u3002<\/strong><br \/>\n<span style=\"float: none; background-color: transparent; color: #333333; cursor: text; font-family: Georgia,'Times New Roman','Bitstream Charter',Times,serif; font-size: 16px; font-style: normal; font-variant: normal; font-weight: 400; letter-spacing: normal; text-align: left; text-decoration: none; text-indent: 0px;\">Translation:<\/span> <em>Neither is it the acme of excellence if you win and the whole world says, \u201cWell done!\u201d to you.<\/em><\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>In this paragraph, Sun illustrates another common misunderstanding by the general public.<\/p>\n<p>You probably heard of the 20-80 rule, which states that roughly 20% of the population controls 80% of the global wealth. You may have also heard that 20% of the population will win at trading while the other 80% will lose.<\/p>\n<p>When it comes to trading, this theory suggests the most popular idea about price direction will cause you to lose money in the long run. Thus, if your opinion falls within the common herd, then perhaps you need further training as a trader.<\/p>\n<p>Many <a href=\"https:\/\/www.gomarkets.com\/introduction-to-forex\/\">beginner traders<\/a> will follow those famous pundits on the major television stations. You know the ones I&#8217;m talking about, those who claim they can predict the market direction with 80% accuracy and never fail. If we consider the 20-80 rule above, then this claim starts to sound quite absurd or should at least raise some internal alarm bells.<\/p>\n<p>Most of these analysts have a claim to fame because they successfully predicted one or two big financial events, say the start of the 2008 crisis. Does this mean they can accurately predict every other upcoming event with such accuracy? Of course not, nobody can. Hence, Sun Zhu said those who won the applause of the whole world might not be as good as you think.<\/p>\n<p>&nbsp;<\/p>\n<p style=\"text-align: left;\"><strong><span style=\"float: none; background-color: transparent; color: #333333; cursor: text; font-family: Georgia,'Times New Roman','Bitstream Charter',Times,serif; font-size: 16px; font-style: normal; font-variant: normal; font-weight: 400; letter-spacing: normal; text-align: left; text-decoration: none; text-indent: 0px;\">Original Text: <\/span>\u6545\u4e3e\u79cb\u6beb\u4e0d\u4e3a\u591a\u529b\uff0c\u89c1\u65e5\u6708\u4e0d\u4e3a\u660e\u76ee\uff0c\u95fb\u96f7\u9706\u4e0d\u4e3a\u806a\u8033\u3002<img loading=\"lazy\" decoding=\"async\" class=\"wp-image-77953 alignright\" src=\"https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_72168664-1024x1024.jpg\" alt=\"\" width=\"275\" height=\"275\" srcset=\"https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_72168664-1024x1024.jpg 1024w, https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_72168664-150x150.jpg 150w, https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_72168664-300x300.jpg 300w, https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_72168664-768x768.jpg 768w, https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_72168664-600x600.jpg 600w, https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_72168664.jpg 1200w\" sizes=\"auto, (max-width: 275px) 100vw, 275px\" \/><\/strong><\/p>\n<p style=\"text-align: left;\"><span style=\"float: none; background-color: transparent; color: #333333; cursor: text; font-family: Georgia,'Times New Roman','Bitstream Charter',Times,serif; font-size: 16px; font-style: normal; font-variant: normal; font-weight: 400; letter-spacing: normal; text-align: left; text-decoration: none; text-indent: 0px;\">Translation:<\/span> <em>To lift a hair is no sign of immense strength; to see the sun and moon is no sign of sharp sight; to hear the noise of thunder is no sign of a quick ear.<\/em><\/p>\n<p>&nbsp;<\/p>\n<p style=\"text-align: left;\"><strong><span style=\"float: none; background-color: transparent; color: #333333; cursor: text; font-family: Georgia,'Times New Roman','Bitstream Charter',Times,serif; font-size: 16px; font-style: normal; font-variant: normal; font-weight: 400; letter-spacing: normal; text-align: left; text-decoration: none; text-indent: 0px;\">Original Text: <\/span>\u53e4\u4e4b\u6240\u8c13\u5584\u6218\u8005\uff0c\u80dc\u4e8e\u6613\u80dc\u8005\u4e5f\u3002<\/strong><\/p>\n<p style=\"text-align: left;\"><span style=\"float: none; background-color: transparent; color: #333333; cursor: text; font-family: Georgia,'Times New Roman','Bitstream Charter',Times,serif; font-size: 16px; font-style: normal; font-variant: normal; font-weight: 400; letter-spacing: normal; text-align: left; text-decoration: none; text-indent: 0px;\">Translation:<\/span> <em>Thus the ancients said an excellent winner is one who not only wins but excels in winning with ease.<\/em><\/p>\n<h3><strong><img loading=\"lazy\" decoding=\"async\" class=\"wp-image-77951 alignleft\" src=\"https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_1031024377-1024x1024.jpg\" alt=\"\" width=\"309\" height=\"309\" srcset=\"https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_1031024377-1024x1024.jpg 1024w, https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_1031024377-150x150.jpg 150w, https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_1031024377-300x300.jpg 300w, https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_1031024377-768x768.jpg 768w, https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_1031024377-600x600.jpg 600w, https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_1031024377.jpg 1200w\" sizes=\"auto, (max-width: 309px) 100vw, 309px\" \/><\/strong><\/h3>\n<h3><\/h3>\n<h3><\/h3>\n<p>&nbsp;<\/p>\n<p style=\"text-align: left;\"><strong><span style=\"float: none; background-color: transparent; color: #333333; cursor: text; font-family: Georgia,'Times New Roman','Bitstream Charter',Times,serif; font-size: 16px; font-style: normal; font-variant: normal; font-weight: 400; letter-spacing: normal; text-align: left; text-decoration: none; text-indent: 0px;\">Original Text: <\/span>\u6545\u5584\u6218\u8005\u4e4b\u80dc\u4e5f\uff0c\u65e0\u667a\u540d\uff0c\u65e0\u52c7\u529f\uff0c<\/strong><\/p>\n<p style=\"text-align: left;\"><span style=\"float: none; background-color: transparent; color: #333333; cursor: text; font-family: Georgia,'Times New Roman','Bitstream Charter',Times,serif; font-size: 16px; font-style: normal; font-variant: normal; font-weight: 400; letter-spacing: normal; text-align: left; text-decoration: none; text-indent: 0px;\">Translation:<\/span> <em>Hence his victories bring him neither reputation of wisdom nor credit for courage.<\/em><\/p>\n<p><strong><span style=\"float: none; background-color: transparent; color: #333333; cursor: text; font-family: Georgia,'Times New Roman','Bitstream Charter',Times,serif; font-size: 16px; font-style: normal; font-variant: normal; font-weight: 400; letter-spacing: normal; text-align: left; text-decoration: none; text-indent: 0px;\">Original Text: <\/span>\u6545\u5176\u6218\u80dc\u4e0d\u5fd2\u3002\u4e0d\u5fd2\u8005\uff0c\u5176\u6240\u63aa\u80dc\uff0c\u80dc\u5df2\u8d25\u8005\u4e5f\u3002<\/strong><\/p>\n<p><span style=\"float: none; background-color: transparent; color: #333333; cursor: text; font-family: Georgia,'Times New Roman','Bitstream Charter',Times,serif; font-size: 16px; font-style: normal; font-variant: normal; font-weight: 400; letter-spacing: normal; text-align: left; text-decoration: none; text-indent: 0px;\">Translation:<\/span> <em>He wins his battles by making no mistakes. Making no mistakes is what establishes the certainty of victory, for it means conquering an enemy that is already defeated.<\/em><\/p>\n<p>&nbsp;<\/p>\n<p>Here Sun describes for us what kind of person can be known as an \u201cexcellence winner.\u201d<\/p>\n<p>This person has trading success based on defense. They make minimal mistakes (i.e., choosing the right time, trend and setting up sensible stop-losses) they also understand that some losses are inevitable while protecting their account for future battles. This kind of success is often very low-key. It&#8217;s unlikely to receive any applause or stardom because he or she is not looking to parade their wins in public as it&#8217;s all part of a more important strategy.<\/p>\n<p>&nbsp;<\/p>\n<p style=\"text-align: left;\"><span style=\"text-align: left; color: #333333; text-indent: 0px; letter-spacing: normal; font-family: Georgia,'Times New Roman','Bitstream Charter',Times,serif; font-size: 16px; font-style: normal; font-variant: normal; text-decoration: none; cursor: text; float: none; background-color: transparent;\">Original Text:<\/span> <strong>\u6545\u5584\u6218\u8005\uff0c\u7acb\u4e8e\u4e0d\u8d25\u4e4b\u5730\uff0c\u800c\u4e0d\u5931\u654c\u4e4b\u8d25\u4e5f\u3002<\/strong><img loading=\"lazy\" decoding=\"async\" class=\"wp-image-77942 alignright\" src=\"https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_234977269-1-1024x536.jpg\" alt=\"\" width=\"561\" height=\"293\" srcset=\"https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_234977269-1-1024x536.jpg 1024w, https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_234977269-1-300x157.jpg 300w, https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_234977269-1-768x402.jpg 768w, https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_234977269-1-600x314.jpg 600w, https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_234977269-1.jpg 1200w\" sizes=\"auto, (max-width: 561px) 100vw, 561px\" \/><\/p>\n<p style=\"text-align: left;\"><span style=\"text-align: left; color: #333333; text-indent: 0px; letter-spacing: normal; font-family: Georgia,'Times New Roman','Bitstream Charter',Times,serif; font-size: 16px; font-style: normal; font-variant: normal; text-decoration: none; cursor: text; float: none; background-color: transparent;\">Translation:<\/span> <em>Hence a skillful commander puts himself into a position which makes it impossible for being defeated and does not miss the moment of defeating the enemy.<\/em><\/p>\n<p>&nbsp;<\/p>\n<p style=\"text-align: left;\"><span style=\"text-align: left; color: #333333; text-indent: 0px; letter-spacing: normal; font-family: Georgia,'Times New Roman','Bitstream Charter',Times,serif; font-size: 16px; font-style: normal; font-variant: normal; text-decoration: none; cursor: text; float: none; background-color: transparent;\">Original Text: <\/span><strong>\u662f\u6545\u80dc\u5175\u5148\u80dc\u800c\u540e\u6c42\u6218\uff0c\u8d25\u5175\u5148\u6218\u800c\u540e\u6c42\u80dc\u3002<\/strong><\/p>\n<p><span style=\"text-align: left; color: #333333; text-indent: 0px; letter-spacing: normal; font-family: Georgia,'Times New Roman','Bitstream Charter',Times,serif; font-size: 16px; font-style: normal; font-variant: normal; text-decoration: none; cursor: text; float: none; background-color: transparent;\">Translation:<\/span> <em>Thus a victorious strategist only seeks battle after the defense is guaranteed, whereas a losing strategist first encounters a fight and then looks for victory.<\/em><\/p>\n<p>&nbsp;<\/p>\n<p>These two sentences summarized what we had covered today.<\/p>\n<ol>\n<li>First, make sure it is impossible to be defeated (by managing your positions and stop-losses well). In essence, this means even though losses are possible, blowing up an account on a single trade is not.<\/li>\n<li>Seek the most opportune time for a battle (Open a position). Don&#8217;t just go with the crowd. Do your analysis and study wisely.<\/li>\n<li>Once opened, closely monitor the five elements of the markets ( we covered this in <a href=\"https:\/\/www.gomarkets.com\/the-art-of-war-and-trading-part-1\/\">part 1<\/a> of this series), then you are heading towards victory.<\/li>\n<\/ol>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"wp-image-77949 aligncenter\" src=\"https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_377102467-1-1024x536.jpg\" alt=\"\" width=\"742\" height=\"388\" srcset=\"https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_377102467-1-1024x536.jpg 1024w, https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_377102467-1-300x157.jpg 300w, https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_377102467-1-768x402.jpg 768w, https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_377102467-1-600x314.jpg 600w, https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_377102467-1.jpg 1200w\" sizes=\"auto, (max-width: 742px) 100vw, 742px\" \/><\/p>\n<p><strong>By Lanson Chen \u2013 Analyst<\/strong><\/p>\n<p><a href=\"https:\/\/www.linkedin.com\/in\/lanson-chen-4312a856\/\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-77308\" src=\"https:\/\/wwwgomarketscomau-zu9wrxdiii.stackpathdns.com\/wp-content\/uploads\/2018\/08\/linkedin-iconsmall-e1535472223476.png\" alt=\"\" width=\"26\" height=\"26\" \/><\/a> <a href=\"https:\/\/www.linkedin.com\/in\/lanson-chen-4312a856\/\">Lanson Chen<\/a><br \/>\n<a href=\"https:\/\/wwwgomarketscomau-zu9wrxdiii.stackpathdns.com\/wp-content\/uploads\/2018\/08\/twitter.png\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-77209\" src=\"https:\/\/wwwgomarketscomau-zu9wrxdiii.stackpathdns.com\/wp-content\/uploads\/2018\/08\/twitter.png\" alt=\"\" width=\"26\" height=\"23\" \/><\/a><a href=\"https:\/\/twitter.com\/LansonChen\">@LansonChen<\/a><\/p>\n<p>&nbsp;<\/p>\n<p><em><i><span lang=\"EN-GB\">This article is written by a Wixad Analyst and is based on their independent analysis. They remain fully responsible for the views expressed as well as any remaining error or omissions. <a href=\"https:\/\/www.gomarkets.com\/forex-cfd\/\">Trading Forex<\/a> and Derivatives carries a high level of risk.<\/span><\/i><\/em><\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>\u519b\u5f62\u7bc7 &#8211; The Chapter of Tactical Dispositions Original Text: \u5584\u6218\u8005\uff0c\u5148\u4e3a\u4e0d\u53ef\u80dc\uff0c\u4ee5\u5f85\u654c\u4e4b\u53ef\u80dc\u3002 Translation: Good commanders first evaluate the possibility of being defeated and then wait for an opportunity to defeat the enemy. Don\u2019t you think this sounds very similar to using a trading stop-loss? The concept of setting up a stop-loss is to estimate and prepare for [&hellip;]<\/p>\n","protected":false},"author":16,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[2814],"tags":[],"class_list":["post-145667","post","type-post","status-publish","format-standard","hentry","category-trading-strategies"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v24.5 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>The Art Of War &amp; Trading: Part 3 - Wixad<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.gomarkets.com\/en\/articles\/trading-strategies\/the-art-of-war-trading-part-3\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"The Art Of War &amp; Trading: Part 3 - Wixad\" \/>\n<meta property=\"og:description\" content=\"\u519b\u5f62\u7bc7 &#8211; The Chapter of Tactical Dispositions Original Text: \u5584\u6218\u8005\uff0c\u5148\u4e3a\u4e0d\u53ef\u80dc\uff0c\u4ee5\u5f85\u654c\u4e4b\u53ef\u80dc\u3002 Translation: Good commanders first evaluate the possibility of being defeated and then wait for an opportunity to defeat the enemy. Don\u2019t you think this sounds very similar to using a trading stop-loss? The concept of setting up a stop-loss is to estimate and prepare for [&hellip;]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.gomarkets.com\/en\/articles\/trading-strategies\/the-art-of-war-trading-part-3\/\" \/>\n<meta property=\"og:site_name\" content=\"Wixad\" \/>\n<meta property=\"article:published_time\" content=\"2018-09-06T07:44:27+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2021-03-09T03:41:51+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.gomarkets.com\/wp-content\/uploads\/2018\/09\/shutterstock_1134783509-1024x536.jpg\" \/>\n<meta name=\"author\" content=\"Adam Taylor\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@AdamDavidTaylor\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Adam Taylor\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"7 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"NewsArticle\",\"@id\":\"https:\/\/www.gomarkets.com\/en\/articles\/trading-strategies\/the-art-of-war-trading-part-3\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/www.gomarkets.com\/en\/articles\/trading-strategies\/the-art-of-war-trading-part-3\/\"},\"author\":{\"name\":\"Adam Taylor\",\"@id\":\"https:\/\/www.gomarkets.com\/es\/#\/schema\/person\/446d9a494ba013c192a3669cbda1bd76\"},\"headline\":\"The Art Of War &amp; 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Director, Wixad London.","sameAs":["https:\/\/x.com\/AdamDavidTaylor"]}]}},"publishpress_future_action":{"enabled":false,"date":"2025-08-17 19:33:12","action":"change-status","newStatus":"draft","terms":[],"taxonomy":"category"},"publishpress_future_workflow_manual_trigger":{"enabledWorkflows":[]},"next":{"id":145670,"slug":"eurusd-gbpusd-and-audusd-forecasts","title":"EURUSD, GBPUSD and AUDUSD Forecasts","date":"2018-09-11 01:33:17","excerpt":"\u519b\u5f62\u7bc7 &#8211; The Chapter of Tactical Dispositions Original Text: \u5584\u6218\u8005\uff0c\u5148\u4e3a\u4e0d\u53ef\u80dc\uff0c\u4ee5\u5f85\u654c\u4e4b\u53ef\u80dc\u3002 Translation: Good commanders first evaluate the possibility of being defeated and then wait for an opportunity to defeat the enemy. Don\u2019t you think this sounds very similar to using a trading stop-loss? The concept of setting up a stop-loss is to estimate and prepare for ","link":"https:\/\/www.gomarkets.com\/en\/articles\/forex-trading\/eurusd-gbpusd-and-audusd-forecasts\/","type":"next","category":"forex-trading"},"previous":{"id":145666,"slug":"amazon-joins-the-trillion-club","title":"Amazon Joins the Trillion Club","date":"2018-09-05 13:01:48","excerpt":"\u519b\u5f62\u7bc7 &#8211; The Chapter of Tactical Dispositions Original Text: \u5584\u6218\u8005\uff0c\u5148\u4e3a\u4e0d\u53ef\u80dc\uff0c\u4ee5\u5f85\u654c\u4e4b\u53ef\u80dc\u3002 Translation: Good commanders first evaluate the possibility of being defeated and then wait for an opportunity to defeat the enemy. Don\u2019t you think this sounds very similar to using a trading stop-loss? The concept of setting up a stop-loss is to estimate and prepare for ","link":"https:\/\/www.gomarkets.com\/en\/articles\/shares-and-indices\/amazon-joins-the-trillion-club\/","type":"previous","category":"shares-and-indices"},"category":{"slug":"trading-strategies"},"_links":{"self":[{"href":"https:\/\/www.gomarkets.com\/en\/wp-json\/wp\/v2\/posts\/145667","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.gomarkets.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.gomarkets.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.gomarkets.com\/en\/wp-json\/wp\/v2\/users\/16"}],"replies":[{"embeddable":true,"href":"https:\/\/www.gomarkets.com\/en\/wp-json\/wp\/v2\/comments?post=145667"}],"version-history":[{"count":0,"href":"https:\/\/www.gomarkets.com\/en\/wp-json\/wp\/v2\/posts\/145667\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.gomarkets.com\/en\/wp-json\/wp\/v2\/media?parent=145667"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.gomarkets.com\/en\/wp-json\/wp\/v2\/categories?post=145667"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.gomarkets.com\/en\/wp-json\/wp\/v2\/tags?post=145667"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}