【Wei Shen's Real Trading Notes 60】Why can Wei Shen achieve "complete verification" while still having unrealized losses? Yesterday, I saw this question in the comments section of the tweet: If Wei Shen can see things so accurately, why does he still have unrealized losses in his account? Is he unable to achieve unity of knowledge and action? The "complete verification" mentioned by Wei Shen on March 5 actually responds to his perspective of predicting a "rebound before mid-March" during the extreme panic environment when BTC spiked to 60,000 on February 6. Why did Wei Shen's prediction turn out to be correct, yet he still hasn't made unrealized profits? I believe Wei Shen's trading style has two characteristics: 1. Overall defensive approach 2. Dislikes shorting During this decline from 96,000 to 60,000, Wei Shen did not short in line with the trend but instead adhered to a left-side buying logic. This means he had to endure unrealized losses during the decline, trading space for future profit time. If BTC drops to 74,000 (a strong support level) and consolidates, he could follow his old strategy to "swing trade within the range" (his cost basis is 75,000). However, if it breaks below 74,000 and drops directly to 60,000, it would increase his position and break his comfort zone. So he can only patiently wait for an opportunity to reduce his position above 70,000 (which is likely to happen), freeing up funds before returning to his old style: "Swing trading within the range + placing pyramid orders at low levels to buy more" I just took a look, and Wei Shen has already added three buy orders between 61,000 and 66,000, partly to replenish some of the positions he sold above 70,000, and also to swing trade between 62,000 and 70,000. His actions seem to confirm my speculation. Some friends have questions; Wei Shen seems very capable, so why does he still have unrealized losses after a series of operations? I want to say that everyone has their own trading system, and to evaluate someone, you first need to understand what they are doing. For example, trend traders use many false breakouts to incur losses in order to win a single trade with a very high risk-reward ratio, covering all losses and still making a profit. After taking profits, they wait for the next opportunity. Wei Shen always has positions and always lets the market move first; he only does "reactive responses." These two trading styles may be completely opposite, yet it does not affect the fact that they are both experts. @coolish...