Losing money after a movie? How can a professional analyst earn $5,000 by relying on “risk control”?

In 2020, the U.S. stock market shut down. For most people, it is panic and uncertainty; for Yu Runhai, who is studying finance, it is the starting point of his trading career.

Six years later, this market participant with dual identities as an analyst and trader completed a profit sharing of US$5,000 in EagleTrader. How did he go from entering the U.S. stock market after the circuit breaker to receiving profits for the first time?

The first test of US stock options

Yu Runhai’s trading career began with an accidental touch in college. In the documentary “Million Dollar Trader”, the traders’ accurate judgments and decisive operations in the market fascinated him as a finance major, and also gave him the idea of ​​entering the market for actual practice.

In 2020, the U.S. stock market experienced a rare meltdown in history. Yu Runhai seized this special market opportunity and officially entered the market to trade U.S. stock options.

The knowledge reserve from his academic background allowed him to choose fundamental analysis as the main method in the early stage, focusing on the market trends at that time. The rise of SaaS and cloud technology in the context of the epidemic, as well as the new energy vehicle sector that has just been launched in the United States, have become his layout direction.

Accurate grasp of sectors allowed him to reap good profits in the early stages of entering the market. This positive feedback not only strengthened his confidence in trading, but also allowed him to truly enter the world of trading.

Hong Kong’s study abroad experience and financial training gave Yu Runhai a certain cognitive foundation before entering the market.

He also bluntly said that these backgrounds are “not particularly relevant to the transaction itself,” but their value lies in helping him understand the market from multiple dimensions: the risk structures of different varieties, the differences in characteristics of derivatives and underlying stocks, as well as the differences in domestic and foreign market rules and trading styles. This knowledge reserve paved the way for him to find trading methods that suit him later.

Trading growth after liquidation

It only took Yu Runhai one year to go from the smooth sailing of entering the market to truly experiencing the cruelty of trading. In March 2021, during the bull market of the U.S. stock market, the Nasdaq index experienced three days of violent adjustments. At that time, he took a heavy position in unilateral options on the underlying stocks of the U.S. stock market.

Going out to watch a movie, he came back to see the tragic market situation of the Tiger Fund liquidating its positions and the sharp sell-off of Chinese concept stocks. As a result, his options account suffered heavy losses.

This sudden liquidation made him intuitively and deeply feel the impact of black swan events on his account; and he began to truly realize that if risk management is ignored, the market will teach him lessons in the most direct way. Since then, improving risk control methods has become the most important thing in his trading.

It is precisely because of the emphasis on risk management that Yu Runhai came into contact with EagleTrader’s self-operated examination through a friend’s introduction. In his eyes, the self-operated examination is like an “option”. The downside risk is firmly locked in the technical service fee, but the upside returns have unlimited possibilities.
——As long as the strategy is effective, you can get considerable profits while verifying the strategy.

This model is an extremely effective risk management method for traders with limited capital. It also allows him to find another way to verify and polish trading strategies in addition to personal real-time trading.

“Rule-driven” in the gold intraday band

During the EagleTrader exam, Yu Runhai’s account net value once retreated to 5%. But he re-entered the market after a four-day break and then climbed steadily, eventually making a profit.

<img alt="" src="https://www.hudianbaoseo.cn/uploads/allimg/20260320/1773970991464506.jpg" width="654" height = 296 What is really important is to maintain your mentality amidst uncertainty and wait for your own game.

He always believes that the only thing traders can control is losses, and profits are the “gift” of the market.

Unlike when he first entered the market, Yu Runhai is now based on 100% technical analysis. He mainly trades gold, and his main battlefields are the Asian and European games, and occasionally participates in the American games.

The trading cycle is mainly based on 15-minute and 30-minute charts. When the market is smooth, it will also switch to the 5-minute level for intraday scalping. Multi-cycle resonance is the core logic of his search for buying and selling points – relying on price action, the holding time can be as short as 20 minutes or as long as four or five hours, all depending on the rhythm of market fluctuations.

The only place he relied on fundamentals was to avoid violent fluctuations during news periods: never open a position one hour before or after the release of important data. This restraint stems from a clear understanding of market uncertainty.

As an analyst, his daily work covers gold varieties, so trading and work highly overlap in time and target.

Intraday trading is not a high-frequency operation. Sometimes he only needs to make one or two moves a day, and more time is spent waiting and screening opportunities. This also makes trading naturally integrate into his daily rhythm.

Trading habits of daily review

In trading, in addition to mature systematic strategies, good trading habits are an important guarantee for long-term profits. Yu Runhai understands this deeply.

He insists on daily review, which is a habit he has maintained since the beginning of his entry into the market. Although he no longer records the entry and exit points of each transaction in detail as before, he will save screenshots of well-done transactions and build his own transaction database to provide practical basis for subsequent strategy optimization.

In specific transaction execution, he has strict discipline: the stop loss position is set in advance, and the take profit follows the profit and loss ratio principle of at least 2:1. At the same time, he will. He flexibly uses the techniques of trailing stop profit and adding or reducing positions to maximize profits; and when extreme signals appear in the market, giving him a reason to open a reverse position, he will not hesitate to close the position and will never be reluctant to fight.

The market is always changing, and there is no one-size-fits-all trade. Only through a lot of review and summary can the system develop a sense of play and eventually form muscle memory.

In his view, those who only have talent and lack of polishing of technology and continuous research on the market will eventually be eliminated by the market; and continuous efforts with the blessing of talent will. It is the key to long-term survival in the trading market.

In the conversation with Yu Runhai, what is most impressive is not how accurate his judgment of the market is, but his repeated emphasis on the word “risk”.

“Profit is a gift from the market. “This sentence allows us to truly understand his awe of the market.

In the current trading environment that pursues quick money and leverage, the self-discipline and restraint brought by this awe are particularly scarce. Perhaps, this is the fundamental reason why he can continue to survive in the ups and downs of the market.