"The Journey of a 'Post-80s' Generation Trader Making Millions from Futures"

"The '80s Generation' Road to Making Millions through Futures Trading: A Young Master, Lü Peichao. Let's take a look at his path to success.

Lü Peichao, born in 1983, first came into contact with stocks after graduating from junior high school in 1998. At the time, his father was involved in stock trading, and he would occasionally follow along to watch.

Lü's father was far from being an investment expert. According to Lü Peichao, starting from 1996, his father invested nearly one million yuan into the stock market, later borrowing another two million yuan from others. In less than two years, all of it was lost. The family had to sell all their properties and still owed others over 600,000 yuan. Lü Peichao recalls that the near-bankruptcy of the family made him realize the cruelty of the capital market.

"When our over two million yuan was reduced to only ten thousand, I couldn't bear to see it anymore," Lü Peichao said. By the end of 2002, he changed the password of his father's stock account and took over the trading himself. Despite no prior communication, his father tacitly accepted this decision.

However, Lü Peichao's stock investments were not as successful as his futures trading. He managed to earn some money, withdrew twice for living expenses, but eventually lost some again, ending up back at ten thousand yuan after half a year.

From 5000 Yuan to 1.8 Million in Three Years

The most widely circulated story within the industry is about how Lü Peichao turned five thousand yuan into 1.8 million yuan in three years. Lü Peichao gave a detailed account to the reporter.

"After graduation, I couldn't find a good job and felt that there was no future in anything I did," Lü Peichao recalled. In July 2003, he opened a futures account and split the ten thousand yuan remaining in his stock account into two parts, planning to use five thousand yuan for futures trading and the other five thousand as living expenses. If he lost it all, he would go out and find work.

"At the beginning, I just wanted to make enough money each month to cover my living expenses, which were around six or seven hundred yuan when I worked outside," Lü Peichao said. However, in July, he earned 1085 yuan! Lü Peichao remembers that he was trading natural rubber, and with five thousand yuan, he could barely open two positions.

Happiness came faster than he imagined. By August of that year, his profits exceeded twenty thousand yuan, and his trades became increasingly smooth. In the first half of 2006, he made over one million yuan, so the claim of making 1.8 million yuan in three years was definitely true. After 2006, his annual profits grew significantly, allowing him to earn substantial amounts of money.

Dialogue: Why Can You Make Money?

Never Holding Overnight Positions

Reporter: Many investors around you are losing money. What do you think sets you apart from them?

Lü: Mainly, it's about cutting losses. They don't control risks well.

Reporter: How do you control risk?

Lü: By setting stop-loss and stop-profit orders. Also, I almost never hold overnight positions. When I'm losing, I don't subjectively assess the situation; instead, I focus on cutting losses. And at the end of each month, I withdraw what I've earned.

Reporter: Do you only do intraday trading?

Lü: Yes, holding overnight increases the probability of loss.

Reporter: How do you discover trading opportunities?

Lü: I keep it simple, relying entirely on my intuition of the market.

Reporter: What happens when your intuition is wrong?

Lü: I rely on stop-loss orders when I'm wrong.

Reporter: Have you ever lost a large amount of money, like more than 20% of your principal?

Lü: Not that I can recall. The most I've lost at once was 30,000 yuan, about 10%.

Never Reading Masters' Books

Reporter: Do you wait until you're sure before acting, or do you act and correct immediately if you're wrong?

Lü: Both. The market can never be fully understood, but risks can be controlled.

Reporter: Do you believe in technical chart analysis?

Lü: I believe in it, but I never refer to it.

Reporter: Do you read professional books?

Lü: No.

Reporter: Do you read books by investment masters like Buffett or Rogers?

Lü: No, the only book I've read is a novel by Gann called "Time Tunnel."

Never Thinking Himself a Genius

Reporter: Besides futures, do you have any other investments?

Lü: Just buying shops and real estate, nothing else.

Reporter: Now that you're wealthy, many girls must be pursuing you, right?

Lü: Only one or two, because I don't know many people. My social skills aren't strong either.

Reporter: What do you do in your spare time?

Lü: Drinking tea, having alcohol, walking, surfing the internet, etc. Life is quite monotonous.

Reporter: Have you bought a luxury car?

Lü: Haha, not yet. I'll change cars before marriage. A car is just for transportation and doesn't represent anything.

Reporter: Do you think you matured early?

Lü: I'm not sure how to define it, but I think I understand things earlier than most people around me.

Reporter: Many friends in the industry consider you a genius or even somewhat mysterious. What do you think?

Lü: Haha, I'm just someone who buys soy sauce.

Is Lü Peichao's Story True? Yes, it is. Both Changjiang Futures, where he opened his account, and another futures company confirmed the details to the reporter. In the futures market, anything is possible.

After the story is told, there are two points I want to make:

First, don't be overly captivated by this story. Lü Peichao's experience cannot be replicated. An old hand in the futures industry told the reporter that he believes every word Lü Peichao says, but among five million futures investors, there might only be one Lü Peichao. Don't assume you'll be the next one; the odds are lower than winning the grand prize in the Double Color Ball lottery.

Second, we shouldn't excessively reject this investment tool. After all, many people have made money here, and many on Wall Street survive thanks to it. While some of our large state-owned enterprises have suffered significant losses in copper futures and aviation fuel hedging, domestic futures talent is rapidly growing and improving."

This translation preserves the original content while ensuring clarity and coherence in English.