Repeating trials

You need to make money grow in the form of (1+1/n)^n when you repeat the trial several times, but even if you have a subjective feeling that you have a good chance of getting money right away, you shouldn't do it unless it is an objectively profitable method when repeated several times in the long run.

Even if it doesn't look like the money is growing quickly because the value of a is larger than 0 but somewhat smaller than 1, such as y=e^(at) and a>0, it is very important to bet only if the money grows in multiple iterations of the same trial even if this trial fails. 

Of course, there are stories of people who made a lot of money suddenly because they were lucky enough to catch the market rise by placing a full bet, but you have to ignore all that noise because it's just a matter of 'y=e^(at), a>0 for multiple iterations, and you'll either get lucky this time, or you'll end up with a big loss'.

So if you want to make money with y=e^(at), a>0, you have to let a lot of good opportunities pass you by, don't bet if your total investment is more than KellyBet, and don't be harsh on people who suddenly make a lot of money,

On the other hand, when the market itself is rising in a y=e^t-like graph, as it did last time, you need to be smart enough not to sell and hold until it breaks out of this graph. 

0<a<1 This goes on to say that even if you feel like your immediate return on investment is worse than that of the mogul, you should recognize that the mogul's money is going to a<0 in the long run and not be envious. 

Sometimes, if you make a large amount of money in a short period of time where a is a ridiculously large number, you should recognize that it's luck and not put that large amount of money back in the same way, but rather return to the boring method of compounding your money "over and over again".

Earning bank interest at 5% compounded annually is also a losing proposition because y=e^(at), a>0, but a is too low to be fun and actual inflation is higher than 5% per year.

The point here is to increase the expected return above a certain level in an uncertain situation, which is why we have rebound trading. The key is to only bet the amount of your total investment that you are willing to risk, as the stock you are interested in may fall due to changes in sentiment, interest rates, and currency exchange rates, regardless of whether the stock's intrinsic value increases.

For example, if you're buying a $100 stock and you have $10,000, it's a good idea to divide the $10,000 into four parts and buy $2500 at $100, $2500 at $50, $2500 at $25, and the remaining $2500 at $12.50. 

When you actually do it, you realize how difficult it is to control your fear and greed, because you're scared to buy when market goes down and can't stop buying when market goes up.

So, investing is not done with the head, but with the heart, and the heart should only be used to balance greed and fear.