Adam's Ten Principles of Theory:

(1) Never increase your position or average down on a losing position.
(2) When opening a position or adding to it, you should also set a stop loss at the same time, so that you can be prepared to exit if you make a mistake.
(3) Never cancel or move the stop loss unless the price is moving in the direction of the opening position.
(4) Never let a reasonable small loss turn into an uncontrollable large loss. When the market is unfavorable, exit immediately; there will be another chance to enter when a better opportunity arises.
(5) In a single transaction, or on any given day, do not allow yourself to lose more than 10% of your account funds.
(6) Do not try to catch the tops and bottoms; let the market move by itself. The Adam theory can never accurately catch the tops and bottoms, and those who try to catch them will also fail. However, when the tops and bottoms finally appear, the Adam theory will only be wrong once.
(7) Do not stand in front of the train. If the market is rapidly moving in a certain direction, never go against the market unless there is strong evidence that a reversal has already occurred. Please note that it has already occurred, not that it will occur or should occur.
(8) Stay flexible. It is important to remember that you might make mistakes, the Adam Theory might also be wrong, and anything in the world can occasionally go wrong. Remember that what the Adam Theory states are highly probable events, not certainties.
(9) When operations are not going well, it might be a good idea to take a break. If you keep incurring losses, please step away and go on a vacation to let your emotions calm down, and wait until your mind becomes clear.
Wake up and talk.
(10) Ask yourself if you genuinely want to make money from the market, inside and out, and carefully listen to some of your own answers. Some people psychologically yearn to lose money, while others just want to find something to do, "know yourself."
Unless all your actions are based on these ten principles, neither the Adam Theory nor any other method will be accurate enough to keep you consistently profitable. Once you understand this, you will earn considerable profits in the market.