When there are few institutional investors and many retail traders, it’s a bad setup—because everyone’s already here to carry the cart. You can’t expect institutions to lift retail’s load, right? Sure, institutions might miss out initially, then buy back in at higher prices from retail, handing retail a fat profit—but that scenario hasn’t happened yet.
Investing always involves setting profit-taking and stop-loss points. Decisions to add to or reduce your position—how much to add, in particular—must be carefully calculated based on the performance of your investment target and its expected return-to-risk ratio.
You only choose to follow a trade when the expected value of the profit exceeds the amount you plan to invest.
The risk of an investment isn't determined by the return rate listed for you. The risk of an investment is determined by who ultimately receives your money and what they actually invest in.
In reality, there's only one way to profit from investing: you understand what you're doing. When you understand it, you can see how it makes money. Every place you don't understand is a potential pitfall waiting to trip you up.