How do you manage your trade wisely and profit even when the price drops?
Let's take a simple practical example:
We have a currency priced at $100, with a target of $130.
Our capital is $100.
The mistake most beginners make:
They invest all their capital at $100.
If the price drops, they are stuck and cannot average down. And if the price returns to $100? They gain nothing.
That’s why we apply proper capital management:
We buy at 100$ for 20% (20$).
If the price drops to $95, we average down with $15.
If it drops to $85, we average down with 15$ more.
And at $80, we average down with the remaining $50.
What happens in this case?
Our new average entry becomes around $87.
This means instead of having an entry from $100, it effectively became just 87$ !
And the surprise:
If the currency simply returns to the price of 100$ even without reaching the target of $130,
We will have achieved approximately 15% net profit — which means about $15 profit from $100.
Why is this important?
Because with smart management of the mind (not emotion), you profited in the market even if the price didn’t explode to the targets!
Always remember:
Most beginners lose and then exit trading early.
That’s why I always recommend building a real skill that benefits you in the future,
Because the market rewards those with patience and wise minds, not the hasty.
