🔹 Trade Setup
Position: Long
Entry: Market Price
Leverage: 40x
Take Profit (TP): $4.9528
Stop Loss (SL): $4.0268
Risk Management: 2% of account capital
Symbol: $SUI
🔸 Key Calculations (Risk-to-Reward, Position Sizing)
Let’s assume your account capital = $1,000 (you can adjust accordingly):
1. Risk Amount (2% of capital):
$1,000 x 0.02 = $20 max risk
2. SL Distance:
Entry - Stop Loss =
If market price = ~$4.50 (example), then:
$4.50 - $4.0268 = $0.4732
3. Position Size:
To lose only $20 on a $0.4732 SL:$20 ÷ $0.4732 = ~42.26 tokens
4. Position Value (Before Leverage):
42.26 tokens x $4.50 = $190.17
With 40x leverage:
$190.17 ÷ 40 = $4.75 margin needed
So with ~$5 of your own capital, you control $190 worth of $SUI using 40x leverage while risking $20 total (thanks to tight stop).
🔹 Risk/Reward Ratio
Reward per token: $4.9528 - $4.50 = $0.4528
Risk per token: $0.4732
Risk/Reward Ratio: 0.4528 / 0.4732 ≈ 0.96:1
This is slightly below 1:1 — which is okay short-term, but you'd ideally want setups above 1.5:1 or 2:1 for higher efficiency#NewsTrade #BinanceAirdropNXPC #TradeWarEases #TradeStories #SaylorBTCPurchase