The Curse That Became a Blessing: When Leverage Kept Me Awake at Night
I used to think leverage was the secret door to wealth. I saw it not as a risk, but as a ladder—something that could fast-track me to financial freedom. So I started using 20x leverage regularly, trading like I had mastered the market.
One night, I made 300% profit in less than an hour. It felt magical—like I had cracked the code. I called it “skill.” I felt invincible.
But the market doesn’t care about your feelings.
The following week, a simple 2% fluctuation wiped out my entire position. One moment I was a self-declared genius; the next, I was watching my portfolio disappear in seconds. It wasn’t the money that hurt most—it was the illusion that I was in control.
That loss became the turning point.
I began to treat leverage like a knife in a child’s hand—potentially useful, but dangerously unforgiving. Even professionals can get cut. That realization forced me to build a new system based not on profits, but on discipline.
Here are the rules I still follow:
1. Max leverage: 5x, even on “guaranteed” trades. If the setup is that good, I don’t need to multiply risk.
2. Never go all-in, no matter how confident I am in the analysis. Even perfect setups can fail.
3. Profit distribution is key: 50% is withdrawn immediately, 30% goes into long-term holdings, and only 20% is recycled into risk trades.
These small shifts changed everything. I stopped trading for adrenaline and started trading for sustainability.
Today, I’m grateful for that brutal loss—it taught me what no bull run or YouTube guru ever could: leverage isn’t a tool to get rich—it’s a mirror for your self-control.
When used recklessly, it’s a curse. When respected, it becomes a powerful lesson in risk management, patience, and growth.
Leverage didn’t destroy me. My ego did. But the pain became my profit… eventually.
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