Don't think losing everything is the market's fault!
Is it your own fault for being reckless, believe it or not?
If you read this article carefully, you can also open the Xiaomi SU7.
It's not the leverage that kills you, it's your overly large position!
Retail investors' thinking: "100x leverage = guaranteed loss"
The truth: 100x leverage + betting only 1% of your money = actual risk = 1x leverage fully invested.
Live example: There’s an experienced trader using 50x leverage, betting only 0.5% of the principal each time,
hasn't been liquidated in three years, earning three times every year.
Cutting losses isn't cowardice, it's buying resurrection coins!
In the March crash this year, 83% of those who were liquidated had already lost over 10% and didn't run away.
A single loss not exceeding 1% of the principal is equivalent to giving the account a level three armor.
Earning without increasing your position is equivalent to working hard for nothing!
Retail investor operation: Earn some pocket money and run away, missing out on tenfold gains.
Correct approach:
First, bet 5% to test the waters (a loss won't hurt much).
Every time you earn 10%, add 20% of the earned money to your position (the snowball gets bigger).
Live example: During the February Bitcoin rally, some people rolled from 50,000 to 500,000 in just two months.
Trader's secret manual (stolen internal data)
Position calculator
Maximum position = (Principal × 1%) ÷ (Stop-loss percentage × Leverage)
For example, with a 100,000 principal, setting a 1% stop-loss,
if using 20x leverage → can only bet a maximum of 1,000.
Three steps to profit
① Earn 15% → First sell 30%,
② Earn another 15% → Sell another 30%,
③ Keep an eye on the 4-hour line, run if it breaks the support line.
Insurance buying method
Every time you open a position, spend 0.5% of your principal to buy crash insurance.
(A black swan can save back half of the losses.)
In the April crash this year, a big investor used this trick to reduce losses by 2 million.
Ranking of fatal operations (how many do you occupy?)
"Hang on a bit longer and it will return to break even" type → Holding a position for over 4 hours, 92% will be liquidated.
"Eager to trade" type → Trading 100 times a month, just the fees eat up 20% of the principal.
"Earned but won't stop" type → 83% of people lose back what they earned due to greed.
This business is essentially a math problem, not a gamble!
Profit formula:
Actual profit = (Number of wins × Average profit) - (Number of losses × Average loss)
As long as you achieve:
Stop loss 1%, take profit 10%
Even if you only win 3 times out of 10, you can still make steady profits.
This market does not reward hard workers, only rewards ninjas.
Create a set of automatic trading rules to keep your reckless hands in check,
only then can you truly say goodbye to liquidation!
If you find the things Chuanmu shares useful, give him a follow.
