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 that most beginners make:

They invest all their capital at a price of $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 with 20% (i.e., $20).

If the price drops to $95, we average down with $15.

If it drops to $85, we average down with an additional $15.

And at $80, we average down with the remaining amount of $50.

What happens in this case?

Our new average entry becomes about $87.

Instead of having an entry at $100, it has actually become $87!

And the surprise:

If the currency returns to just $100 without even hitting the target of $130,

We will have achieved almost 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 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 ones.