The longer you hold a position, the greater the risk? Yes, most people have it wrong!
Many think: "I got the direction right, so I'll just hold on; eventually, I'll profit if I hold long enough."
What happens? The market suddenly reverses, profits evaporate, positions retract, or even lead to total liquidation.
What truly kills you silently is the "overnight risk"; while you sleep, the market does not.
Especially for those using leverage, long-term holding = automatic exposure to risk.
What is overnight risk? Simply put: while you are sleeping, the market is fluctuating,
You have no chance to stop loss, reduce your position, or respond to sudden news and price spikes!
Here's a real example: you opened a long position during the day, got the direction right, and made a 30% profit.
Thinking, "I'll hold it overnight; it might go up even more tomorrow," suddenly, in the early morning, a negative news hit, and the market plummets instantly; you don’t even have time to react, directly going from unrealized profit to liquidation.
You thought you were riding the trend, but in reality, you were betting on "the global market being stable overnight."
So how do experts handle holding time?
Short-term quick entries and exits: focusing on "certainty," not "fantasy."
Only leave floating profit positions overnight, and either lock in profits or reduce leverage in advance.
Set take profit, stop loss, + alert notifications + scheduled monitoring.
It’s not about "leaving it to fate," but "proactive risk control."
In leveraged trading, fluctuations aren’t feared; what you fear is being absent: not watching the market, not setting stop losses, not making a plan, waking up to find profits gone and your principal wiped out.
So, remember this: the market operates 24 hours, but your energy does not;
If you want to hold onto profits, first consider whether you can withstand the "risks that come from holding time."
