Bad strategy☠️
❌ The "Double Down on Losses" Strategy
Description:
This strategy involves increasing your position size every time a trade goes against you, believing that eventually the market will reverse in your favor and you'll recover all losses (plus profit).
Example:
You sell Eth 😃at $2600
It pumps to $2800 😅You short more (double your position).
It pumps to $3000😂 You double down again.
It pumps more to $3400 🤣🤣😭You keep shorting more, hoping for a dump
Eventually....
Why it’s bad:
👉It ignores risk management.
👉Assumes the market will eventually reverse (which it may not).
⏩Exposes your account to compounding losses.
😵💫Leads to emotional, irrational decisions (revenge trading).
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📉 Key Lesson: A good strategy should cut losses early and protect capital, not chase losses hoping to recover.
