Many investors when starting with a small capital, for example 1000U, often fall into two situations: either using too high leverage and losing everything, or being too cautious and missing opportunities. In reality, with a reasonable method, small capital can still grow into a large amount, with the only core principle: stability.

1. Do not rush when starting

With a capital of 1000U, the first step is to only use 500U for trading, with a leverage of about 20 times.

  • Stop-loss: 20% of trading capital (maximum loss of 100U).

  • Take-profit: 100% (if prediction is correct, profit of 500U).

Thus, the risk/reward ratio reaches 1:5. One mistake can still be compensated if there is a successful trade. This helps reduce psychological pressure and maintain discipline.

2. Multiply capital according to rhythm.

The rhythm trading method helps avoid speed racing while still growing effectively:

  • 1000U → 2000U → 4000U → 8000U.

Just three consecutive correct trades can multiply the capital by 8 times. The principle is to prioritize accuracy over speed.

3. Diversify according to the ladder method.

As capital increases, risks need to be divided and trading volume adjusted.

  • Capital 8000U: only trade 1000U each time, keep 8 opportunities for mistakes.

  • Capital 20,000U: increase trading volume to 2000U, target 100,000U.

  • Capital 100,000U: trade 5000U each time, proceed steadily, do not rush.

This method helps protect capital and leverage the advantage of compound interest.

4. Strictly control risk.

  • Before reaching 100,000U, each position must be independent in risk, adhering to stop-loss and take-profit like a machine, without hesitation.

  • After exceeding 100,000U, consider increasing the trading volume, but the total maximum risk should not exceed 2% of the capital.

5. Three principles not to violate.

  1. Never invest all capital: if liquidated, all capital will be lost.

  2. Do not delay in cutting losses: holding losing positions will lead to significant losses.

  3. Compound interest requires patience: rushing to double can easily lead to failure.

Conclusion.

With an initial 1000U, combining reasonable diversification + strict discipline, a small capital can still grow into a large amount. There is no need to rush; stability is the fastest path to increase assets.