Practical sharing on position management

First, you should make a complete trading plan, determine the currency you are operating, the minimum profit, the profit in batches and the maximum loss, and understand where your profit point and stop loss point are.

Understand that if the principal is shrinking, it will be more difficult to make a profit.

A loss of 10% requires a profit of 11.1% to make it back.

A loss of 20% requires a profit of 25%

A loss of 30% requires a profit of 42.8%

A loss of 40% requires a profit of 66.6%

A loss of 50% requires a profit of 100%

A loss of 60% requires a profit of 150%

A loss of 70% requires a profit of 233.3%

A loss of 80% requires a profit of 400%

A loss of 90% requires a profit of 900%

When you lose 50% and can still get back the principal, you actually have the ability to turn over the position.

The position should not exceed 10% of the total funds. Many friends have already made flexible changes. When the market trading is difficult, either do not do it, or lighten the position to test it.

Therefore, you should distinguish the trading products clearly, not hold heavy positions casually, not increase positions randomly, and have the character of a hero who cuts off his own arm.