$BTC AppleCryptoUpdate

Buying Strategy at Potential Support with Trade Management through Averaging Down

Average Down Strategy

This strategy relies on entering a trade gradually instead of buying all at once, especially when we do not accurately know the market direction.

We start buying from the first potential support, and if the price drops, we buy at each stronger support level. This way, we reduce the average purchase price, and with a slight recovery, we can exit with a small profit or loss.

Practical Example:

The price was at $1.00, so the trader started buying:

Bought the first batch at $1.00

Then the second batch at $0.70

And the third at $0.60

And the fourth at $0.50

After that, the price rebounded to $0.70 only.

And although the price did not return to $1.00, the trader exited with a small profit.