The Law of Large Losses — Read This Before Your Next Trade
The deeper the drop, the steeper the climb back up. Most traders don’t realize how brutal the math gets. Let’s break it down:
Loss vs. Recovery:
Lose 10%? You need +11% to get even.
Lose 20%? Now it’s +25%.
Lose 50%? You’ll need a +100% gain.
Lose 80%? That’s a +400% mountain to climb.
The lesson?
Trading isn’t just about chasing gains — it’s about protecting capital.
Survive first. Thrive later.
Set your stop-losses
Avoid over-leveraging
Size your positions right
Keep learning — always
Smart traders don’t try to win big. They focus on losing small.
Because in the long game, staying in the game is everything.
Found this valuable? Show some love, share it forward, and remember:
Protect your downside — that’s the real upside.
