💥 I randomly took some pictures from Binance Feed – the common point is that all of them suffered huge losses.
I can only laugh 🤭, because they have violated a core principle in the financial market:
🔻 Risk management.

📉 You can:

  • Macroeconomic analysis is wrong 🌍,

  • Technical analysis is wrong 📊,

❗ But it's okay,
because you have a risk management method.

💡 So what is the risk management method?

For me – and all the big players in the market 💼,
Risk management is my lifeline.
⚔️ It is the wrong entry point of the order,
👉 If the price goes through that point, you must cut your losses immediately.

🚨 Because that is the principle that helps you survive in the financial market.

📌 So what is the core of risk management?

Summed up in one equation 📐:

Case 1 ❌

If you are trading like:
loss a lot – loss a little – profit a little – profit a lot
→ Result: the account is still burning 🔥

Case 2 ✅

Switch to the mindset:
loss a little – profit a little – profit a lot
→ You can then achieve stable profits 📈, avoiding account burnout.

⏳ But to know how to set the stop loss correctly,
❗ It also requires time & knowledge.

🧠 Due to limited duration,
👉 In the next part, I will show you how to set the stop loss correctly.