#CreatorPad
How do you manage your trade wisely and profit even with a price drop?
Let's take a simple practical example:
We have a currency priced at $100, with a target of $130.
Our capital is $100.
The mistake that most beginners make:
They invest all their capital at the price of $100.
If the price drops, they are stuck and cannot average down. And if the price returns to $100? They do not benefit or make a profit.
That's why we apply proper capital management:
We buy at $100 for 20% (i.e., $20).
If the price drops to $95, we average down with $15.
If it drops to $85, we average down with an additional $15.
And at $80, we average down with the remaining $50.
What happens in this case?
Our new average entry price becomes about $87.
So instead of our entry being $100, it has actually become only $87!
And the surprise:
