【Term explained】How large should your position be when opening a contract?
A common position-sizing formula: Position notional value ≈ account funds × risk per trade ÷ stop-loss distance.
Keep the risk per trade small enough, and your account will still have sufficient funds after several consecutive wrong calls, so one or two mistakes won't seriously damage your capital.
The coin mentioned above: $BTC , current price 82826 (24h +0.15%).
After a loss, don't rush to double your position to make it back; this often leads to even bigger losses.
#BTC
For record-keeping and sharing only, not investment advice.
A common position-sizing formula: Position notional value ≈ account funds × risk per trade ÷ stop-loss distance.
Keep the risk per trade small enough, and your account will still have sufficient funds after several consecutive wrong calls, so one or two mistakes won't seriously damage your capital.
The coin mentioned above: $BTC , current price 82826 (24h +0.15%).
After a loss, don't rush to double your position to make it back; this often leads to even bigger losses.
#BTC
For record-keeping and sharing only, not investment advice.