A friend once asked about this in the comments, so let me explain it in plain English.
A common way to calculate position size is: Position notional value ≈ account balance × risk per trade ÷ stop-loss distance.
The deeper the drawdown, the harder it is to recover: after losing 50%, your remaining funds have to double just to get back to where you started.
Here’s a market update: $BTC is currently at 81120, down 2.43% over the past 24 hours.
Have you ever run into pitfalls like this? Share them so others can avoid the same mistakes.
#BTC
A common way to calculate position size is: Position notional value ≈ account balance × risk per trade ÷ stop-loss distance.
The deeper the drawdown, the harder it is to recover: after losing 50%, your remaining funds have to double just to get back to where you started.
Here’s a market update: $BTC is currently at 81120, down 2.43% over the past 24 hours.
Have you ever run into pitfalls like this? Share them so others can avoid the same mistakes.
#BTC