๐ก๏ธ THE MATH OF SURVIVAL: YOUR PERSONAL STOP LOSS CALCULATOR ๐ก๏ธ
You asked for the secret sauce, so here it is.
Setting a stop loss isn't a "guess"โitโs a formula.
If you want to trade like a whale and not a gambler, follow this exact script.
๐ Step 1: Find the "Invalidation Point"
Before you look at your wallet, look at the chart.
For Longs: Find the most recent Support Level (the "floor").
The Buffer: Place your Stop Loss 0.5% to 1% below that floor to avoid "wick outs" (market noise).
Example: If $TRB is at $20 and support is at $18.50, your stop loss goes at $18.32.
๐งฎ Step 2: Calculate the Position Size
Now, use the 1% Rule. Never risk more than 1% of your total account on one trade.
The Formula:
Position Size = Total Account times * 0.01/Entry Price - Stop Loss Price
Let's say you have a $1,000 account:
Risk Amount: $10 (1% of $1,000).
Distance to Stop: $20 (Entry) - $18.32 (Stop) = $1.68.
Position Size: $10 / $1.68 = 5.95 TRB tokens.
๐ง Why This Strategy Wins
If the price hits $18.32, you lose exactly $10.
You still have $990 to fight another day.
You can be wrong 20 times in a row and still have plenty of capital left. This is how you stay in the game long enough to catch the 10x moves.
