90% of contract traders lose everything due to a fundamental reason! Stop-loss is a matter of life and death!
Hello everyone, today let's talk about the most common mistake in contract trading—not using stop-loss.
I was once like you, holding on until the end, eventually blowing up my account!
Once, BTC rose from 26000 to 32000, and I thought, “I'll wait for a pullback to close my position,” but it soared to 35000, and I blew up! For example, in January 2024, I chased SOL at a high, using 10x leverage, and ended up losing everything in a flash!
Blowing up starts with “just a little longer.”
So, how to avoid it? There's only one answer: stop-loss!
3-Second Stop-Loss Method:
After opening a position, set the stop-loss within 3 seconds; the higher the leverage, the tighter the stop-loss.
For example, if you open a position with 10,000 USDT at 20x leverage, set the stop-loss at 5% (500 USDT).
Dynamic Stop-Loss:
When in profit, move the stop-loss up to lock in profits.
When in profit by 5%, move the stop-loss to the breakeven price;
When in profit by 15%, move the stop-loss to 10%.
Emotional Stop-Loss:
If you lose 3 consecutive trades, take a break for an hour.
When in profit, be euphoric, immediately take 50% profit.
Real-world Example:
In May 2024, ETH operation: opened long at 3600, set stop-loss at 3520, and finally rose to 4100, perfectly capturing the increase while only taking a 2% risk!
Ultimate Advice:
Stop-loss is not a surrender; it's a lifesaver!
Even the big players have blown up, but they understand the importance of quick stop-losses to protect their capital, giving them a chance to turn things around!
Remember: if you don't lose your capital, you have a chance to gain!
If you want more real-world strategies, don't forget to message me privately, and let's be market winners together!
