Brake your losses before you chase profits 🛑
This table is the scientific explanation of Warren Buffett’s rule:
Rule #1: Never lose money.
Rule #2: Never forget Rule #1.
It’s not about fear or being cheap.
It’s about a simple truth:
Recovering losses is exponentially harder than protecting capital.
📉 The bigger the loss,
📈 the bigger the return required to recover:
• 10% loss → needs 11% gain
• 30% loss → needs 43% gain
• 50% loss → needs 100% gain
• 70% loss → needs 233% gain
📌 Example (USDT):
You start with 100,000 USDT
You lose 70%
Your capital drops to 30,000 USDT
To get back to break-even,
you now need a 233% return on what’s left.
🛑 This is where Stop Loss comes in.
Stop loss is not your enemy —
it’s your seatbelt in a chaotic market.
Your capital is your army in battle ⚔️
Lose half your army,
and winning the war becomes exponentially harder.
🧠 Smart traders don’t focus on the top.
They protect the bottom.
✔️ Protect your capital
✔️ Respect your stop loss
✔️ Stay alive for the next opportunity
