If you’re stuck in a losing trade and don’t want to cut your losses, try this method: 1. Position Adjustment Discipline (Mechanically Execute—No Guessing, No Gambling) - After 3 consecutive days of price rise: Must reduce position—don’t chase the last penny. - After 1 day of unrealized loss: Add 15% to average down and lower cost basis. - After 2 days of unrealized loss: Add 20% and wait patiently for a rebound. - After 3 days of unrealized loss: Add 50% to restore funds previously reduced. - After 4 days of unrealized loss: Add 80% to concentrate capital for a single-day recovery. - As soon as you break even, cut your position in half! Never be greedy or hold too long. 2. Profit-Taking Rules (Secure Your Gains) - At 10% profit: Sell 1/3 to lock in gains. - At 20% profit: Sell another 1/3—prioritize securing profits. - If price surges 7% in a single day: Liquidate entirely, keeping only a base position. Mnemonic: Buy when no one cares; sell when everyone’s excited. 3. Buy Red Lines (Only Act on High-Probability Opportunities) - Only trade high-quality assets with solid fundamentals. - Avoid low-quality, speculative, or junk assets. - Better to miss a move than to buy recklessly and suffer large losses. Risk Warning: The strategy of continuously adding to positions after unrealized losses carries significant risk—it may lead to excessive exposure and amplified losses. This approach is not suitable for all market conditions. Always assess your personal risk tolerance before implementing any trading strategy.