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Buy I Can Set Stop Loss and Manage Risk Management
What's the Best Strategy for Leverage Trading?
- Thread starter growyourbrand
- Start date
Hawkeye Digital
Rules Violation
- Feb 23, 2022
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best thing is the leave leverage trading before getting liquidated !
What do you mean?
roydan
Elite Member
- Dec 17, 2013
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Alright, got it.
- Aug 21, 2009
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You can use any strategy you want but you will still fail if you are not following good risk management. Here are some tips:
1. Use leverage according to your balance. This will help you avoid getting liquidated.
2. Never go ALL IN into a trade. This applies to spot trading as well, not just leverage. Always DCA your way in and DCA your way out as well. If for example, you are following fib retracement strategy, you could place your 1st order on 0.5 fib, next one at 0.768 and then the final one at 0.9, if price still keeps dropping then you have to obviously cut the trade and take a loss but that's part of trading. You cannot be profitable all the time. But most of the time, trading like this will at least help you get out at breakeven.
1. Use leverage according to your balance. This will help you avoid getting liquidated.
2. Never go ALL IN into a trade. This applies to spot trading as well, not just leverage. Always DCA your way in and DCA your way out as well. If for example, you are following fib retracement strategy, you could place your 1st order on 0.5 fib, next one at 0.768 and then the final one at 0.9, if price still keeps dropping then you have to obviously cut the trade and take a loss but that's part of trading. You cannot be profitable all the time. But most of the time, trading like this will at least help you get out at breakeven.
Proxy_prinz
Junior Member
- Aug 22, 2021
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The best strategy with leverage is not to trade. Only 5% of people trade in +
- Sep 7, 2021
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trade without leverage is less profitable
- Sep 7, 2021
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I agree
DCA is best , but what's best DCA strategy to play safe as sometimes market is volatile
roydan
Elite Member
- Dec 17, 2013
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True, but less risky, too, especially in crypto, which is volatile as it is.
I don't think there's really a good reason to trade with no leverage, but I think it's a smart idea to keep the leverage reasonable.
- Sep 7, 2021
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20x leverage is safe i Guess
But some people Gamble it with 100x and they win too soemtimes
roydan
Elite Member
- Dec 17, 2013
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A 20x leverage liquidates you if the assets drops by 5%.
I'd call it high, but if you know what you're doing...
- Sep 7, 2021
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so you suggest no Leverage
roydan
Elite Member
- Dec 17, 2013
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I suggested a lower leverage. Multiple times.
seosolve
BANNED
- Mar 25, 2023
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its very risky for both positions
we should use long and short with 2 accounts
- Sep 7, 2021
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hedge Funds is good? Multiple times is drawback , as Binance will charge fees multiple times
roydan
Elite Member
- Dec 17, 2013
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By 'multiple times' I meant that I have suggested trading at lower leverages multiple times in this thread.
- Sep 7, 2021
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Got it
- Aug 21, 2009
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For that, you need to learn TA because you will have to identify levels where you're going to buy at and then the final level, if that's lost then you'll cut the trade for a loss.
Accept the fact that there will be losses and you will already be on your way to becoming a better trader.