Adding positions may seem simple, but it is actually the art of strategy execution, not psychological relief.
But if you look carefully at the people around you, most of the re-entry actions are nothing more than instinctive reactions after being trapped.
The most common scenario is this: losing money immediately after entering, then thinking "add a little more to lower the cost, and I can sell when it rebounds." What is the final result? The position gets heavier and heavier, psychological pressure skyrockets, and a small controllable loss turns into a huge trap that cannot be escaped.
Every market fluctuation is hinting to you: as long as you keep adding, there is hope for a turnaround. This idea is very deceptive. But the reality is cruel—when emotions start giving you commands, reason has long since left the driver's seat, and in the end, you fall deeper and deeper.
There is a principle that must be engraved in your mind: adding positions only has one prerequisite, which is that the trend is further confirmed. Not because "it feels like it has dropped enough and should rebound," nor to dilute the cost with forced actions, but as a planned operation supported by clear signals.
Every time you add, ask yourself one question: are you expanding profits, or gambling for a turnaround? If you find yourself constantly adding positions driven by panic and greed, it’s time to stop.
Return to rules and discipline. Let strategy guide you, not panic. Your account can never be repaired by the market; the power is never in the market’s hands, but entirely depends on how you control your own hands. Once the rhythm stabilizes and your position is correct, even if you are currently in a trough, the road ahead will be much smoother.
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MetaMaximalist
· 11h ago
honestly this whole "averaging down" discourse reminds me why most retail gets liquidated... averaging down isn't a strategy, it's just emotional capitulation dressed up as portfolio management. the adoption curve for disciplined trading never happens for most people tbh
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ProveMyZK
· 12h ago
To be honest, most people's increased positions are just panic buying, not really a strategy.
When it comes to mental management, it's truly the Achilles' heel for most people, including myself.
The more anxious you are to turn things around, the faster you die. This statement hits too close to home.
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BlindBoxVictim
· 12h ago
It's the same story again, right? You're right, but a few friends are still going to go bankrupt.
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OvertimeSquid
· 12h ago
Exactly right, but executing it is really difficult. I'm the kind of person who gets itchy to buy more whenever the price drops, and I need to add a few more positions to feel at ease. Later, I simply wrote the conditions for increasing my position on a piece of paper and stuck it on my computer to remind myself that this is not psychological therapy.
Adding positions may seem simple, but it is actually the art of strategy execution, not psychological relief.
But if you look carefully at the people around you, most of the re-entry actions are nothing more than instinctive reactions after being trapped.
The most common scenario is this: losing money immediately after entering, then thinking "add a little more to lower the cost, and I can sell when it rebounds." What is the final result? The position gets heavier and heavier, psychological pressure skyrockets, and a small controllable loss turns into a huge trap that cannot be escaped.
Every market fluctuation is hinting to you: as long as you keep adding, there is hope for a turnaround. This idea is very deceptive. But the reality is cruel—when emotions start giving you commands, reason has long since left the driver's seat, and in the end, you fall deeper and deeper.
There is a principle that must be engraved in your mind: adding positions only has one prerequisite, which is that the trend is further confirmed. Not because "it feels like it has dropped enough and should rebound," nor to dilute the cost with forced actions, but as a planned operation supported by clear signals.
Every time you add, ask yourself one question: are you expanding profits, or gambling for a turnaround? If you find yourself constantly adding positions driven by panic and greed, it’s time to stop.
Return to rules and discipline. Let strategy guide you, not panic. Your account can never be repaired by the market; the power is never in the market’s hands, but entirely depends on how you control your own hands. Once the rhythm stabilizes and your position is correct, even if you are currently in a trough, the road ahead will be much smoother.