2025-12-29 15:20:33

The balance in my account once surged to over 4 million. At that time, I decided to resign and go all in. The outcome a few months later was brutal — not only did I lose all my profits, but I also accumulated debt and even sold my house. From starting with 50,000 to over 7 million, then dropping to nothing, this experience was like riding a roller coaster. But what truly woke me up wasn't the numbers themselves, but the three years of silence afterward. During those three years, I hardly left the house, just studying one question: why did this happen?

Looking back now, I wonder how much luck was involved in the money I previously made. What changed me was the rational thinking forced out of necessity. Today, I want to share these experiences, especially regarding capital allocation and stop-loss and add-on strategies — most people do the opposite.

**Living is more important than making money**

What is the biggest fear in trading? It’s getting wiped out in a single blow and being forced out. So I set a strict rule for myself: the risk per trade should not exceed 10% of the total capital. For example, if I have 10,000 USDT, I only use up to 1,000 USDT per trade. Even if I get wiped out, I only lose one-tenth, leaving room for a comeback.

In a bull market, it’s easy to get carried away, watching the charts all day, turning trading into everything. But the market is always there; your body and mental state can’t wait. Regularly taking breaks isn’t just to relieve stress but more importantly to keep your judgment clear.

**How to add when making money, how to cut when losing**

I’ve seen too many routines: taking profits at just a couple of points and holding on through half losses. My logic is the opposite — when making money, decisively add to your position; when losing money, cut your losses immediately.

Specifically: only add when floating profits reach over 20%, using that portion of the profit to increase the position, while keeping the principal unchanged. And if losses reach 5%, stop-loss immediately and exit, never averaging down.

Many people don’t understand this. The market makers love hunting those retail traders who buy the dip and keep adding as prices fall. Because they know these traders will eventually be drained dry.

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fork_in_the_road

· 3h ago

Going all-in on selling a house... you really have to go through it to understand what "living is the most important" means.

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CommunityWorker

· 7h ago

Selling the house all in, I really can't stand it anymore. This is a classic example of a gambler's mentality. --- Over 4 million yuan in debt from selling the house... this stark contrast can indeed be eye-opening, but most people without this awareness just give up. --- I agree with a 10% stop-loss line, but the problem is, does anyone really follow through? Half of the people start making excuses and stubbornly hold when they see floating losses. --- The most heartbreaking thing is that phrase "living is more important than making money." Many retail investors treat trading as a life-and-death struggle. --- I've seen too many bankruptcies from buying more as prices fall. Very few can resist adding to their position. --- No matter how right you are, when the bull market comes, someone will still go all in and lose everything. --- Adding to positions only after a 20% drop, cutting at 5%? That threshold seems a bit high. You need to have strong psychological resilience. --- Three years of introspection in seclusion is the most valuable, more precious than any trading experience.

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New_Ser_Ngmi

· 7h ago

Selling the house all in at once... Oh my, it made me break out in a cold sweat. Really, sometimes making money is easier than staying alive. I agree with the 10% risk rule, but honestly, most people can't do it at the beginning. I also lost a lot of money before I figured it out. Replenishing positions is definitely a trap; many people get stuck here. The more it drops, the more they buy, feeling like they're bottom-fishing, but it's actually self-destructive. After three years of studying this issue, it must be very depressing... but it's much smarter than continuing to waste money. Talking about stop-losses is easy, but really cutting at 5%? Very difficult, my friend.

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AllInAlice

· 7h ago

This guy is right, going all in is really gambler's mentality. I've seen too many bloody cases. Hearing about selling the house makes me feel cold inside. Isn't that basically having no way out? I agree with the 10% risk control. Only by staying alive can we wait for the next wave of market opportunities. If you die, it's truly game over. The three years spent at home studying why I lost money—that's the real valuable thing, more precious than anything else. Make money and run, lose money and hold on stubbornly—this approach is really the closest to heaven. The market makers love such naive traders. I've long stopped playing the averaging down strategy. Buying more as it falls is just feeding the sharks, nothing else.

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StableGenius

· 7h ago

the 10% rule actually just delays the inevitable for most people lmao... they'll just find creative ways to blow it anyway

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RugResistant

· 7h ago

Going all-in on selling the house was really outrageous... But the reflection over the following three years is the real core; that's much more valuable than making quick money.

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