The Ancient Blueprint for Modern Trading
@BillionaireN:
Today is a public holiday and I took the opportunity to visit the grounds of Chinese Garden and took this beautiful pagoda on its grounds. As I admire its beauty , the thought of how it relates very much to trading comes across my mind and am sharing it here . Can you relate it ? Here’s how a pagoda relates to trading: Tiered Structure = Position Sizing A pagoda is built in ascending tiers, each smaller than the one below. Good traders size positions the same way ,your base (largest) position is your highest-conviction trade, with smaller satellite positions layered on top. You don’t go all-in at one level. Each Floor Must Support the Next = Risk Management A pagoda can only rise as high as its foundation allows. In trading, each tier of risk you take on must be supported by the capi