Why are so many people fond of increasing the position when there are unrealized gains? Clearly, once the market reverses, unrealized losses may come even faster, and behind this lies a deeper logic of fund management.

Open positions with heavy investments; once the direction is wrong, the losses when stopping out will be very severe—this is a major taboo in futures trading. However, if the position is too light when opening, even if the market trend aligns with expectations, the final profits will be minimal, making it difficult to achieve substantial returns.

On one side is the high risk of a heavy position, and on the other side is the low return of a light position. This seemingly contradictory dilemma is precisely balanced by the solution provided by unrealized gains to increase the position:

- Use a light position for the initial opening. Even if the judgment is incorrect, the losses after stopping can be controlled, effectively protecting the principal.
- If the market moves in the expected direction, use a trailing stop to gradually move the stop-loss line above the cost price. At this point, this portion of the position is in a "risk-free state" — the worst outcome is breaking even, rather than incurring a loss.
- When a new opening signal appears, increase the position, and the additional position should also follow the logic of "stop loss when wrong, move stop loss when right."

In such a cyclical operation, it can be observed that: no matter how many times the position is increased, only the last position increase carries risk, as all previous positions have been secured with a trailing stop to lock in safety margins. Even if the total position gradually increases, there is no need for excessive worry, as the risk is always strictly controlled.

In trading, the surge of the capital curve often relies on seizing heavy position opportunities in trending markets, but this is by no means a gambling-style operation of going heavy right from the opening. Instead, it involves increasing the position through unrealized gains, gradually amplifying the position while confirming the trend and controlling risk.

I am Yanqiu, focusing on trading analysis and teaching. As a companion on the investor's journey, I always believe that a good strategy can not only help you avoid risks but also firmly seize opportunities when they arise. If you are confused about position management or facing the dilemma of being stuck in a trade, follow me, and let professional strategies guide you. May every trader be able to move steadily in the market and reap their own profits. #Circle推出稳定币区块链ARC#