Section 2: Averaging

This technique is the opposite of scaling out. As the trade develops, the trader keeps adding lots attempting to capitalize on the continuing price movement. 


[Table 1]

Trading with multiple lots is a very common practice. Unfortunately, most traders forget to apply a basic principle on their trade management technique:The trend is your friend. 

In the following sections, we will see the correct way to apply each trade management technique mentioned. 

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