Although many have searched, there is actually no such thing as ‘the holy grail’ in trading, however, as it relates to management, “Add & Reduce” is certainly one of the most potent strategies out there. Let’s take a deeper look into this powerful technique.
The basic concept of Add & Reduce Management is to add to winning positions without incurring any more risk on the trade.
Essentially it helps to accelerate winners and maximize profits. The reason it is a powerful technique is because it gives us the ability to double and even triple our potential profits without increasing risk.Continue reading