An excellent technique that will suit almost everyone. The amount planned for use in trading is divided from 5 to 20 parts. We form purchase orders on the grid. We move the stop loss after the price. Applications can also be placed in two directions, immediately up and down (short).
This strategy allows you to dramatically reduce the risk of falling into the drawdown trap of your entire capital.
Here it is important not to be greedy and place applications relative to each other in such a position as to reduce losses more than to increase profits. If we place orders too close, the market can gather them together and immediately drag the whole mass down, which can cause inconvenience. If we put too far from each other, then we earn little and for a long time.
You can diversify the methodology by setting different volumes of applications when moving up from the price. For example, the first order is placed with a volume of 80%, the remaining 4 to 5% of the desired transaction volume. The most important thing is to move the stop loss behind the price to prevent losses.