Define what you expect from the trade, what you will do if price moves against you, and how much capital you are willing to commit.
BEFORE ENTERING · SPOT AND PERPETUAL FUTURES
Your scenario and limits
INITIAL POSITION SCENARIOS
AFTER THE PLAN B ACTION
Your plan, in writing
The plan is not saved automatically. Copy or download it before closing this page.
A plan needs specific limits
The Plan A defines your scenario, entry, and exit. The Plan B sets out what you will do if price moves against you. Reserving capital does not require using it: you can also reduce or close.
In Spot, holding the asset does not eliminate the loss in value. Buying more at a lower price increases your quantity, reduces your average purchase price, and commits more capital. This may allow a profitable exit before price returns to your initial entry if it exceeds the new average purchase price. However, averaging down is not always the best option: some assets never recover and may lose all their value. Choose the asset carefully and set a limit on the capital you will allocate to this strategy.
In Futures, adding margin preserves the quantity and average entry price, increases the money posted as collateral, and, in isolated margin, may move liquidation price further away. Increasing the position after an adverse move improves the average entry price if you add below your current average in a Long or above it in a Short. Both actions increase committed capital and exposure to risk. Adding margin does not change position size; increasing the position also increases how much you gain or lose per price movement.
In Futures, target and Plan B results include the funding estimate you enter; 0 excludes funding. Fees and slippage are not included. Funding does not change quantity or average price and is not used to recalculate liquidation. The target shows the result if you closed the entire initial position at that price. The Futures scenario uses linear contracts with isolated margin; it does not model cross margin, maintenance margin, or liquidations. Liquidation can occur before all initial margin is exhausted. A written limit does not guarantee execution or limit the loss by itself.