Having a small principal is not a disadvantage; on the contrary, it forces you to learn the most important skill—survival. Many people always think they can turn 1800U into 500,000U in one go, but often they end up losing their principal altogether. However, some use the same starting capital and steadily grow to over 70,000U in half a year, all while avoiding liquidation. What's the difference? It's not luck, but reverence for small funds.



Splitting Funds Is the First Line of Defense

Divide 1800U into three parts: 600U for intraday opportunities, with at most one trade per day; 600U for swing trading, roughly one trade every half month; and 600U as a reserve that you never touch no matter what. Sounds too simple? But 99% of small account failures happen because of the mindset of "trying full position this time." When you go all-in, you've already handed over control of your account to the market.

Choosing the Right Entry Timing Is More Important Than Choosing the Direction

Stay resolute during market consolidation; don’t rush into trades when the trend isn’t clear. Only follow through when the trend truly breaks out. This isn’t missing out on opportunities; it’s protecting your principal. The data is harsh: 80% of losses occur during sideways, uncertain markets. People always want to "make a little money" during those times, but what happens? Their accounts shrink significantly.

Establish a Rhythm for Stop-Loss and Take-Profit

Set your stop-loss at 2%, making it as natural as breathing—no overthinking. When profits reach 4%, halve your position size—don’t be greedy. When your overall account profit exceeds 20%, take out 30% to lock in gains and ensure your principal’s safety. The most important rule: never average down; that’s the beginning of sinking into a quagmire.

This approach may seem conservative, but it’s actually the smartest form of offense. Stick with it for three months, and you’ll find your account growth isn’t dramatic but frighteningly stable. After half a year, a 3-5 times increase in your account is very normal. More importantly, you can finally put down your phone and stop watching the charts 24/7. Spend five minutes each day checking your positions; the rest of the time, eat and sleep as you please.

True wealth isn’t about those instant skyrocketing numbers, but about having the survival ability to steadily extract profits from the market regardless of how it moves. Small capital is built step by step into a large account.
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