Risk
Intermediate
6 min read
Position sizing and managing risk
Simple habits that help protect your capital when markets move against you.
Size positions deliberately
Decide in advance how much of your portfolio you are prepared to lose on a single idea. Many traders cap this at a small percentage.
Plan your exit
Decide where you would be wrong before entering. A stop-limit order can automate that exit, though it may not fill in a fast market.
Diversify thoughtfully
Many digital assets move together during market stress. Holding several highly correlated tokens offers less protection than it appears.
Avoid leverage you don't understand
HarborFinance spot trading does not use leverage. Borrowed exposure elsewhere can magnify losses beyond your initial capital.
This guide is general education, not investment advice. Digital assets are volatile and you can lose money.