PYRAMID PANEL Usage Series Episode 3 – Averaging: The “Hitting Equal” waiting for a return with a button
Last time, riding the trend in the direction of extensionPyramiding (offense)was the approach. This time, the counterpartNampin (averaging down)is about buying more as the price moves against you, lowering the average entry price, and aiming to rise on a small reboundby increasing positions. It’s convenient but also the riskiest tactic. I’ll be candid about that too.Increase in steps.
If the price drops after you buy, you incur unrealized losses. Here,buy more at the lower pricecauses the two average entry prices to drop below the initial one. Then, even if the price does not return to its original high,if it returns to the average entry price, the overall position becomes profitable. This is the idea of nampin — equalizing the buying price.
If pyramiding is “adding in the direction of winning,” nampin is “taking hits as the price moves against you and recovering on the rebound.” They are opposite in nature, but bothinvolve lining up multiple price orders in a planned sequence.
What makes nampin difficult isbuying more while watching unrealized losses— the most calm-losing moment. Fear makes spacing random, or you get overly anxious and pile in at prices that are too close. Before you realize it, you’ve accumulated a much larger lot size than planned — this is a classic way nampin defeats you.
During a price drop, calmly place evenly spaced limit orders and stop-loss/take-profit. Easier said than done, manual work makes“placing them in the planned order” itselfdifficult to achieve.
With PYRAMID PANEL, select the“Nampin” mode,width (in pips steps) and number of orders, then press a button. In the reverse-direction, buy-down limit orders spaced by the chosen width line up neatly in one go. As the price declines, orders fill sequentially and the average entry price drops as planned.
Stop-loss and take-profit are attached automatically to all orders, and the lot size per order is calculated automatically from risk%.Without fear or haste, align to the planned averaging— this is the aim of nampin mode.
The most important thing after equalizing is toexit quickly when it returns. PYRAMID PANEL supportsone-click full closeandpartial close. If it retraces beyond the average entry price, you can take profit in full or reduce risk by closing a portion — avoiding the mistake of holding on and missing the rebound. You can also remove remaining orders in one shot.
To be frank. Nampin is a technique thatincreases losses exponentially if it continues in one direction without a rebound. When the premise of a rebound collapses, you suffer the biggest damage. I’ve personally paid a painful price with nampin in the past.
That is why PYRAMID PANEL’s nampin is designed tolimit the number of orders and automatically attach SL・TP to each. It isn’t unlimited nampin that buys more and more;use it as planned nampin with a defined limit from the start.
※This article is for information purposes only and is not intended as investment solicitation. The performance figures shown are past results and do not guarantee future profits. FX・CFD trading involves risk. Please make investment decisions on your own responsibility.