Pyramiding
Technical analysisAdding to a winning position in decreasing size, with the stop raised so total risk stays capped.
In plain terms
The only structure in which a large position is also a safe one.
Every term is defined twice: once the way a filing would put it, and once the way somebody would explain it to you across a table. The second one is usually the one that sticks.
Showing 2 terms
Adding to a winning position in decreasing size, with the stop raised so total risk stays capped.
The only structure in which a large position is also a safe one.
The weighted average cost of a position built across multiple purchases.
Both pyramiding and averaging down improve how it looks. Only one improves your outcome.