Staged entries: buying a trade in three steps
A staged entry splits one trade into several buy orders at different prices. Instead of guessing the exact bottom, you buy a small part near the price and larger parts lower down, where the risk is smaller. Every Tralyzer signal is built this way, in three steps.
The 10 / 30 / 60 split
On Tralyzer, step 1 sits on the nearest support and is marked high risk: it takes up to 10% of the amount you set aside for the trade. Step 2 is a stronger support lower down, medium risk, up to 30%. Step 3 is lower again, low risk, up to 60%. The deeper the step, the less room the price has left to fall before the stop loss, which is why it gets the largest share.
A worked example
Say you set aside 1,000 USDT for a long signal on a coin trading at 103, with steps at 100, 97 and 92, a sell price of 104 and a stop loss of 86. (Round numbers to keep the sums easy.)
- Only step 1 fills: you hold 100 USDT bought at 100. If the price reaches 104 you gain 4% on that part, 4 USDT.
- Steps 1 and 2 fill: you hold 400 USDT at an average of about 97.7. The sell price for the step 2 part moves to just above step 1, so a bounce back above 100 is enough to close with a small gain.
- All three fill: 1,000 USDT at an average of about 94.2. The sell price for the last part moves to just above step 2, so a move back to around 97.5 closes the whole trade about 3% up, even though the price never returned to where you started.
- The price falls through all three steps to 86: the stop loss closes everything at a loss of about 9% of the 1,000 USDT. That is the risk the plan accepts, and why the stop loss must be respected.
Why it helps
- Less guessing. You do not need to catch the exact low; a deeper dip improves your average instead of hurting it.
- Smaller first risk. If the price turns up at once, you made a small gain on a small part. If it keeps falling, most of your money is still waiting at better prices.
- A clear plan before you start. All prices, sizes and the exit are known in advance, so fear and greed have less room.
What it does not fix
Staging does not make a bad trade good. In a falling market all three steps can fill and the stop loss can still be hit, and then the loss is on the full amount. On futures, leverage multiplies both the gain and the loss, and a liquidation price can come before the stop loss. Decide the total amount for a trade with that worst case in mind.
Tralyzer shows market information, not financial advice. You decide and place every trade yourself, crypto prices move fast, and you can lose money.