I was sleeping soundly last night when WeChat suddenly blew up—Old Zhang was calling me non-stop.

"Brother, help! My account with twelve thousand, I went all in and opened a three times short position, and it damn went up four points, now my balance is completely zero!"

Looking at his position record, I was stunned: he put in all 12000U at once, stop loss? That doesn't exist. This operation really left me speechless.

Many people believe that using a full margin can withstand volatility, not realizing that it's like driving on the edge of a cliff—without brakes or guardrails, a slight deviation can lead to a direct fall, faster than dying with isolated positions.

**The Truth About Full Margin Liquidation: It's Not the Leverage's Fault, It's the Position Size That's Too Full**

Just do the math and you'll understand:
- You have 10,000 U, using 8,000 U to open a 3x leverage, if the market moves against you by 3.5%, it will directly liquidate.
- But what if you only use 1000U to open a 3x position? Even if the market crashes by 25%, your principal would still be safely lying there.

Old Zhang put all his savings on the line, and with 3 times leverage, that small increase is simply not enough for him to make a fuss over.

**Full margin is not unplayable, but rules must be followed**

After struggling and working hard for over half a year, I've summarized three iron rules: my account not only hasn't blown up, but has continued to rise.

**① Maximum principal usage is 8% per transaction**
A plate of 12,000, with a maximum investment of 960U each time. Even if this order is stopped out, it will only hurt a little, and won't cause any serious damage.

**② Limit single loss to within 1.5%**
For example, with 960U opening a 3x position and setting a 1% stop-loss, the maximum loss would be 28.8, accounting for only 0.24% of the total capital - this level of loss is really negligible.

**③ Do not use full margin in volatile markets**
Don't get itchy hands when the market is in a sideways trend. Wait for a clear direction at the weekly level before taking action; short-term fluctuations are traps designed to lure you into giving away your money.

The student Xiao Wang I had before, would blow up his account every month and recharge every month. Later, I strictly followed these three rules and gradually increased 6000U to 7800U over the course of two months.

He told me: "In the past, I thought going all in was just a big gamble, but now I understand - to go all in, you must first protect your principal before you can earn more later."

**There are not so many surprises in trading**

The so-called "bad luck" and "market fluctuations" are mostly due to not following the rules. Using all your funds is not a disaster; the key is not to treat it like a gambling table - stick to the principles, lock in the risks, and only then can you make money reliably.

In the past, I stumbled around in the dark and got hurt, but now this lamp is in my hand.

The light is always on, it just depends on whether you follow or not.