###Long & Short Trading ###

#### ** Long on DOT (Leverage: 5x)** 🚀

- **DOT Current Price:** $8.66

- **Leverage:** 5x

- **Capital Invested:** $100

- **Effective Exposure:** $100 × 5 = **$500**

- **Stop Loss (SL):** $8.40

- **Take Profit (TP):** $9.10

**If DOT Increases by 5%** (TP hit):

- **New Price:** $9.10

- **Profit Calculation:**

- Profit = ($9.10 - $8.66) × Exposure / Price = $0.44 × ($500 ÷ $8.66)

- Profit ≈ **$25.40** 💰

- **TP Hit** 🎯

**If DOT Drops by 3%** (SL hit):

- **New Price:** $8.40

- **Loss Calculation:**

- Loss = ($8.66 - $8.40) × Exposure / Price = $0.26 × ($500 ÷ $8.66)

- Loss ≈ **$15.01** ❌

- **SL Hit** 🛑

#### ** Short on BTC (Leverage: 10x)** 🐻

- **BTC Current Price:** $97,768.64

- **Leverage:** 10x

- **Capital Invested:** $1,000

- **Effective Exposure:** $1,000 × 10 = **$10,000**

- **Stop Loss (SL):** $99,000

- **Take Profit (TP):** $96,800

**If BTC Drops by 1%** (TP hit):

- **New Price:** $96,800

- **Profit Calculation:**

- Profit = ($97,768.64 - $96,800.00) × Exposure / Price

- Profit ≈ $968.64 × ($10,000 ÷ $97,768.64)

- Profit ≈ **$99.04** 💵

- **TP Hit** 🎯

**If BTC Increases by 1.25%** (SL hit):

- **New Price:** $99,000

- **Loss Calculation:**

- Loss = ($99,000.00 - $97,768.64) × Exposure / Price

- Loss ≈ $1,231.36 × ($10,000 ÷ $97,768.64)

- Loss ≈ **$125.85** 🛑

- **SL Hit** 🛑

### **Summary with Stop Loss & Take Profit**

- **DOT Long** 🚀:

- **Potential Profit (TP Hit):** +$25.40 💰

- **Potential Loss (SL Hit):** -$15.01 ❌

- **BTC Short** 🐻:

- **Potential Profit (TP Hit):** +$99.04 💵

- **Potential Loss (SL Hit):** -$125.85 🛑

### **Key Strategy with SL/TP** 📊

**Set Stop Loss (SL)** at **2-3% below the entry price** for **Long Positions** (Example: DOT at $8.40).

2. **Set Take Profit (TP)** at **5-10% above the entry price** for **Long Positions** (Example: DOT at $9.10).

3. For **Short Positions**, reverse the logic for SL and TP:

- **SL** above the entry price, **TP** below the entry price.

⚖️ **Risk/Reward**