Zone recovery means? How is it related to trading?

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Cora Fox
Answered 2 months ago
<p id="isPasted">In trading, zone recovery refers to a strategy where a trader attempts to recover losses from a losing trade by opening new trades in the opposite direction, often with increasing position sizes. This technique is essentially a form of martingale, where larger positions are used to offset losses, with the goal of ultimately exiting with a profit or minimal loss. However, it's a high-risk strategy, especially in ranging markets, and can lead to significant losses if not managed carefully.&nbsp;</p><p><br></p>