Three Practical Breakeven Strategies for Futures Trading, with Key Risk Alerts

In Futures Trading, blindly resisting losses often increases risk. The following three targeted breakeven strategies can be selected as needed:

1. Lockup breakeven: freeze losses and wait for a reversal.

When the loss direction continues and there is currently no reversal signal, you can open positions in the opposite direction with the same amount as your current holdings, thus freezing the existing loss size and preventing further loss expansion. Once the market releases clear rebound or pullback signals, first gradually close the positions on the profit side to recover some funds, and then handle the remaining loss positions according to market changes.

2. Swing breakeven: Accumulate small profits, average the cost

If the futures trading position is in a loss state, but there are slight fluctuations in the intraday price, you can seize short-term market opportunities: appropriately add positions when the price is low and reduce positions when the price is high (for long positions); or add positions when the price is high and reduce positions when the price is low (for short positions). By accumulating profits through multiple small fluctuations, you can gradually dilute the overall position cost until the loss turns into profit.

3. Stop-loss and breakeven: Be decisive in stopping losses and reverse the trend.

If it is clearly judged that the current position direction is completely opposite to the main market trend, and there is no possibility of a reversal in the short term, it is necessary to decisively cut losses and exit the market to avoid further losses. After exiting, observe the new market trend and choose to open a new position in the direction consistent with the trend, using the profits from the new position to make up for the previous losses and achieve "turnaround after cutting losses."

Key Risk Warning

Futures Trading comes with leverage properties, and special attention must be paid during the breakeven process: strictly control the position ratio to avoid amplifying risks due to excessive positions; set clear take-profit and stop-loss points, and do not operate based on subjective emotions to prevent further losses due to mistakes.