Scaling

A trading approach that hinges on increasing position size as an asset’s price moves against you or as capital available in a trading account increases, as opposed to making the full investment when originally deploying the position. For example, a trader intending to purchase 10,000 shares of a stock, may decide to originally invest in 2,000 shares, and increase their holding if the stock price falls to a specific level. Click here to learn more.

This is a definition, not a recommendation. Options carry risk and can expire worthless. See how the desk actually trades at TrueTrader.