My approach to short-term and long-term investments is getting simpler and simpler: 70% of funds go into spot trading as the core position. This part doesn’t get tossed around frequently—it’s mainly for riding big trends. As long as the overarching logic hasn’t changed, I won’t jump ship just because of short-term fluctuations of 20% or 30%. After all, real big moves in the market usually aren’t made by constant trading. 20% of funds are reserved as flexible capital. The principle is simple: if the price doesn’t drop to my planned cost zone, I won’t rush to add positions. Once it hits the preset level, I’ll start layering in gradually. This approach avoids chasing when prices rise or blindly averaging down when prices fall, which often leads to piling up positions at a bad price point. The remaining less than 10% is for playing with contracts. Contracts aren’t for turning things around—they’re for improving capital efficiency and practicing execution discipline. Keep contract positions within 10%, and limit the number of active trades—no more than 4 at a time. Out of these, 2 can be long-term bottom positions—hold them as long as the logic remains intact. The other 2 must strictly follow short-term trading rules, with stop-loss and take-profit levels set. For short-term trades, if you make money, exit when it’s time—don’t get cocky just because you’ve made a profit. And don’t force overnight holds hoping for a second wave of gains. If you lose, admit your mistake. Trigger the stop-loss and move on—never average down or increase your position size to chase losses. I’m realizing more and more that the key to investing isn’t about being right every time. It’s about being able to afford the losses when you’re wrong and holding on when you’re right. Position layering is essentially about leaving yourself a backup plan: Spot trading for trends, flexible capital for opportunities, and small contract positions for tactical plays. This way, even if your short-term judgment is wrong, it won’t affect the survival of your entire account. Final note: Don’t let short-term emotions mess with your long-term positions!