Scaling refers to the strategy of gradually increasing or decreasing your position in an asset rather than entering or exiting all at once.
For example, if you’re bullish on a stock, you might buy a small amount initially and then add to your position as the price moves in your favor. Conversely, if you’re bearish, you might sell off a portion of your holdings and continue to do so as the market trends downward.
The idea is to manage risk and potentially improve returns by not committing your entire position at a single price point. This approach allows you to take advantage of varying price levels and can be particularly useful in volatile markets.
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