You know, many start trading without an elementary plan. They just buy a coin and sit, waiting for a miracle. I did that for a long time until I understood one simple thing: profit is not just a desire to earn, but a specific goal that must be calculated even before entering the trade.

Profit is your target percentage of profit at which you exit. Sounds simple, but it changes everything. Instead of hanging in a position for weeks, you know exactly at what price to close.

Why is this important? Because without a plan, you either exit too early and miss the growth, or wait too long and get into a drawdown. And profit is like an anchor — it keeps you disciplined. It also helps you earn often, but small. Better 10 trades with 0.5% profit each than one with 10%, which you’ll never wait for.

The formula is straightforward. The target price equals the entry price multiplied by (1 plus your profit in percent divided by 100). Sounds scary, but in practice, it’s simple.

Here’s a real example. Bought a coin at 1000 USDT, want 0.5% profit. Target price: 1000 × 1.005 = 1005. Place a sell order and wait. That’s it.

Another example. Entered at 0.328, planning 0.6% profit. Target price: 0.328 × 1.006 = 0.330. Close at this level.

What size should you choose? If the coin is stable and you don’t want to hang around — take 0.3-0.6%. If volatile — 0.7-1.0% is possible. Above 1.5% — high risk that the market simply won’t give you that price, especially if the overall trend isn’t rising.

Be careful with small values. The exchange takes about 0.1% fee on entry and 0.1% on exit. Total of 0.2% goes to fees. If you set a profit less than 0.2%, you’re actually at a loss, even if the price rises. That’s why a minimum of 0.3-0.5% is recommended so that something remains after fees.

Too high a profit is also a problem. You sit and wait, but the market doesn’t grow. Wait a week, two, then a dip, and you’re in the red. That’s why profit is not just a number, but a strategic choice.

Beginners often make the mistake of not calculating at all. It’s like going to an unfamiliar city without a navigator. Sooner or later, you’ll get lost. Always calculate before the trade, don’t guess.

Remember: trading is mathematics, not intuition. Better five small wins than one big failure. Profit is your discipline tool.