Pyramiding Winners

Turn good trades into great ones.
Add size only when the market keeps proving you right.

Core Pyramiding Rule

Add 1 unit every ½ ATR move in your favor — max 4 units total
Trigger distance ½ ATR from last entry
Unit size Same as initial (ATR-based)
Maximum 4 units (including entry)
Stop management Move to breakeven after unit 2

This is how small edges become big profits — but only add when price confirms.

How Pyramiding Looks in Real Life

Account: $50,000 | Risk: 1% ($500) | ATR: $4.00 | Initial entry long @ $100 (50 shares)

1

Initial Entry @ $100

50 shares (1 unit) — standard size from ATR formula.

2

Price reaches $102 (+½ ATR)

Add 50 shares @ $102. Total: 100 shares. Avg cost ~$101. Stop to breakeven.

3

Price reaches $104 (+ another ½ ATR)

Add 50 shares @ $104. Total: 150 shares. Avg cost ~$102.

4

Price reaches $106

Add final 50 shares @ $106 (max 4 units). Total: 200 shares. Avg cost ~$103.

One strong trend → 4× your starting position — but risk stayed capped the whole time.

From 1 Unit → 4 Units on Strength Max 4 units — ride the trend while it lasts
Pyramiding turns one good trade into a massive winner —
but only adds when price keeps confirming the move is real.

Add on Strength Only

Never pyramid losers — only winners that keep moving your way.

Stops Move Up

After second unit, trail stop to breakeven — free ride from there.

Max 4 Units

Limits exposure while letting profits run in strong trends.