15

The Leverage Trade

The Devil

Upright

You are choosing this. The chains of a margin position are chains you put on yourself. The upside is real and so is the liquidation price. The Devil doesn't lie about the deal — it just makes sure you sign anyway.

Reversed

Already liquidated, or close enough that it doesn't matter. The leverage that felt manageable turned out not to be. This is what the liquidation candle looks like from inside it.