Logging into TJ after a long time. Whole outlook has changed for better
Scaling in vs All-in is a vast topic by itself but based on my understanding - there is no real advantage in scaling-in except for the mental satisfaction of losing less(purportedly losing less) but law of averages would infamously catch up with scaling-in as well. But, if one goes to the bottom-line to understand the parameters, it all comes down to how much we can earn from a strategy(in terms of returns) and how much we are willing to lose (max DD) to attain that average returns.
Without going into further details, i can assure you that all-in is much better in terms of returns(w.r.t risk) but if one needs psychological comfort, scaling-in would suit them. So, it all boils down to individual's preference (maximum retruns w.r.t risk vs psychological comfort). There is nothing right or wrong but there is no empirical evidence favoring scaling-in except for the mental comfort. If we talk about returns/utilising our capital optimally, then all-in is much better.
There was a post that talks about scaling-out vs all-out(exit MM is more important that entry MM in my opinion). Thought of posting it here again.
http://www.traderji.com/community/threads/general-trading-chat.96368/page-4408#post-1175135