Risk Management
✅ 5 Rules for Good Risk Management:
Do not risk more than 1-2% of your deposit on a single trade.
Always set a stop-loss point - know in advance where to exit.
Calculate the position size using a formula, not by eye.
Evaluate the risk/reward ratio (only enter if there is a chance of x2 or more).
Keep a record of transactions - learn from your mistakes and victories.
📈Why does this help you make money?
Because:
- Your deposit is not drained in one or two trades.
- You earn more than you lose.
- It is possible to be wrong and still be in a good position.
- You trade calmly, without panic or emotions.
🔁 Trading is a business, not a casino.
In business, you always think:
- How much did you invest?
- How much can you lose?
- How much will you profit if things go according to plan?
Trading is the same.
You should not put everything into a single trade.
You should think of a series of trades like the professionals do.
💬 In the end
Risk management is your system for survival and growth.
Without it, you are in a casino. With it, you have a strategy that will succeed in the long term.
Even if 5 consecutive trades end up in the red, you will know:
I am doing everything right. A single profitable trade can cover everything and give you a surplus.