**Risk Management: Your Financial Survival Kit**
Risk management is the armor that protects your capital from market storms. It's not about avoiding risk—but controlling it intelligently. Every smart trader knows: preserve capital first, profits follow.
The golden rules? Never risk more than 1-2% per trade, use stop-losses religiously, and diversify strategically. Emotional trading is the enemy—stick to your plan even when markets go wild.
Advanced players layer risk controls: position sizing, correlation analysis, and volatility adjustments. Remember, three losing trades shouldn't wipe out ten winners.
True mastery comes from knowing what you can lose, not just what you might gain. In trading and investing, the best risk managers survive longest. Are you protecting your portfolio—or gambling?