How to Manage a Safe Trade with Proper Risk Management
Trading isn’t just about profits; it’s about protecting your capital. Proper risk management is the foundation of long-term success. Here's how:
1️⃣ Use Only 1% of Your Capital per Trade Never risk more than 1% of your total capital on a single trade. This keeps your account safe even during a losing streak.
2️⃣ Set Stop-Loss Orders Always define your exit point before entering a trade. A stop-loss is your safety net against unexpected market moves.
3️⃣ Position Sizing Calculate your position size based on the distance between your entry and stop-loss to ensure losses stay within the 1% rule.
4️⃣ Stick to Your Plan Discipline is key. Avoid emotional decisions and follow your strategy consistently.
5️⃣ Have a Trading System A consistent trading system helps you make objective decisions. If you don’t have one, feel free to DM me on my X account—I’d be happy to guide you!
Protect your capital today so you can trade confidently tomorrow! 🚀
A tariff is like a tax that a country puts on goods coming in from another country. Think of it as an extra fee added to the price of imported stuff, like toys, electronics, or cars. Here’s how it works in basic steps:
The Government Sets the Tariff: The U.S., for example, decides to charge a percentage (like 55%) on goods from China.
Importer Pays the Tax: Companies bringing those goods into the U.S. have to pay this extra cost to the government.
Price Goes Up: The company might pass some or all of that cost to you, the buyer, so a $10 toy might now cost $15.50 with a 55% tariff.
Goal of the Tariff: The U.S. uses tariffs to: Protect its own companies by making foreign goods more expensive.
Earn extra money for the government.
Pressure the other country (like China) to make a trade deal or change its rules.
In the X post, the U.S. is proposing a 55% tariff on Chinese goods, while China is setting a 10% tariff on U.S. goods. This is part of a deal that also involves rare earth materials (used in tech and defense) and letting Chinese students study in the U.S.