#MONEY_MANAGEMENT #Part1
What example can be consider as a good money management?
If you deposited 100 dollars in trading account, what should be the RISK % for you as trader to take a position? 1%? 2%? or 5%?
5% risk is MORE THAN ENOUGH for your positions.
Along your own chart analysis and before taking any position, ALWAYS check for RISK to REWARD ratio. Trading with good RR (>2) will ensure your survival and profitability in the LONG RUN!
When you open a position Buy or Sell with 0.01 lot , per PIP value 10 cent, (RR>2) (5% risk for 10% gain). If market goes opposite then you loss 5 USD but if market favors you then You gain 10 USD.
If you enter 8 positions (Buy or Sell) in a week, if 5 positions were with your plan and 3 were opposite. Then the outcome of your positions are WIN 50 USD positive and LOSS 15 USD negative, So the gross profit for the week is 35 USD which is 35% weekly!
It’s really too much profit as per money management but still you are is safe side. What about in a month? One month later you may profit around 140%.
Will be continue...
Click SHARE if you think it is USEFUL
Credit to DAY LIGHT
#WATM #daytrader #invest #moneymanagement #MM #risk #reward #grateful #survival
06 Jan 2020, 01:11 を編集しました
免責事項：本記事で述べられている見解は著者の見解のみであり、Followmeの公式見解を反映するものではありません。Followmeは、提供された情報の正確性、完全性、信頼性について一切責任を負いません。また、書面で明示的に記載されている場合を除き、本記事の内容に基づいて行われたいかなる行動についても責任を負いません。
古いコメントはありません。ソファをつかむ最初のものになりましょう。