MONEY MANAGEMENT Part 3

#MONEY_MANAGEMENT #Part3
MM Rules:
Always DIVIDE your EQUITY by 10000 . I.e If your equity is 1000$ then 1000 / 10000 = 0.1 ( $1 per PIP value is your BASE LOT as per MM ).
If you want to trade 4 or 6 or even 10 PAIRs then You must DIVIDE the BASE LOT with the selected TOTAL PAIR. I.e If You decided to trade 5 multiple PAIRs then 0.1 / 5 = 0.02 lot for each pair POSITION lot size. This is how TRADERs should maintain their trading strategy and MM
So , If your equity is 10K or 100K or 1000K or even 100 dollars only , the same rules should be applied for being a successful trader , otherwise every time trader will WIPE OUT their account after a certain days of trading.

Credit to DAY LIGHT
#TradeComment# #FCchallenge# #Knowledge#