Learn the basic concepts of effective risk management.
Manage your money to the max.
Risk Management
Forex Position Sizing
It ain’t the size of the fight in the trade, it’s the size of the trade in the fight.
Position Size. Some traders have labeled position size or position sizing a crucial part of profitability using any strategy. You could have the world’s best strategy but if you bet too big, it wouldn’t matter because at some point you would incur a string of losses that wipe you out so you’ve got to find the sweet spot.
The Importance Of Journaling
Most Forex traders only hear about the importance of journaling years after failure or even after a little bit of success, but you hear about it sometime in your journey in Forex trading.
Journaling is defined as writing or recording events that are happening, have happened or even the things you wish would happen. Usually, an internal thought process put down on paper or anywhere else you write.
What Is A Take Profit And How To Use It In Forex Trading?
A take profit (TP) is an order placed by a trader to close a position at an exact price for a profit. Take profits reduce the chance of adverse moves against a winning position, by automatically closing the position for a gain.
What Is A Stop Loss And How To Use It In Forex Trading?
A stop loss (SL) is an order placed by a trader to close a position at a defined price, stop losses are used to limit losses on a trade. No trader can be right all the time which makes stop losses a great asset for protection against unfavourable moves.
Cut Losses And Keep Winners
How to cut the losses and keep the winners?
Forex trading, and trading of any kind really, needs you to look at risk robustly. In Forex trading your money is not only at risk when you are trading. But also when you don’t trade at all. Let me explain.
Trading Forex Without A Plan
New to the Forex trading journey and really just care about making money? Nothing more. Just the lifestyle, flashy and luxurious. Fast cars. The parties. Freedom. Financial freedom. All the things a lot of YouTubers will show you or those who claim to be traders on social media because they’ve been trading for a WHOLE 2 MINUTES!!!
Please don’t let the lifestyle fool you. Whether you are new or you’ve been trading for 3-5 years and you’re struggling to find your feet.
Money Management In Forex Trading
A skill not to be underestimated
Ever thought to yourself what makes someone greedy? What makes someone want more than what they set out for or what makes them take more than they need? I have. Plenty of times. Maybe even judged them a couple of times. Until I caught myself being greedy. We get greed for different things. And as Forex traders we get greedy to extract the VERY MOST out of the market.
Risk Vs Reward
Ratios. Is it worth it? Any time you risk anything in life, not that we always do, it would be wise to ask if it’s worth it. Being able to do this with your trades will help insurmountably to become a profitable trader.
Probabilities In Trading
Think of trading in probabilities! This is one of the most used statements in trading education, the reason being it is true. But what does “think of trading in probabilities” mean. By the end of this article, you will have an understanding of how probabilities apply to the market and why focusing on the odds in trading will make you more profit.
What Is Risk Management In Forex?
Ever seen someone bet all his chips at a poker game, although he knows that he doesn’t have a winning hand, but he does it anyway? Some of you maybe, but most of you not. And you’re probably thinking ‘why on earth would anyone do such an irrational thing to themselves?’… Well, how about we ask ourselves the same question.