Almost all learning you’ll find online bangs on about the importance of money management and Risk Management, and that’s because it’s absolutely true. Every strategy needs to have rules by which it is governed, that’s to say that there is no room for emotions in this game. Experienced traders never find themselves in a position of holding a losing trade for no other reason than they are afraid of taking a loss, or because they’re merely hoping it’ll turn around in their favour. They have a plan and they stick to it.
#1 Only invest money you don't need.
#2 Think about your risk tolerance.
#3 Set your risk/reward ratio to a minimum of 1:3.
#4 Control your risk per trade.
#5 Keep your risk consistent.
#6 Understand and control leverage.
#7 Take currency correlations into consideration.
#1 Only invest money you don't need.
#2 Think about your risk tolerance.
#3 Set your risk/reward ratio to a minimum of 1:3.
#4 Control your risk per trade.
#5 Keep your risk consistent.
#6 Understand and control leverage.
#7 Take currency correlations into consideration.
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