oussama94
05-28-2017, 01:53
This is a very important point, and it explains
why many traders lose the balance in their
account after just a few trades. While new traders
may risk half or even their entire free balance
on one trade, experienced traders tend to limit
their risk on any given position to 1- 5% of their
portfolio. If we apply this rule to ourselves, then
for every $5,000 we have in our trading account,
we can risk only $50-$250 on any one trade.
If you have a small trading account, then trade
small, or top it up so that you can trade the
deal sizes you want.
why many traders lose the balance in their
account after just a few trades. While new traders
may risk half or even their entire free balance
on one trade, experienced traders tend to limit
their risk on any given position to 1- 5% of their
portfolio. If we apply this rule to ourselves, then
for every $5,000 we have in our trading account,
we can risk only $50-$250 on any one trade.
If you have a small trading account, then trade
small, or top it up so that you can trade the
deal sizes you want.