Cut your Losses Dead, Let your winners Explode!!!

17 March 2017, 09:39
More Anthony Mogapi
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Risk Management 101;

See attached the performance of 1 March to 16 March (Risk 1% to 2% per trade)

  • The reason why many traders fail is that they focus more on winning and fail to control their losses.
  • Stoploss is part of trading it, use it,,,,,it protect you from hurting your account 
  • One can lose 20 trades in a row but if you risk a small portion of your account you can always come back, say 1 to 2%.
  • Risking small portion reduce stress and eliminate emotional trading
  • Wealth is built over time but not on risking a large portion of your account
  • In most cases we focus on making money irrespective of your account size, we want $1000 from $200 account. Focus on %profit!!!
  • $1000 account can turn into $250 000 account in 5 years at a mere 10% per month
.......Good luck and Happy Trading

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