How much do you risk per trade? | Page 6 | Forex Factory

HeroPoker_HeroPoker扑克_HeroPoker德扑圈官网

Attachments: How much do you risk per trade?

How much do you risk per trade?

{quote} It takes real discipline to cut risk to $\mathbf{0.35\\%}$ when you're feeling the sting of losses
Yeah, if you抳e need a withdraw to pay the bills next week, then sure being quick is normal But as long as I抦 in this game, the most important thing to me is my capital. Being able to survive and still have bullets to fire matters more than rushing to recover a loss, in my opinion.
BUZZ
As already mentioned, it depends on how good your system is and there are a few more numbers to consider.
I would say:

  1. Risk 1% per trade.
  2. Max. 10 (uncorrelated) open positions.
  3. Max. 10% of your Balance per trade.
  4. Max. 50% Balance used for all trades combined.

Those rules combined mean there's never more than 5% of your Balance at risk.
Many feel forced to trade large positions because their account is so small they 'must' do so because otherwise the profits are so small they aren't worth the time.
Firstly, it also means your losses won't be worthwhile.
Secondly a good system has a low risk, and that means you can have several uncorrelated open positions.

Following those rules will be beneficial in the long run. By not following them, the run to the bottom of your account usually is a short one.

So instead of risking 1x10%, risk 10x1%.

Most disciplined approaches keep single-trade risk in the 0.25?% range and control portfolio heat when positions correlate.
Just enough to sting if I lose but not enough to ruin the day.
its never fixed from 2% to 10% per trade, but recently been trying smaller risks but in bulk trades. seems the way to go. never above 50% of all trades.
1% - 2% per one trade. For multiple positions I will go with 0,25% per trade, adding more by the flow, or double if I've got stoped out
Ngl, if I have a small account I don抰 see a point in risking 1-2%. For instance, if my trading balance is like $500, I would risk $50 a trade, which is 10%. However, if I have a bigger size I would risk no more than 5%, I抦 fine with that risk since I抦 confident in my trades.
Tom Hougaard has an excellent argument on this topic which is contrary to the established and mainstream advice of using only 2-5% per trade. He basically says what is then the purpose of your deposited funds in your trading account if not using it for trading? You can easily find some of his videos online and one of those truly changed the way I trade. You will never build a solid account or huge profits if you only use 2% of your account size. But it?s not like you need to put everything in one trade, he explains this very nicely with the example of how many traders add to a winning position (it was very low).
And one more thing i remembered which left an impression and still remember it because it抯 very true:
If your trading feels boring, just increase the lot size
I don抰 think "percentage of the account" is a very helpful measurement. Not for me.

If I had $10,000 in trading capital and wanted to risk 1% of it, $100 per trade - though I抦 really less adventurous than that - I抎 probably keep about $1,000 in a trading account and leave the other $9,000 in the bank.

And in that case, I抎 be risking 1% of my trading capital but technically 10% of my account.

But who抎 want to keep all their available trading funds in a broker account, anyway?