Forex trading is a very risky business. And in this risky business, if you do not manage the risk, how to make a profit. I agree with you, it is usually not right to take more than 1% risk. The lower the risk for a trade, the better for the trade. This is called money management. You can never be successful in trading if you do not notice this money management.
Trading is a risky business. And if you don't manage risk in this risky business, you can never be a successful trader. You need to learn to control risk. I never risk more than 2% on my account. This is what I usually call money management. I always give a lot of importance to money management. Only money management can keep you safe in trading. The less risk you have in trading, the more likely you are to succeed.
Yes 1% risk is very good for trading. Discipline is the key to maintain risk level low. Trading is very tempting. That's why you need to be discipline so that you do not trade whimsically. It needs a lot of practice to be discipline.
Yes it's difficult to control. That's why discipline is very important. You can read the book named The Discipline Traders by Mark Douglas. This book will help you to be discipline. You can also read The Trading Zone by Mark Douglas.
Yes 1% to 2% risk one can take maximum. The reason people can't control it they don't know their winning percentage. They do not have any minimum risk and reward ratio to follow. Basically they don't know what they are doing why they are doing.
Every trader should have his discipline. It is not possible to make a profit in trading without proper discipline. The lower the risk, the better for each trade. I always suggest taking a 2% risk. But it is better if the risk is less than that. Forex Prospects Market And to survive in this potential market you must have an idea about risk.
Michihito posted: Yes it's difficult to control. That's why discipline is very important. You can read the book named The Discipline Traders by Mark Douglas. This book will help you to be discipline. You can also read The Trading Zone by Mark Douglas.
Very good book! Discipline is the key, if you can't control your emotions you cant control your money! I believe people should understand the risks and control emotions, 1%-2% is perfect, if ppl can't manage that find an auto-trading system that does that.
Protecting your capital is more important them make more capital
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