Money Management

Sep 10, 2017 at 08:04
Vistas 2,399
48 Replies
Miembro desde Aug 11, 2017   posts 886
Sep 10, 2017 at 08:04
Actually without proper money management even the best strategy would yield poor result. Money management begins with determining the lot size or allocation of capital to a trade. This is followed by assessment of risk to reward ratio and usage of stop loss and take profit facility. Unless and otherwise a trader is adept in all the criteria mentioned above, it would be very difficult to come out successfully in the long term. Very few traders are exceptional in money management and so they perform exceedingly well than others even when similar trading strategy is used.
Miembro desde Apr 18, 2017   posts 920
Sep 12, 2017 at 14:41
Money management is the key to success in the trading industry! Basically, pro traders can recover their losing trade positions so quickly because they follow the terms of money management as well as risk management policies so honestly!
Miembro desde Feb 12, 2016   posts 427
Sep 13, 2017 at 14:48
It depends what exactly each one understands from Money Management. If this is just management of your own capital and investments - it's fine as long as you follow your trading plan. If you mean for the Money Management of someone who trades with your money - I don't really trust these.
I think their main focus is on have more people to be subscribers and to earn from the mass. Be careful who you trust regarding your own Money Management.
Accept the loss as experience
Miembro desde Aug 11, 2017   posts 886
Nov 10, 2017 at 11:00
Your money management skill is that which makes you remain in the market. A trader that finds it difficult to manage high capital finds himself out of the market sooner that he expects. It doesn’t come easy and the skill required in risk management is one that grows with time.
Miembro desde Apr 18, 2017   posts 718
Jul 31, 2019 at 14:20
Mohammadi posted:
Your money management skill is that which makes you remain in the market. A trader that finds it difficult to manage high capital finds himself out of the market sooner that he expects. It doesn’t come easy and the skill required in risk management is one that grows with time.

It’s important! Money management is the advance level of knowledge that traders need to learn properly after basic trading! New traders should focus on technical & then the fundamental afterwards; money management and risk management!
Miembro desde Aug 11, 2017   posts 886
Aug 02, 2019 at 06:10
Managing the risk is the most demandable ability in Forex market where risk is everywhere. My trading career, many times I fallen a great loss due to lack of exact risk management . now I am studying about this
Miembro desde Dec 06, 2017   posts 12
Aug 02, 2019 at 10:00
The money management should be just a habit, not the rule (because the rule can be broken), not the strategy (because strategy works only for some conditions). MM should be your habit, subconsciously.
Miembro desde May 31, 2019   posts 12
Aug 03, 2019 at 10:18
Mohammadi posted:
Your money management skill is that which makes you remain in the market. A trader that finds it difficult to manage high capital finds himself out of the market sooner that he expects. It doesn’t come easy and the skill required in risk management is one that grows with time.
Damn true! risk management is the key to stay in this business.
Miembro desde May 10, 2019   posts 27
Aug 13, 2019 at 17:35
I do not always use money management. I can change the number of transactions or the amount of money. I am a very gambler.
I noticed that I am losing less money over time. I hope that this is my merit and in the future I will be able to live without money management.
Miembro desde Apr 18, 2017   posts 920
Aug 23, 2019 at 15:52
Anayallador posted:
I do not always use money management. I can change the number of transactions or the amount of money. I am a very gambler.
I noticed that I am losing less money over time. I hope that this is my merit and in the future I will be able to live without money management.

Really? Then what’s your highest risk reward ratio on per trade while you do avoid the rules of MM?
Miembro desde Aug 27, 2019   posts 10
Aug 27, 2019 at 12:33
Maybe you naturally have good instinct for money management. You probably are using money management but do not have explicit calculations
Miembro desde Aug 27, 2017   posts 994
Aug 27, 2019 at 13:47
ForexAngell posted:
Anayallador posted:
I do not always use money management. I can change the number of transactions or the amount of money. I am a very gambler.
I noticed that I am losing less money over time. I hope that this is my merit and in the future I will be able to live without money management.

Please, explain what do you mean 'without money management'? All that you analyse about your past and future trades that is your money management.

I guess; this guy isn’t available right now because of following unrealistic game plan on trading!
Miembro desde Nov 09, 2018   posts 212
Aug 28, 2019 at 11:36
There is no one ideal way to make money on Forex and other markets, because any market is a collection of factors that directly affect the general system of these factors. It is pointless to consider money management and strategies as a separate component. It is much more important to understand how to use a trading strategy and money management in different market conditions.
#AnthonyWins
Miembro desde Apr 18, 2017   posts 718
Aug 28, 2019 at 16:19
AnthonyWins posted:
There is no one ideal way to make money on Forex and other markets, because any market is a collection of factors that directly affect the general system of these factors. It is pointless to consider money management and strategies as a separate component. It is much more important to understand how to use a trading strategy and money management in different market conditions.

I got yours point; really depending on any specific data is meaningless & the result is very costly!
Miembro desde Dec 06, 2017   posts 12
Aug 28, 2019 at 19:35
Adribaasmet posted:
ForexAngell posted:
Anayallador posted:
I do not always use money management. I can change the number of transactions or the amount of money. I am a very gambler.
I noticed that I am losing less money over time. I hope that this is my merit and in the future I will be able to live without money management.

Please, explain what do you mean 'without money management'? All that you analyse about your past and future trades that is your money management.

I guess; this guy isn’t available right now because of following unrealistic game plan on trading!

I think that those who are serious about trading will work hard to achieve results and improve trading every day. And if a trader use trading as a game, then the profit will also be like a “toy money”.
Miembro desde Apr 18, 2017   posts 718
Sep 29, 2019 at 16:55
ForexAngell posted:
Adribaasmet posted:
ForexAngell posted:
Anayallador posted:
I do not always use money management. I can change the number of transactions or the amount of money. I am a very gambler.
I noticed that I am losing less money over time. I hope that this is my merit and in the future I will be able to live without money management.

Please, explain what do you mean 'without money management'? All that you analyse about your past and future trades that is your money management.

I guess; this guy isn’t available right now because of following unrealistic game plan on trading!

I think that those who are serious about trading will work hard to achieve results and improve trading every day. And if a trader use trading as a game, then the profit will also be like a “toy money”.

A perfect example! Which traders are sinuous on trading; only they are able to make a decent return her; otherwise no way!
Miembro desde Oct 04, 2015   posts 26
Oct 06, 2019 at 12:56
Money management is important, because as the balance grows, the leverage is descreased at brokers and therefore you must adjust your lot sizes to compensate for the decrease in trading leverage
Miembro desde Oct 04, 2015   posts 26
Oct 06, 2019 at 13:14
Merrill posted:
You probably are using money management but do not have explicit calculations

Money management involves calculations, being able to calculate using the correct lot sizes for the account balance with a set leverage
Miembro desde Oct 07, 2019   posts 2
Oct 07, 2019 at 06:32
Nice information.
forex_trader_795593
Miembro desde Oct 09, 2019   posts 32
Oct 09, 2019 at 12:06
It is one of the techniques that each and every trader should focus and nurture it.
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