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Posted

Risk Management is a very important objective in Forex trading. Please reply about this one and i will really appreciate to have guideline via this forum.

What is importance of Risk Management for the new comer.

  • 4 weeks later...
Posted

There are no rules to risk. You can risk whatever you want, risk from 1% per trade to 5% per trade, if you like you could even treat it as a gamble and risk 50% per trade..

 

Personally, I do take fairly big risks with anything I do, so for me it makes sense to use a risk in forex of 5-10% per trade :)

  • 2 weeks later...
  • 3 months later...
Posted
Strategies to reverse the tides of these risks are demanding for transactions to be settled in hard currency, diversification and hedging. Diversification is a Forex risk management strategy that has to be considered from time to time because it is the nature of currencies to fluctuate in a given period of time.
Posted (edited)

Forex risk management can make the difference between your survival or sudden death with forex trading. You can have the best trading system in the world and still fail without proper risk management. Risk management is a combination of multiple ideas to control your trading risk. It can be limiting your trade lot size, hedging, trading only during certain hours or days, or knowing when to take losses.

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Edited by Mark vough
Posted
Forex risk management can make the difference between your survival or sudden death with forex trading. You can have the best trading system in the world and still fail without proper risk management. Risk management is a combination of multiple ideas to control your trading risk. It can be limiting your trade lot size, hedging, trading only during certain hours or days, or knowing when to take losses.

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  • 2 weeks later...
Posted
Forex Market is though tough to play as well for the infant traders. Hence, proper knowledge of the market is important. If you are not sure of any situation, do not invest. It is true that the market is unpredictable, but it does not mean that you should set your all senses aside and move in any known direction. One should always treat the trading like a business. Make some set of rules and try to stick to them at any cost. Being an expert is not a case of few minutes, you would need to spend hundreds or thousands of hours to get favorable results at the end.

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