Are your trades putting your portfolio at risk? It’s time to master the 1% Rule and trade smarter, not riskier!
📌 What is the 1% Rule?
The 1% Rule means you should never risk more than 1% of your total portfolio on a single trade.
💡 How to Apply the Rule:
1️⃣ Calculate Risk: Risk Amount = Portfolio × 1%.
Example: $10,000 portfolio → $100 max risk per trade.
2️⃣ Set Stop-Loss: Automatically limit your loss if the trade goes against you.
Example: Enter at $30,000 BTC, set stop-loss at $29,800 to cap the loss at $100.
3️⃣ Adjust Position Size: Match the size of your trade to your risk tolerance.
Formula: Position Size = Risk Amount ÷ (Entry Price - Stop-Loss Price).
🔥 Why Follow the 1% Rule?
Protects your capital from major losses.
Reduces emotional decision-making.
Keeps you trading consistently, even during losing streaks.
✅ Start implementing the 1% Rule today and take control of your trades.
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