Hey, my Binance Family,

How are you doing today? Let's talk about Risk Management, especially for Futures Trading!

For me, Risk Management is one important message that should be overemphasised. You can not be a successful trader if you do not know how to manage your leverage trading risks.

To manage risks require that you learn position sizing and the implications of leveraging.

As much as Using leverage can be as sweet as honey especially when in profits 🤑, PLEASE DO MOT FORGET THAT IT CAN ALSO BE AS bitter as gal when the losses are raking in.

So Here is how one of my IDOLO and IDAN manages risks.

Risk Management.

It a Known Statistic That 90% Of Traders Loose Money To The Financial Market. And Only 10% Win.

Out Listed Here Are The Risk Management Strategies Used In The Market.

1. STOPLOSS :- I Always Set My Stop Losses 3% - 4% Of The Amount I'm Willing To Trade With Against A Pair In That Case. I Have A Loss Of

4% On 1X

20% On 5X

40% On 10X

2. DeRisking Position :- Most Times I Derisk My Position At - 30% Or I Move My SL To Entry Or Break Even at +30%

3 Leveraging :- Over leveraging Has Be The Cause of Many Liquidation I Have See So Far. Once You Have Poor Position Sizing Skill You Shouldn't Be In The Business Of Over Leveraging.

4 DCA. In 2 out Of 10 Cases Do i DCa In Futures. I Prefer DCA On Spot Trades Dont Forget We Are Only Trading Based On Analysis.

5. AVOIDING FOMO. I Don't Jump Into A Moving Trade The Market Is Not Running There Is Always An Opportunity.

Position Sizing.

Let Say You Have An Account Of $200 As The Word Implies Sizing. I Usually Split The Funds Into 4. (50, 50, 50, 50)

I set The Amount I Want to Risk to A Trade Putting In Mind I Am Loosing Just 3 - 4% Of The Amount Positioned On The Trade.

DON'T Ever Go All Out For A Trade. Nothing Is Certain.

NB :- If you run out of capital, it's game over.

Don't run out capital.

"All in" is what mindless gamblers do.

Be different.

Focus on survival

Using 5-10% (15% max ) of your account size as margin is a proven method that helps one stay long in the game.

There you have it people. Remember to drop me plenty likes and follow me if you find this article beneficial.

Remeaun blessed and take profits always!