How to Manage a Safe Trade with Proper Risk Management
Trading isn’t just about profits; it’s about protecting your capital. Proper risk management is the foundation of long-term success. Here's how:
1️⃣ Use Only 1% of Your Capital per Trade
Never risk more than 1% of your total capital on a single trade. This keeps your account safe even during a losing streak.
2️⃣ Set Stop-Loss Orders
Always define your exit point before entering a trade. A stop-loss is your safety net against unexpected market moves.
3️⃣ Position Sizing
Calculate your position size based on the distance between your entry and stop-loss to ensure losses stay within the 1% rule.
4️⃣ Stick to Your Plan
Discipline is key. Avoid emotional decisions and follow your strategy consistently.
5️⃣ Have a Trading System
A consistent trading system helps you make objective decisions. If you don’t have one, feel free to DM me on my X account—I’d be happy to guide you!
Protect your capital today so you can trade confidently tomorrow! 🚀
consider these as your trading guide.
not financial advice 🔥