#RideTheKaiaWave
#تعلم - You are not here to lose💯 .
Risk management in trading:
1. Determine the risk ratio: Do not risk more than 1-2% of your capital per trade.
2. Use stop loss: Set a level to close the trade at a loss to avoid bigger losses.
3. Risk to reward ratio: Choose trades with a greater return than the risk (1:2 or more).
4. Portfolio diversification: Invest in different assets to reduce risks.
5. Appropriate trade size: Make the trade size proportional to your capital and risk ratio.
6. Avoid overtrading: Do not enter into many trades at the same time.
7. Stick to a clear plan: Follow a well-thought-out trading plan and control your emotions.