Tuesday, December 8, 2015

Risk Management 101: Using a Stop Loss


Stop Loss positions are critical for understanding the value of good risk management.  Remember that in many ways our trade is only as good as the stop we use as it affects risk/reward ratio, win percentage and how long we are in the market during volatility and a move against us.  Below are some various approaches to where to put the stop a the initial entry of the trade.  Keep in mind that this is not a comprehensive list as there are so many different ways to accomplish the task.  That being said, if you are a new trader to forex, I hope that the following approaches give you a reference point to get started. Before we actually take a look at the specific areas, a quick few words about what we do when we find good areas to place your stop behind.  First off, make sure that you give market enough breathing room for volatility around the area.  What I mean is that even when you find an area in the market you want to use for protection and it s actually a good or usable area, y
https://www.indicatorwarehouse.com/risk-management-101-using-a-stop-loss-part-ii/

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